Zona de Azar Brazil – Brazil: Justice Maintains Betano’s Ban in Rio de Janeiro

Brazil.- August 06, 2024 www.zonadeazar.com On Wednesday (31), the Federal Court denied Betano’s request to resume its activities in Rio de Janeiro. The company had claimed that an injunction issued on 19 July would allow it to suspend the blockade imposed by the Rio de Janeiro State Lotteries. However, Judge Rodrigo de Godoy Mendes, of the 7th Court of Brasília, rejected this interpretation.

Understanding the Betano blockage case
The Betano operator in Brazil filed a request for an injunction to prevent future blockages by Loterj (Lottery of Rio de Janeiro). This request was made prior to the withdrawal of more than 100 unlicensed bookmakers, which began on 23 July.

Betano is still blocked for users in Rio de Janeiro
The company also asked for the suspension of the administrative sanctioning process set up by Loterj to penalise companies that don’t follow state rules. On 19 July, the court partially granted the injunction, suspending the administrative process but maintaining the blockade. Judge Rodrigo de Godoy Mendes contested Betano’s argument that the suspension of the process justified restoring access to the company’s website.

Judicial decision
Judge Rodrigo de Godoy Mendes rejected Betano’s argument and said that if the company believes there has been non-compliance with the previous decision, it should appeal. He also asked Loterj to comment on the alleged breach. The decision maintains Betano’s ban on operating in Rio de Janeiro.

Betano and other companies banned 
Anatel (the National Telecommunications Agency) imposed a sanction on 23 July, following a court order at Loterj’s request. This measure affected at least 115 companies in the betting sector.

Loterj obtained a court order at the end of June to take down betting sites that were not officially registered in Rio de Janeiro. The basis for this action was a state decree on the regulation of betting, which was issued before the approval of Law 14.790 of 2023, which regulates sports betting in Brazil.

Unregulated bookmakers are being banned in the state
According to this law, Loterj is responsible for supervising the betting sector in Rio de Janeiro. At the time, Provisional Measure 1,182 of 2023 was in force, which also dealt with this issue. Both the law and the Provisional Measure established that the Treasury would be responsible for overseeing these companies and granting new licences.

Article 4 of Law 14.790 of 2023 states: “Fixed odds betting will be operated in a competitive environment, subject to prior authorisation to be issued by the Ministry of Finance, under the terms of this Law and the regulations referred to in § 3 of art. 29 of Law 13.756 of 12 December 2018.

Criticising the blockade
The National Association of Games and Lotteries (ANJL) represents companies operating games and lotteries that are legally authorised in Brazil or in the process of being legalised. ANJL aims to defend the interests of the sector, cooperate with legislators and executives, and contribute to the recognition of the segment as a productive sector of the economy.

ANJL
In addition, ANJL seeks to prevent the evasion of foreign currency, promote tax collection and guarantee the correct exploitation of the sector, including protection against compulsive gambling and the participation of minors. ANJL’s position contrasts with Loterj’s suspension of betting sites, which, according to the organisation, took place without consulting the companies and at a time of ongoing regulation in the country. It is hoped that the gaming and lottery market will continue to evolve in Brazil, with ANJL playing an important role in this process.

Edited by @pererarte   www.zonadeazar.com