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World

Exclusive: Brazil probing corruption at Olympic venue

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Opening sequence

World

Exclusive: Brazil probing corruption at Olympic venue

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COMING UP:Exclusive: Brazil probing corruption at Olympic venue

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Transcript

00:00:01
>> The Olympics that were meant to showcase Brazil's rise as a global power now exposing the country's shortcomings. According to a Reuters exclusive, Brazilian investigators are expanding their probe into possible corruption around the staging of the Olympic games this August. Reuters correspondent Brad Brooks is in Rio de Janeiro.
00:00:21
>> The most important development is that federal prosecutors have said that they're focusing their investigation probe directly on Olympic projects as opposed to so called Olympic legacy projects. That means that they're focusing on the arenas that are being built, they're focusing on other venues, on services that have been contracted for the Olympics such as security and food.
00:00:46
Federal prosecutor Leandro Mitidieri is also investigating what happened to federal funds earmarked for cleaning up the polluted Guanabara Bay where Olympic sailing events will take place. Another team of federal prosecutors is investigating whether the state water utility company, CEDAE, committed environmental crimes by not properly treating sewage in Rio's metropolitan area of 12 million people.
00:01:11
The probe's adding to Brazil's long list of problems.>> This investigation is another blow for Brazil. It is dealing with a political and economic crisis. Its president, Dilma Rousseff, suspended president, Dilma Rousseff. Her impeachment trial will be going on while the Olympics plays out in Rio de Janeiro.
00:01:32
It also comes as Brazil deals with a health crisis in the form of the Zika virus.>> Five construction firms are building most of the $10.8 billion worth of venues and infrastructure needed for Rio's Olympics. All five companies are caught up in an investigation into price fixing and kickbacks at Petrobras.
00:01:50
A two-year probe that has seen scores of top executives and politicians jailed, charged or under investigation.