This Friday (12), the Prizes and Bets Secretariat of the Ministry of Finance launched Ordinance SPA/MF 1,143, which provides for policies, procedures and internal controls to prevent money laundering in accordance with Law No. 9,613, of 3 March 1998.
Furthermore, the regulations include guidelines to inhibit the financing of terrorism and the proliferation of weapons of mass destruction (PLD/FTP) and other related crimes to be adopted by betting operators that operate fixed-odd bets, in accordance with Law No. 13,756 , of December 12, 2018, and nº 14,790, of December 29, 2023.
The inspection, monitoring and sanctioning rules for non-compliance with the provisions set out in the ordinance, published in the Official Gazette of the Union (DOU), will be implemented by the Prizes and Betting Secretariat from January 1, 2025.
The current Secretary of Prizes and Betting, Regis Dudena, signed the measure.
New ordinance from the Prizes and Betting Secretariat in full:
Provides for policies, procedures and internal controls to prevent money laundering, as covered by Law No. 9,613, of March 3, 1998, on the financing of terrorism and the proliferation of weapons of mass destruction (PLD/FTP) and other related offenses to be adopted by betting operators operating fixed-odd bets, as covered by Laws No. 13,756, of December 12, 2018, and No. 14,790, of December 29, 2023.
THE SECRETARY OF PRIZES AND BETS OF THE MINISTRY OF FINANCE, in the use of the powers conferred on him by art. 55, item I, of Annex I of Decree No. 11,907, of January 30, 2024, and in view of the provisions of Law No. 13,756, of December 12, 2018, in Law No. 14,790, of December 29, 2023 and in Law No. 9,613, of March 3, 1998, resolves:
CHAPTER I
OBJECT AND SCOPE OF APPLICATION
Art. 1 This Ordinance provides for policies, procedures and internal controls to prevent money laundering, terrorist financing and the proliferation of weapons of mass destruction (PLD/FTP) and other related crimes to be adopted by operating agents who operate fixed-odd bets referred to in Laws No. 13,756, of December 12, 2018, and No. 14,790, of December 29, 2023, in compliance with the duties assigned to them by arts. 10 and 11 of Law No. 9,613, of March 3, 1998, by Law No. 13,810, of March 8, 2019, and related legislation.
Art. 2 This Ordinance is applicable to betting operating agents in relation to PLD/FTP duties and prevention of other related crimes that are legally attributed to them, including under the responsibility of their administrators, in accordance with art. 12 of Law No. 9,613, of 1998.
Art. 3 For the purposes of this Ordinance, the following are considered:
I – betting operator agent: legal entity authorized by the Prizes and Betting Secretariat of the Ministry of Finance to operate fixed-odd bets;
II – bettor: natural person who places a bet;
III – bet: act through which a certain amount is placed at risk in the expectation of obtaining a prize;
IV – betting exchange (bet exchange): category in which bettors bet against each other and the bet multiplier value (odd) is defined between them and not by the operating agent, who can charge a commission on the net profit of the bet winner.
V – transactional account: prepaid deposit or payment account, owned by the operating agent, maintained in a financial or payment institution authorized to operate by the Central Bank of Brazil, used as a destination for financial contributions made by bettors, to maintain the values relating to open bets or, at the bettor’s option, to maintain the prizes received;
VI – betting platform: electronic channel integrated into the betting system used to offer sports betting and online games to bettors; It is
VII – platform user: natural person registered on the betting platform, regardless of having placed a bet.
Art. 4 Betting operating agents must request authorization to use the Financial Activities Control System (Siscoaf), as indicated on the Financial Activities Control Council (Coaf) page on the internet, keeping their data and information updated in the system. of corresponding users.
CHAPTER II
POLICIES, PROCEDURES AND INTERNAL CONTROLS
Section I
General Provisions
Art. 5 Betting operating agents must adopt and implement PLD/FTP policies, procedures and internal controls, observing the provisions of Law No. 9,613, of 1998, Law 13,260, of March 16, 2016 and Law No. 13,810, 2019, as well as prevention of other related crimes, in accordance with applicable legislation.
Art. 6 The PLD/FTP policies, procedures and internal controls must cover guidelines, specifications and mechanisms for checking their effective service by the betting operating agent.
