LOS ANGELES—Another artwork from the collection of disgraced Brazilian businessman Edemar Cid Ferreira has been uncovered, reports Artnet.

Ferreira was sentenced to 21 years in prison last year for bank fraud and money laundering in connection with the failure of the Brazilian Banco Santos, which left behind $1 billion in debts. At the time, about 30 artworks worth $30 million from his collection were missing, according to Brazilian officials who say Ferreira shipped them out of the country as part of a money-laundering scheme. In 2007, U.S. officials claimed that Jean-Michel Basquiat's Hannibal had been smuggled into New York in connection with the scheme.

Now, federal agents have seized Roy Lichtenstein's Modern Painting with Yellow Interweave (1967) from the Los Angeles home of collector Seth Landsberg, who, according to a court reporting service, bought the work for $1.3 million last year from L.A.'s Ace Gallery. At the time of the purchase, Ace, which had the work on consignment from a gallery called Pacific Heights, had it appraised for $3.5 million; Landsberg bought it with the intention of flipping it through Sotheby's, which is apparently how it caught authorities' attention. The work is now heading back to Brazil, and Landsberg is suing Ace and Pacific Heights for breach of contract.