CNJ Suspends Judge Gabriela Hardt for Two Years in Case Involving R$2.5 Billion Lava Jato Fund

The National Council of Justice (CNJ) suspended federal judge Gabriela Hardt for two years on Tuesday, August 4. Hardt, who took over from Sérgio Moro at the 13th Federal Criminal Court of Curitiba, faces suspicions related to the handling of funds from the now-defunct Lava Jato operation.

Investigations suggest Hardt may have authorized the redirection of public funds towards the creation of a private foundation. This foundation was intended to be managed by prosecutors associated with the former task force. The CNJ's decision follows an extraordinary audit that examined how funds related to Lava Jato settlements were administered and allocated.

The primary focus is Hardt's January 2019 decision to approve an agreement between the Federal Public Prosecutor's Office, Petrobras, and U.S. authorities. This agreement involved approximately R$2.5 billion from fines paid by the state-owned oil company in foreign settlements and stipulated the creation of a private foundation to manage a portion of these resources.

During a preliminary defense in November 2024, Hardt argued that the CNJ lacked jurisdiction, claiming the matters involved judicial decisions. She also asserted no disciplinary infraction occurred, stating she did not participate in drafting the agreement. The CNJ's rapporteur, counselor Rodrigo Badaró, cited "new elements regarding the functional context of the approval, previous flows of fund allocation to Petrobras, the connection of these flows with the subsequent Agreement on Assumption of Commitments, the coordinated action of task force members, possible prior informal communication with the court, and the discussion about the magistrate's functional conduct not only as a judicial decision but as an act performed in a specific institutional environment."

Supreme Federal Court (STF) and CNJ President Minister Edson Fachin, though outvoted, voted for a one-year availability penalty, citing "ends do not justify the means." He praised Hardt's curriculum. The CNJ's decision to impose a two-year suspension is considered a proportional and adequate measure.

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the ends do not justify the means