Temer gives free rein to millionaire spending on campaigns.

BRASILIA/SAO PAULO (Reuters) President Michel Temer vetoed on Friday night parts of the political reform approved by the National Congress that dealt with rules for an electoral financing fund and that limited donations from a candidate to their own campaign.

According to the Presidency of the Republic, Temer also vetoed --as he had announced earlier-- a provision that required the suspension of content considered offensive to political parties after a complaint and subsequent identification of authors, even without a court order.

Temer also vetoed the repeal of a provision that allows candidates to use their own resources in their campaigns up to the spending limit established by law for the office they are running for.

Thus, the current rule remains in place, according to which a candidate can contribute 100 percent of their campaign funds, provided they respect the spending limits for the position they are seeking. If the repeal were upheld, the candidate would have to respect the limit of 10 percent of their gross income when making donations to themselves.

A series of vetoes were also issued regarding regulations approved by parliamentarians concerning the Special Campaign Financing Fund (FEFC). According to the Presidency, the now-vetoed provisions "could distort the Fund's broader objectives."

The Planalto Palace also decided to veto, in an agreement with the deputies, a provision included in the law by the Senate that limited the use of party funds for majoritarian elections -- which excluded federal and state deputies and city councilors. The justification was to make the law more equitable.

One of the versions for distributing resources from the new electoral fund was also vetoed, as there were two formats, one prepared by the Senate and the other by the Chamber of Deputies. The Presidential Palace opted for the Chamber's version.

Reporting by Lisandra Paraguassu, in Brasília, and Eduardo Simões, in São Paulo.