Police investigate overpriced contracts for World Cup stadium
Arena Pernambuco
Federal Police served ten search and seizure warrants at Odebrecht construction company offices in the states of Pernambuco, Bahia, Minas Gerais, São Paulo and Rio de Janeiro and the Federal District on Friday (Aug. 14). Police also seized documents at the homes of two co-owners of the company and at the headquarters of the Steering Committee on Federal Public-Private Partnerships in Pernambuco.
The crackdowns are part of Operation Fair Play, an investigation into an estimated $12.20 million surcharge in overpriced contracts to build the Arena Pernambuco stadium to host the 2014 FIFA World Cup.
Odebrecht has been targeted by Operation Car Wash under suspicion of overpricing in Petrobras contracts, and is now charged with fixing the auction for the stadium contract. According to the Federal Police, Odebrecht was authorized to draw up the basic project design without bidding. In its document, the company omitted details and cost descriptions and made exorbitant technical requirements on tight deadlines, which impaired the chances of other competitors at the auction.
The people involved in the scam will be prosecuted for criminal conspiracy for the purpose of obtaining unfair advantages from public officials and bid rigging.
Federal Police have contacted the National Development Bank (BNDES) to inquire about financing provided to Odebrecht.
The construction firm's press office affirmed that they were fully convinced that the project was legal and compliant.
Translated by Mayra Borges
Fonte: Police investigate overpriced contracts for World Cup stadium
