The Accounts Tribunal of the Brazilian state of Pernambuco (TCE) has stepped in to halt a project to rebuild and reinforce the breakwater at the Port of Suape at a cost of $156m. The contract was due to be carried out by Infinito Engenharia Ltda.
The precautionary measure has been taken to prevent possible damage to public funds, pending a definitive decision by the Court on this matter. According to TCE, suspending the contract had been recommended because of irregularities in the granting of the contract.
The most notable anomaly was the lack of a bidding process, given that all other contracts in the port have to be put out to open tender. There also appeared to have been over-estimates of taxes that needed to be paid. While these were corrected by the port authority, TCE auditors wanted to know why the technical manager had been exempted.
