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Odebrecht, the scion of the family that controls the company, formally known as Odebrecht SA, was sentenced to 19 years in prison after being convicted of corruption and money laundering in the Petrobras case in March.
Brazilian newsweekly Veja reported it had seen a plea bargain statement where Odebrecht said Temer asked him for campaign funds in 2014 when he was vice president.
Odebrecht said he contributed 6 million reais ($1.8 million) to Temer’s re-election campaign, according to Veja.
The allegations threatened to further unsettle Temer’s months-old, center-right coalition.
Odebrecht’s testimony could turn undecided senators against convicting Rousseff in the upcoming impeachment proceedings.
Reuters quoted Temer’s spokesperson confirming the meeting where Temer and his aide, Eliseu Padilha, asked Odebrecht for a campaign contribution.
“But it was all legal,” spokesman Marcio de Freitas told Reuters. He said the donated money had been duly registered with Brazil’s electoral authorities, but gave no details.
A final decision on suspended President Rousseff by the Senate is expected in several weeks. If she is found guilty, Temer will serve out the remainder of her term, until late 2018. If not, she will be immediately reinstated.
Rousseff is accused of using illegal accounting maneuvers to mask a widening budget gap.
She denies the charges.
TBP and Agencies