Decision of the TRF-3 is valid for the entire national territory;

MPF action was proposed in 2000, aiming to protect the environment.

The Federal Savings Bank can only finance the construction of housing with funds from the Guarantee Fund for Length of Service (FGTS) entrepreneurs to assume responsibility for construction and operation of sewage treatment plant. The decision of the Federal Court of the 3rd Region meets the request of federal prosecutors.

The civil action was proposed in 2000, when the MPF in Bauru found that a housing development was built in the municipality of Barra Bonita FGTS and was allowed to occupy the houses without a sewage treatment plant was completed. "The evictions health, directly or indirectly released into rivers are primarily responsible for the commitment of preventive health, and environmental degradation", said the prosecutor Pedro Antonio de Oliveira Machado.

Through this action the Federal Public Ministry was also looking for ways to prevent the drastic reduction in investment in sanitation, made from FGTS determined by the National Monetary Council resolutions.

Attorney Peter Machado pleaded the unconstitutionality of the resolution 2.653/99 incidental National Monetary Council (CMN), which limited the amount of loans from institutions in the National Financial System with agencies and public sector entities to 45% of its assets net. For the MPF, making it difficult to allocate funds from the FGTS for sanitation works.

Injunction - The federal judge upheld Vitta Heraldo Garcia, in an injunction, the request by determining that the MPF Box conditioned to release FGTS the assumption by the entrepreneurs, the responsibility of building and in perfect operation of sewage treatment plant . The injunction extended to the effects of the decision throughout the country.

NATIONAL EFFECT - The TRF-3, by majority vote, has reformed the sentence, removing the limitation of the decision to the jurisdiction of Bauru and spread its effects throughout the national territory.
TAC - In addition to the benefits brought to the environment, the decision requiring the box to condition the release of funds to build sewage treatment plants, had other positive side effects. Many investments in the construction of affordable housing have been suspended.
 
Thus, when contacted by the Municipalities and Housing, the Federal Prosecutor in Bauru has celebrated some of Terms of Adjustment of Conduct (TACs), allowing the financing with FGTS, since local governments to deploy the system for sewage treatment throughout the urban area, set in the executive project and schedule previously presented.

Source: Assessoria de Comunicação - Procuradoria da República no Estado de São Paulo