Art. 7 Internal PLD/FTP policies must include, at a minimum, the following guidelines:
I – definition of roles and responsibilities in relation to compliance with the obligations provided for in this Ordinance, without prejudice to the scope provided for in it regarding administrative liability for non-compliance with its provisions, in accordance with art. 12 of Law No. 9,613, of 1998;
II – identification, assessment, analysis and mitigation of the risks that new products, services or technologies may be used for money laundering, terrorist financing and proliferation of weapons of mass destruction (LD/FTP) or other related crimes;
III – development, implementation and execution of a compliance program that encompasses the dissemination of an organizational culture to prevent ML/FTP and other related crimes, as well as integrity, good governance and the ESG (environmental, social and governance) agenda, including under the terms of Law No. 12,846, of August 1, 2013, for employees, partners and outsourced service providers; It is
IV – periodic and continuous carrying out of information and training activities in matters of prevention of ML/FTP and other related crimes, covering employees, partners and outsourced service providers.
Art. 8 Internal AML/FT procedures must include, at a minimum, the following:
I – identification, qualification and risk classification of bettors and platform users;
II – identification, qualification and risk classification of employees, partners and outsourced service providers;
III – assessment and risk classification of its activities related to the operation of bets;
IV – risk assessment and classification in its business activities, contracting and product development, operations with financial and real estate assets; It is
V – risk assessment and classification when hiring employees, partners and outsourced service providers.
Art. 9 Internal controls for PLD/FT must include, at a minimum, the following;
I – recording and maintenance of information relating to its operational, business and administrative activities;
II – maintaining an updated register of bettors and platform users;
III – maintaining an updated register of employees, partners and outsourced service providers;
IV – periodic verification and monitoring of the compliance of payment institutions and financial institutions with which it has a relationship, in relation to the authorization of the Central Bank of Brazil for its operation;
V – monitoring, selection and analysis of operations and activities, whether or not related to the operation of bets, for the purposes of communication to Coaf, in the cases set out in section II of art. 11 of Law No. 9,613, of 1998, as well as carrying out the communications provided for in art. 11 and in the sole paragraph of art. 12 of Law No. 13,810, of 2019; It is
VI – periodic verification of the effectiveness of the adopted policy and adherence to government regulations that include the identification and correction of verified deficiencies.
Art. 10. Betting operating agents must have, in national territory, the necessary resources to implement the procedures and controls defined in this Ordinance.
Art. 11. The betting operator must forward an annual report to the Prizes and Bets Secretariat, by February 1st of the subsequent year, with information on good practices adopted in the previous year, with the purpose of complying with the provisions regarding policies , procedures and controls provided for in this Ordinance.
Art. 12. The policies referred to in art. 7th must be available on the betting operator’s website, which must disclose them, as well as the related procedures and internal controls, among employees, partners and outsourced service providers, using clear and accessible language, at a level of detail compatible with the functions performed and the sensitivity of information.
Art. 13. The policies referred to in art. 7th must be documented, approved by the administrators of the betting operator and updated annually, as well as being compatible with the risk profiles:
I – the betting operator agent;
II – bettors;
III – the quantity and volume of resources involved in virtual and physical bets; It is
IV – employees, partners and outsourced service providers of the betting operating agent.
Section II
Risk Assessment Procedures
Art. 14. Betting operating agents must carry out an annual internal assessment with the aim of identifying and measuring risks of using their products and services in ML/FTP practices or other related crimes, including this assessment in the report provided for in art. 11.
§ 1 It is up to the betting operator to define the risk matrix used for its management.
§ 2 To identify risks, the internal assessment must consider, at a minimum, the risk profiles:
I – bettors and platform users;
II – from the betting operating agent itself, taking into account the specificity of its business model;
III – employees, collaborators, suppliers and outsourced partners; It is
IV – operations, products and services, taking into account distribution channels and use of technologies.
§ 3 The identified risks must be assessed regarding their probability of occurrence and the magnitude of the financial, legal, reputational and socio-environmental impacts.
§ 4 Risk categories must be defined that result in the adoption of reinforced measures in relation to higher risk situations and enable the adoption of simplified measures for lower risk situations.
§ 5 Internal assessments of PLD/FTP and related crimes must document the measured risks, the measures adopted for their treatment and corresponding results.
Section III
Identification, Qualification and Risk Classification Procedures for Bettors and Platform Users.
Art. 15. Betting operating agents must adopt identification procedures that allow the identity of bettors or platform users to be verified and validated at the time of registration, without prejudice to any need for authentication when placing bets or other operations within of the platform.
§ 1 The level of verification and validation of information from bettors or platform users must be defined by betting operating agents in accordance with the risk profile of the person to be identified.
§ 2 It is the responsibility of the betting operator to implement mechanisms that prevent the registration of those prevented from betting, in accordance with art. 26 of Law No. 14,790, of 2023.
Art. 16. Betting operating agents must adopt procedures that allow the qualification of bettors or platform users through the collection, verification and validation of information, compatible with their risk profile.
