Brazil: Investigation launched into World Cup corruption

15 Avqust 2015 12:43 (UTC+04:00)

Brazilian prosecutors have launched an investigation into allegations of corruption and overpricing in the construction of a stadium used during last year's football World Cup, SIA reprots citing the BBC.

They believe building construction giant Odebrecht inflated the price of the Arena Pernambuco by $12m (£7.8m).

Federal Police have carried out raids in several Brazilian cities.

The company's president, Marcelo Odebrecht, is in jail in connection with a separate corruption scandal.

He was charged last month with corruption and money laundering for allegedly paying bribes to secure contracts with the state-owned oil company, Petrobras.

Mr Odebrecht has denied the charges and said he would appeal.