The Federal Court convicted in the first instance the former mayor of Caldas (MG), Ulisses Suaid Porto Guimarães Borges, and eight other people for participating in a fraud scheme in the contracting and execution of school transport in the municipality. The decision, signed on May 14, 2026, highlights irregularities such as bidding targeting, diversion of public resources and payment of undue advantages. 📲 Follow the g1 Sul de Minas page on Instagram According to the sentence, the scheme involved the manipulation of in-person auction No. 32/2013 to favor the company Futura Veículos e Tratores Eireli. According to the decision, the bidding process was used only to give the appearance of legality to an agreement already previously defined between those involved. The Federal Public Ministry (MPF) pointed out that the fraud was not restricted to the hiring phase. The execution of the contract also occurred irregularly, with the use of third-party vehicles, informal hiring of drivers and a lack of supervision, which would have facilitated the diversion of public money. Federal Court condemns former mayor and 8 others for fraud in school transport in Caldas, MG Reproduction / EPTV How the scheme worked The investigation revealed that the company that won the bid did not have the structure to provide the contracted service. Even so, it took on the execution of school transport without having compatible vehicles or staff. Witnesses reported that drivers were hired informally before the contract was signed, during meetings attended by the then mayor, his brother, Elias Guimarães Borges Filho, and others involved. One of the deponents stated that the company acted like an “orange” and described the operation as disorganized: “everything was messed up”, according to a report recorded in the process. Evidence of misuse of vehicles was also identified, which, according to the decision, were used in private activities. Suspicious financial movements According to the investigation, Futura Veículos e Tratores Eireli received more than R$741,000 from the city hall between 2013 and 2015. According to the banking analysis, the amounts were quickly withdrawn or transferred to individuals with no formal link to the contract. The investigation identified direct payments to the former mayor, who allegedly received at least R$30,000, and to his brother, who received R$28,000, without legal justification. According to the ruling, deposits were made in fractions and close to cash withdrawals, a pattern that indicates payment of bribes. City Hall of the municipality of Caldas (MG) Fabiana Assis/g1 Convictions In total, nine defendants were convicted of administrative misconduct. Feathers include: suspension of political rights; payment of fines; return of amounts received; Prohibition of contracting with public authorities. The former mayor was sentenced to: return R$35,000 received incorrectly; pay a fine of R$100,000; have political rights suspended for 8 years; Pay compensation of R$75 thousand. His brother also had his political rights suspended for 8 years, in addition to a fine and refund of funds. Others involved received sentences proportional to their participation in the scheme, including fines of up to R$60,000 and suspension of political rights for up to 6 years. Furthermore, the Court ordered the payment of R$300,000, proportionally among those convicted, as punitive compensation. In the sentence, the judge highlighted that the case is not a mere administrative irregularity, but a structured scheme to divert public resources. Court sentences former mayor of Caldas and eight others for fraud in school transport The decision also points to coordinated action between public and private agents, with division of functions and clear intention to obtain undue advantage. What the defenses say As the decision is of the first instance, it is possible to appeal. The defense of Ulisses and Elias Guimarães stated in a statement that they are absolutely innocent. The defense also said that the decision is not definitive, that they have a history of rectitude and that they will appeal to the Federal Regional Court of the 6th region believing in the reversal of the sentence. EPTV also tried to contact the company Futura Veículos and other convicts, but has not yet received contact. See more news from the region on g1 Sul de Minas