Reuters reports that FIFA also fined him 500,000 Swiss francs (390,821.19 pounds).
Alvarado was investigated in relation to matches organized by the Panamanian Football Association.
The investigation was also related to contracts for Confederation of North, Central American and Caribbean Association Football (CONCACAF) media and marketing rights between 2009 and 2011.
The adjudicatory chamber of FIFA’s independent Ethics Committee said it had imposed the ban on Alvarado with immediate effect.
He was a former FIFA standing committee member.
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