Brazil court blocks funding for Olympic project

Brazil court in Rio de Janeiro blocks funding for Olympic Deodoro complex due to fraud

Photo by: Reuters (Archive)
Photo by: Reuters (Archive)

An aerial view of the Rio 2016 Velodrome venue at the Olympic Park construction site in Rio de Janeiro, Brazil, July 29, 2015.

A court in Rio de Janeiro has blocked funding from state lender Caixa Economica Federal to the consortium building the Olympic Deodoro complex where 11 sports will be held in August, a source familiar with the matter told Reuters on Tuesday.

News site G1 reported earlier on Tuesday that the suspended funds totaled 128.5 million reais ($35 million). Prosecutors in Rio claim to have found evidence of fraud in earthmoving services at the complex based on documents they have seen, G1 said.

Deodoro is the second-largest cluster of Olympic venues. The Rio prosecutors' office, the regional court, Rio mayor's office and Caixa would not confirm the blocked funds.

TRTWorld, Reuters