The Brazil’s Federal Government impounded the accounts of the State of Rio de Janeirodue to the large unsettled debt, Take-profit.org reports quoting Associated Press.
It has been noted in the government’s statement that the State owes 170 mln reals ($53 mln) to the federal government. The accounts will remain impounded, before the debt is not settled.
Governor of the State of Rio de Janeiro Luiz Fernando Pezao informed to news portal G1 that it intends to go to the capital of Brazil for negotiations.
The decision on impounding accounts will become the continuation of the past financial crisis. The State announced about the emergency financial situation in June in anticipation of the Olympic Games 2016, which were held in Rio de Janeiro in August.
In connection with the drop in oil prices, state authorities believed that they can fail to fulfill their obligations on holding the Olympic Games.
