Brazil's federal audit court (TCU) on Wednesday declared President Dilma Rousseff's budgeting practices unlawful, paving the way for opposition parties to argue that the president should be impeached for breaking the law.
The TCU ruled that Rousseff's government breached the standard budgeting practices in 2014 by taking unauthorized loans from state-owned banks to reduce fiscal deficit.
"The accounts are not in a condition where they can be approved. We recommend their rejection," TCU lead judge Augusto Nardes said, according to AFP.
The Brazilian government defended it's accounting practices and announced that the ruling would be challenged in the Supreme Court, according to Latin Post.
TCU's ruling is not legally binding, but opposition parties are going to use TCU's ruling for impeachment proceedings against Dilma Rousseff in Congress.
"This establishes that they doctored fiscal accounts, which is an administrative crime and President Rousseff should face an impeachment vote," said opposition leader Carlos Sampaio, according to Reuters.
"It's the end for the Rousseff government," said Rubens Bueno, leader of another opposition PPS party.
The TCU decision against embattled Brazilian President came one day after country's electoral court (TSE) gave nod for an investigation into Rousseff's re-election campaign in 2014.
"Rousseff and Vice President Michel Temer were involved in abuse of economic power, and of fraud, by funding campaign expenses... with donations from Petrobras contractor companies as part of the bribes distribution," the complaint to TSE said, according to Merco Press.
