Rio cancels contract for Olympic tennis center due to delays

Reuters News
Posted: Jan 14, 2016 2:47 PM

RIO DE JANEIRO (Reuters) - The city of Rio de Janeiro canceled the construction contract for the Olympic tennis center on Thursday, just 200 days before the start of the games, fining the consortium responsible for delays and breach of contract for the mostly finished venue.

Rio has fined the consortium responsible 11 million reais ($2.76 million) according to an entry in the city's Official Gazette. The consortium was made up of local builders IBEG Engenharia e Construções, Tangran Engenharia and Grupo Damiani.

Rio City Hall, which is responsible for the construction, did not say how the tennis center, which is 90-percent complete, will be finished.

Reuters was unable to contact the companies that make up the consortium for comment.

Last week, laid off construction workers who had been building the venue protested outside, saying they were owed money by the consortium. A container caught fire, but no damage was done to venues and no one was injured.

($1 = 3.99 Brazilian reais)

(Reporting by Pedro Fonseca; Writing by Stephen Eisenhammer; Editing by Bill Rigby)