State-controlled financial institution Banco do Brasil has resumed its partnership with the Brazilian Volleyball Confederation (CBV) five weeks after a government investigation into the national governing body’s mismanagement of sponsorship funds brought about a suspension of payments.
The investigation reported that CBV directors failed to distribute $11.3m (€9.1m) of sponsorship income to athletes between 2010 and 2013, with allegations of money being directed towards friends and family of confederation officials.
Banco do Brasil withdrew its support until the irregularities were investigated by Brazil’s Office of the Comptroller General (UGC), which has now established a supervisory board and ombudsman to oversee the resurrected sponsorship.
The CBV is now required to comply with all guidelines from the UGC investigation within 90 days in order to retain a commercial backer it has partnered with since 1991. These include new standards for hiring staff and setting up a committee to support the board drawn from the volleyball community. It must also set parameters to ensure prompt payment of sponsorship bonuses to athletes.
CBV president Walter Pitombo Larangeiras said: “The CBV never thought to terminate the sponsorship, but we are aware that we needed to rationalise spending, improve control and management that could generate even more achievements, further development and even more pride to Brazilians. We have this commitment not only to Banco do Brasil, but with our other partners, our athletes, and most importantly, the commitment to the Brazilian volleyball lover.”
Volleyball represents a major medal target for Brazil when it hosts the 2016 Olympic Games in Rio de Janeiro. The men’s team has won gold or silver at the past three Olympics, while the women are two-time reigning champions.