Single paragraph. Qualification procedures must cover measures aimed at:
I – assessment of the compatibility between the bettor’s economic and financial capacity and the operations associated with it;
II – verification of the condition of the bettor or user of the platform as a politically exposed person (PEP), family member up to the second degree, representative or close collaborator of a person in this condition, in accordance with the rules published in this regard by Coaf; It is
III – obtaining information from the bettor or platform user necessary to compose the minimum set of registration data, as defined in the rules of the Prizes and Betting Secretariat.
Single paragraph. The PEP condition lasts for five years from the date on which the person ceases to be in a position that qualifies him or her in this condition.
Art. 17. The information collected when qualifying bettors or users of the platform must be kept up to date, considering the evolution of the relationship with the qualified person and their risk profile.
Art. 18. Betting operating agents must classify bettors and platform users, based on the information obtained for their qualification, into the risk categories defined in the corresponding internal risk assessments.
Art. 19. The classification of bettors and platform users must be reviewed whenever there is a change in the risk profile of the classified person.
Art. 20. The procedures for identification, qualification and risk classification of bettors and platform users must be formalized in a specific manual, approved by the administrators of the betting operating agent and updated annually.
Section IV
Identification, Qualification and Risk Classification of Employees, Partners and Outsourced Service Providers
Art. 21. Betting operating agents must implement procedures designed to get to know their employees, partners and third-party service providers, including identification and qualification procedures for risk assessment and mitigation.
Single paragraph. The procedures must be compatible with policies to prevent ML/FTP and other related crimes.
Art. 22. Registration data provided by employees, partners and third-party service providers must be validated, updated and stored by the betting operating agent.
Single paragraph. The registration data of employees, partners and third-party service providers must be stored by the betting operating agent for at least 5 (five) years, counting from the end of the relationship.
CHAPTER III
PROCEDURES RELATED TO SENDING COMMUNICATIONS TO COAF
Section I
Monitoring, Selection and Analysis Procedures
Art. 23. Betting operating agents must implement procedures for monitoring, selecting and analyzing bets and operations associated with them with the aim of identifying those that may constitute evidence of ML/FTP practice or another related crime.
Art. 24. Monitoring, selection and analysis procedures must allow the identification of bets and operations associated with them, including their characteristics, parties and other parties involved, values, type of bet and payment method.
Single paragraph. Special attention should be paid to bets and operations associated with them that signal:
I – lack of economic or legal basis;
II – incompatibility with usual activity or market practices; It is
III – possible evidence of ML/FTP or other related crime.
Art. 25. Bets and operations associated with them that involve:
I – person involved or suspected of involvement in activities classified as the crime of money laundering and crimes against the financial system;
II – person who has committed or attempted to commit, facilitate or participate in terrorism, proliferation of weapons of mass destruction or their financing, in accordance with the provisions of Law No. 13,260, of 2016, and Law No. 13,810, of 2019;
III – person domiciled in a jurisdiction considered by the International Financial Action Group (FATF) as high risk or with strategic deficiencies in matters of PLD/FTP or in countries or dependencies qualified by the Special Secretariat of the Federal Revenue of Brazil (RFB) as taxation favored or privileged tax regime;
IV – resistance from the bettor or platform user to provide additional information requested by the betting operating agent;
V – provision of false or difficult-to-verify information, notably for formalizing registration, opening an account, registering a bet or other operation on the betting platform;
VI – contribution of values for which there is suspicion as to their origin;
VII – payment of a prize that is suspected of being used for LD/FTP or fraud;
VIII – payment of a bet prize for which results are suspected of manipulation, in accordance with art. 177 of Law No. 14,597, of June 14, 2023 (General Sports Law);
IX – incompatibility between the operations carried out by a bettor and his usual pattern of activities, his occupational information or his apparent financial situation;
X – atypical movement of values in a way that may suggest the use of an automated tool by the bettor;
XI – contribution or withdrawal of values, in a short period of time, which may suggest fractionation or concealment of the operation;
XII – withdrawal, or attempted withdrawal, of resources from the bettor’s transactional account, immediately after making a deposit, without placing a bet;
XIII – misuse of an account by someone other than its holder;
XIV – evidence of the use of an account by an intermediary who places bets for other people;
XV – contributions in a quantity that may suggest the practice of betting intermediation;
XVI – betting in the betting exchange category in which there is evidence of an arrangement by two or more bettors to bet on different results, with the purpose of transferring values between them, aiming at the practice of LD/FTP;
XVII – accounts opened in the name of a politically exposed person (PEP);
XVIII – difficulty or impossibility of collecting, verifying, validating or updating registration information of bettors or platform users; It is
XIX – any characteristics that indicate, notably due to their unusual or atypical nature, possible evidence of the practice of ML/FTP or another related crime.
