Brazil Suspends Money Transfer to NGOs After Political Scandal
Brazilian President Dilma Rousseff suspended all money transfers to non-governmental organizations in response to allegations that the former sports minister Orlando Silva was using this type of contract to divert government funds.
Rousseff signed a decree suspending payments to so-called NGOs for up to 30 days to assess the execution of programs the government hired the organizations to carry out, according to the Presidential Palace blog.
Silva had responsibility for organizing the 2014 FIFA World Cup and resigned last week, the fifth Cabinet official to leave Rousseff’s government amid corruption allegations since June. He helped divert more than 40 million reais ($23 million) from a government program to encourage poor children to practice sports, which was carried out through NGOs, according to a story published Oct. 15 by Sao Paulo-based weekly magazine Veja.
Silva, 40, said on Oct. 26 he was resigning to defend his honor, and denied any wrongdoing.
To contact the reporter on this story: Andre Soliani in Brasilia at email@example.com