The mayor of a populous Mexico City suburb warned Tuesday of potentially catastrophic flooding on the southeastern outskirts of the national capital that could impact up to 100,000 residents.

Mayor Luis Enrique Martinez Ventura of Valle de Chalco Solidaridad, where floods have already ruined the homes of 500 residents, told reporters that a nearby canal carrying sewage was in poor condition and could easily send a torrent wastewater into an area mostly populated by blue collar workers who commute to jobs in nearby Mexico City.

A wall in the canal, known as Canal of the Company, cracked open after heavy rains fell on the Mexico City area April 16. The canal's walls have

failed three times over the past ten years, causing large-scale floods in the Chalco Valley.

The flooded area is prone to inundations because it has sunk over the past two decades, like many parts of Mexico City. The most recent flood came in February 2010 after unusually heavy rains fell on the area and forced an estimated 18,000 residents to leave their homes.

Government officials have offered compensation and vaccinations to the flood victims.