Sadia claimed that defendant Ferreira had violated his duties of care and
loyalty by engaging in derivative transactions that breached the company’s
financial policies, including their contracting limits and risk exposure ceilings.66
Sadia also alleged he withheld information on the transactions from the board
of directors and its committees. It claimed causality between his actions and
omissions and the company’s financial losses, and requested indemnification
against all the losses suffered. Although the Aracruz lawsuit proceeded in
secrecy of justice,67 it is very likely that its legal arguments were generally