Federal police allege that over the past decade, the National Social Security Institute (INSS) made unauthorized deductions from payments made to millions of pensioners.

The money was allegedly paid to several associations and unions, which then shared the earnings with corrupt government officials. Lupi has always denied any wrongdoing and said he ordered an investigation as soon as he heard about the allegations.

"I am making this decision with the certainty that my name has not been mentioned at any time in the ongoing investigations," Lupi wrote on X when announcing his resignation. "I hope that the investigations follow their natural course, identify those responsible and punish, with rigor, those who used their positions to harm the working people," he wrote. (BBC)