Art. 26. The analysis procedure must bring together the elements based on which it can be concluded whether or not there is a possible indication of ML/FTP practices or other related crimes.
§1º The analysis and conclusion must be documented and its record must remain available for demonstration purposes to the Prizes and Bets Secretariat, regardless of whether they resulted in the forwarding of communication to Coaf.
§2 The deadline for completing the analysis procedure is 30 days, counting from the date of the bet or the operation associated with it.
Section II
From Communication to Coaf
Art. 27. The betting operating agent must report to Coaf bets and other operations associated with them as to which, after analysis, it is concluded that there is evidence of ML/FTP practice or another related crime.
§1 When concluding whether there is evidence of ML/FTP or another related crime, the characteristics, parties and others involved, values, method of execution, means of payment, lack of economic or legal basis or, also, incompatibility with usual activity or market practices.
§ 2 Communications to Coaf must:
I – contain an indication of the elements on which the corresponding analysis was based and explain the reasons why it was concluded that there were signs of ML/FTP or another related crime;
II – mention the possible existence of an intermediary in the context of the facts communicated;
III – detail the characteristics of the bet or other operation associated with it that is communicated, such as category or type of game or bet, method of payment and origin and destination of the resources involved; It is
IV- present information obtained in the procedures for identifying, qualifying and classifying the risk of bettors, users of the platform or other parties involved, which are relevant to clarify the suspicion or recognition of an unusual or atypical nature in relation to what is communicated.
§ 3 Communications to Coaf must be made, without prejudice to other applicable obligations, by the business day following the conclusion of the procedure referred to in art. 26.
Art. 28. Communications to Coaf provided for in this Chapter must be made in accordance with the instructions defined on its website, via the Financial Activities Control System (Siscoaf).
Art. 29. The betting operator agent is prohibited from sharing any information about communication to Coaf with anyone other than Coaf itself and the Secretariat of Prizes and Bets, including bettors, platform users, other parties involved or any third parties, under penalty of liability .
Section III
From the Non-Occurrence Communication to the Prizes and Bets Secretariat
Art. 30. The betting operator, if he does not identify a bet or other associated operation throughout a calendar year that he should report to Coaf, must forward to the Prizes and Bets Secretariat the communication of non-occurrence referred to in item III of art. . 11 of Law 9,613, of 1998.
Single paragraph. Communication of non-occurrence must be sent via the Betting Management System (Sigap), or through another channel that is created and informed by the Prizes and Bets Secretariat.
CHAPTER IV
PROCEDURES FOR IMMEDIATE COMPLIANCE WITH ASSET UNAVAILABILITY DETERMINATIONS FROM THE UNITED NATIONS SECURITY COUNCIL (UNSC)
Art. 31. Betting operating agents must adopt procedures to comply without delay, in accordance with art. 9 of Law No. 13,810, of 2019, resolutions of the United Nations Security Council (UNSC) or designations of its sanctions committees that determine the unavailability of assets owned, directly or indirectly, by individuals, legal entities or entities subject to sanctions resulting from such resolutions or designations.
§ 1 The procedures must include monitoring the lists maintained by the UNSC and its sanctions committees with the people and entities affected by the asset unavailability determinations referred to in this article.
§ 2 Betting operating agents must also adopt procedures to fulfill the other duties assigned to them by Law No. 13,810, of 2019, notably the communication duties provided for in its art. 10 and in the sole paragraph of its art. 14.
CHAPTER V
GUARDING AND MAINTENANCE OF RECORDS AND DOCUMENTS
Art. 32. Betting operating agents must maintain records and documents related to compliance with the provisions of this Ordinance for at least 5 (five) years, without prejudice to other duties provided for in the legislation.
CHAPTER VI
FINAL PROVISIONS
Art. 33. The betting operator is responsible for responding to requests made by Coaf in the frequency, form and conditions established by the aforementioned panel, and preserving, in accordance with the law, the confidentiality of the information provided.
Art. 34. Betting operating agents, as well as their administrators, who fail to comply with the duty established in this Ordinance are subject to the sanctions provided for in art. 12 of Law No. 9,613, of 1998, through an administrative sanctioning process in which interested parties are assured of compliance with the principles of contradictory and broad defense.
Art. 35. The Prizes and Betting Secretariat may issue, within the limits of its institutional powers, complementary rules with a view to complying with the provisions of this Ordinance.
Art. 36. The inspection, monitoring and sanctioning rules for non-compliance with the provisions set out in this Ordinance will be implemented by the Prizes and Betting Secretariat from January 1, 2025.
