The city government of São Paulo, Brazil, unilaterally terminated its contract with Instituto Conhecer Brasil to provide free Wi-Fi in communities across the city. The decision was formalized on November 9, effective November 6. The partnership, which was due to end on December 19, exceeded R$157 million after amendments.
Among the reasons, the city administration cited financial and operational difficulties reported by the institute and the suspension of payments ordered by Justice Flávio Dino of Brazil’s Supreme Federal Court. According to the city government, about 3,200 of the 5,000 planned access points were installed.
Brazil’s Federal Police are investigating whether funds from the program were diverted to finance Dark Horse, a film about former Brazilian President Jair Bolsonaro. Instituto Conhecer Brasil denied wrongdoing in the contract.
The organization will have to account for its spending and, if misuse is found, return the funds. The termination notice does not say how access will be maintained at the installed points or whether a new contract will be awarded.
