Supreme Court Approves Funding for NGOs Following Data Compliance
The Supreme Federal Court (STF) has authorized the release of parliamentary amendment funds for three non-governmental organizations (NGOs) after they rectified their compliance with transparency regulations.
On January 25, 2025, Minister Flávio Dino announced that the funding would be reinstated for the Foundation Euclides da Cunha, the Institute Besouro for Social and Research Promotion, and the Irmandade da Santa Casa de Misericórdia de Sorocaba. These organizations had previously been barred from receiving funds due to deficiencies in their reporting of financial information related to the amendments.
Despite the reinstatement of funding, Minister Dino has mandated that the Controladoria-Geral da União (CGU) conduct an additional audit to ensure that the funds are being used appropriately. This step is aimed at reinforcing oversight and mitigating any lingering concerns regarding the transparency of these NGOs.
In his statement, Dino highlighted the dual objectives of this decision: to enhance the preventative measures concerning the execution of parliamentary amendments and to eliminate any doubts about the transparency of the institutions that were previously flagged by the CGU for non-compliance.
This recent ruling marks the second occasion in which the minister has sanctioned the release of funds to NGOs. Earlier this month, on January 14, he approved funding for the União Brasileira de Educação e Assistência (Ubea) after it addressed similar transparency issues.
At the beginning of January, a suspension was enacted on the disbursement of parliamentary amendment funds for 13 NGOs that failed to meet the necessary transparency standards. This decision stemmed from a CGU report that analyzed 26 NGOs, concluding that half had not provided the requisite information and were subsequently classified as ineligible for future funding.
Additionally, nine other organizations that submitted incomplete information were instructed to update their data within a ten-day timeframe. The CGU scrutinized a total of 676 entities that received amendments between December 2 and 24, 2024, involving financial transactions amounting to R$ 733.6 million.
Minister Dino emphasized the importance of transparency in the proper supervision and application of public resources, asserting that it is crucial for maintaining accountability in the use of public funds.
