About 20 people were part of the league that carried out the bank robberies, where roads were blocked off with burning vehicles and bombs were placed around the city to prevent police operations.
About ten vehicles were used in the bank robberies.
A victim was shot dead when the league discovered he was filming the robbery.
A cyclist was seriously injured when a bomb exploded.
One of the dead is believed to have belonged to the criminal gang.
The league also took several people hostage, at least one of whom was tied to the roof of a getaway car.
Late on Monday, most of the perpetrators were still at large. Schools were kept completely closed, and residents were urged not to go out. Dozens of bombs were still deployed in Araçatuba, according to military police Alexandre Guedes.