Rebelo is a member of Brazil's Communist Party, as Silva was, and replaces he predecessor as the only member of the Communist Party that is part of Rousseff's Coalition Party, which came to power in January this year.

Silva quit after allegations from Brazilian magazine Veja claimed he aimed to embezzle around $23 million (£15 million/€17 million) for himself and his Communist Party over eight years by awarding fraudulent Government contracts for a number of projects, including one that promotes sport for poor children.

Silvia rushed back from the Pan American Games here to defend himself but finally stepped down from his position last night, despite maintaining his innocence, with Rebelo now having been officially named as his successor.

The new Sports Minister now faces a major challenge to stabilise the position with Brazil set to host the FIFA 2014 World Cup and is Rio 2016 Olympic and Paralympic Games, the two the two biggest international sporting events in the history of the continent.

"I accepted the invitation to become Sports Minister and the transition process start now," said Rebelo.

"The orientation is to try to guide the Ministry with the challenges that are ahead for the country with the World Cup and the Olympics and all related tasks."

Rebelo, a congressman with a nationalistic streak, is the former Minister of Institutional Relations and was a key ally of Rousseff's popular predecessor as President Luiz Inacio Lula da Silva.

The 55-year-old is highly respected among opposition legislators and known for taking on tough tasks but his appointment could have major repercussions for the 2014 World Cup, which has already been criticised by FIFA for being behind schedule, due to the fact that Rebelo is a vocal critic of corruption in Brazilian football and particularly of the head of Brazil's football confederation Ricardo Teixeira.

The controversial Teixeira, who is being currently being investigated by Federal Police over a series of corruption allegations, is leading the Brazilian Organising Committee for the 2014 World Cup and is a member of FIFA's ruling Executive Committee.

Rebelo led a congressional inquiry in 2000 into allegations of corruption against the national soccer body that Teixeira leads although it is clear the two will have to make peace, at least in the short-term, to ensure that the chaotic preparations for the 2014 World Cup are not completely derailed.

Rebelo will also assume Silva's duties as the Government lead on the Rio 2016 Games but preparations for that major event are in stark contrast to the 2014 World Cup after the International Olympic Committee (IOC) Coordination Commission praised the Organising Committee when they inspected the city earlier this year.

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