Judge blocks privatization of Maracana

Judge blocks privatization of Maracana

Published May. 11, 2013 1:59 a.m. ET

A judge has blocked the Rio de Janeiro state government from giving a multinational consortium the rights to run the new Maracana for the next 35 years.

Brazilian construction conglomerate Odebrecht, Los Angeles-based sports and entertainment company AEG, and the sports and entertainment company IMX, which is owned by Brazilian billionaire Eike Batista, were announced as the rights' winners on Thursday, but a local judge said Friday that the deal can't be finalized until there's a final decision about the legality of the privatization process.

Critics have been saying the deal will give the state government less money than it invested in the venue and will lead to the demolition of an indigenous museum, a public school and some athletics facilities in the area.

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