In Controversial Move, US Calls Brazil Gangs Terrorists

Washington is slapping a terrorism label on Brazil's two most notorious drug gangs—a move with heavy political undertones in the nation. The State Department on Thursday said First Capital Command and Red Command will be designated terrorist organizations, citing operations in more than a dozen US states and a threat to American public safety, reports the New York Times. The reason the move is controversial? President Luiz Inacio Lula da Silva opposed it, saying it would infringe on Brazil's sovereignty and might open up Brazil to military intervention from the US, per El Pais.

At the same time, the US decision is being celebrated by Flavio Bolsonaro, son of the jailed former president, and it might give him a boost in his bid to unseat Lula in the upcoming presidential election, notes the Guardian. The younger Bolsonaro lobbied for the designation in a White House meeting this week with President Trump and Secretary of State Marco Rubio. "On a trip as a presidential candidate, we did more for Brazil and for the security of Brazilians than Lula," he wrote. The move could rattle Brazil's banking sector, since US sanctions tied to terror listings can hit institutions that have unknowingly done business with gang-linked companies.