Carlos Nuzman, who is also an honorary International Olympic Committee member, was held for questioning last month by Brazilian and French authorities. They said he was a central figure in channeling USD 2 million to Lamine Diack, a former IOC member from Senegal who helped secure votes when Rio was picked by the IOC in 2009.
Today, police said Nuzman would be held because investigators found he had tried to hamper the investigation by regularizing assets likely gained with illicit money. About two weeks after being held for questioning, Nuzman amended his tax declaration to add about USD 600,000 in income, according to the arrest order.
Investigators said they had also recovered a key they believed was for a safe in Switzerland containing gold.
In Nuzman's last 10 years as Brazilian Olympic Committee president, his net worth increased 457 per cent, according to investigators.
Also Read
Nuzman's lawyer, Nelio Machado, told news portal G1 that being detained like this was "harsh and unusual."
Leonardo Gryner, director-general of operations for the organizing committee, was also arrested today morning.
Brazilian authorities have said the behind-the-scenes dealings to win the vote amounted to a "criminal organization." The 75-year-old Nuzman was one of the most prominent figures in bringing the games to Rio.
"Given the new facts, the IOC ethics commission may consider provisional measures while respecting Mr Nuzman's right to be heard," said the statement, which did not offer more details.
Disclaimer: No Business Standard Journalist was involved in creation of this content