A leaked recording in which Jorvan Vieira purportedly insulted Smouha's chairman and Egypt has prompted the Alexandria-based club to fire him on Tuesday, bringing in Helmi Toulan as a replacement.
A television sports show aired what it said was a phone call between Vieira and an agent in which the Brazilian coach allegedly said: "I'm ready to go to leave this fu***** country."
He also purportedly called Smouha's chairman Farag Amer, a well-known Egyptian businessman, a crazy man and said he was ready to "leave tomorrow" if he received any offers.
Vieira was reportedly frustrated over delayed payments but media reports quoted him as saying the recording was not his.
"Toulan becomes Smouha's new coach," the club said on its official Twitter account.
Amer said earlier he could never tolerate an insult to the country.
Vieira's dismissal comes despite Smouha's fine run in the Egyptian Premier League, with the club moving to the second place following a 2-1 win over Ismaily on Monday.
The 62-year-old, who was named as Smouha's boss in July, is best known for steering Iraq to a historic Asian Cup triumph in 2007.
He has vast experience in the Arab leagues; working as a head coach in Qatar, Oman, the UAE and Morocco.
At the international level, Vieira was in charge of Kuwait and the U-20 teams of Malaysia and Iraq.
He previously worked in Egypt with Ismaily (2001) and Zamalek, helping the latter finish on top in their Egyptian Premier League group in the 2012/13 season with 13 victories from 15 matches.
Zamalek also reached the African Champions League group stage under Vieira's guidance.
Vieira left his post with the Cairo giants after the Egyptian league cancellation in 2013 following the massive anti-government rallies that ousted Egypt's then-president Mohamed Morsi.
Smouha were promoted to Egypt's Premier League for the first time in the 2010/2011 season.
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