The definitive version of the report that establishes the Regulatory Framework (PL 442/91) for the betting and betting segment in Brazil is a broad, modern document that follows best worldwide practices. With 162 articles, the proposal will be evaluated by the Working Group on the Regulatory Framework for Gambling in Brazil, seeking evaluation, improvements and approval. Subsequently, the document will be sent to the president of the Chamber, Deputy Arthur Lira (PP-PI).
The text has a series of legal concepts in relation to new regulations and the various modalities, with gambling and betting being classified as a typically private economic activity subject to state control. In addition, the proposal frees up the exploitation of casinos, bingos, Jogo do Bicho, gambling machines, sports betting, tourist betting and skill games.
The bill determines that the gambling and betting market will be regulated by the Union through the creation of a regulatory body, as well as establishing the National System of Gambling and Betting with representatives of the state regulatory body, operators, employees, auditing companies and self-regulatory entities .
As it is an economic activity subject to State control, access to this activity will not be free, but conditioned on the achievement of acts such as authorization to set up game operators, licenses, among others. In addition to the rules, specific conditions for licensing the modalities of these businesses are established. For the first time, there are specific rules for skill games.
For more sensitive topics, such as pathology, money laundering and control, specific chapters for gaming protection were defined. In addition to Money Laundering and Terrorism Financing prevention, supervision and inspection.
National Policy for the Protection of Players and Bettors
“The creation of the National Policy for the Protection of Players and Bettors is being proposed through the establishment of public policy guidelines for these people. A chapter was also introduced with a minimum set of ‘Guarantees of Honest and Trustworthy Gaming’ in line with international good practices with basic rights of players and bettors, as well as clear rules for advertising for the activity”, contained in an article signed by Felipe Carreras, Federal Deputy and rapporteur of the Working Group on the Regulatory Framework for Gambling in Brazil, at Correio Braziliense.
Another action related to responsible gaming refers to the National Register of Players and Bettors (Renajogo), a database focused on registering players and bets. Therefore, no one can bet in the country without being properly registered. In that bank will be the bets and the prizes. Another relevant point is the prediction of rules for the prevention and limitation of losses, as well as the indebtedness of players.
“The chapter on loss prevention and limitation establishes that gaming and betting operators and tourism entities must have internal control mechanisms and systems that allow the player and bettor to establish or define: daily limit on game or betting time , maximum loss limit, pause period and self-exclusion”, according to Carreras in an article published this Wednesday, 15.
Money laundry
To prevent money laundering, the project has rules such as the obligation to create prevention policies and processes. “Among other innovations, it is worth mentioning the rule that any payment or receipt of amounts related to a game or bet that has an operator or tourism entity as a counterparty is made exclusively through transfers to and from current, savings or of payment maintained in a financial institution or payment institution authorized to operate by the Central Bank of Brazil”, wrote the deputy.
Another novelty of the project to avoid irregularities is the collection, evaluation, verification and updating of registration data so that players and bettors, as well as partners, employees and outsourced professionals, can get to know each other. All gaming operations must be recorded in order to recognize suspicious behavior and cases. Another point is that all transactions involving amounts exceeding 10 thousand reais must be reported to the Financial Activities Control Council (Coaf).
Felipe Carreras reveals great difficulty of the Working Group
“There will always be opposing positions in relation to gambling, but the worst of the scenarios is the underground, which feeds parallel crimes and the impossibility of clear rules. The positive benefits of legal gambling far outweigh the disadvantages proposed by any person or group against gambling. This activity will not start in Brazil with legalization by the National Congress, as it already exists and moves billions of reais annually without any counterpart to the State and society”, reinforced the project’s rapporteur.
Carreras concluded: “The real challenge of the Working Group was to create a modern and comprehensive legislation that allows Brazilians to exercise their desire to play under the watchful eyes of clearly defined rules by the State and their effective application as an instrument to promote tourism, to job and income generation and regional development”.
