LUN 20 DE MAYO DE 2024 - 10:54hs.
Federal Senate

Legalization of games of chance is ready for voting in Brazil

The proposal that provides for the legalization of gambling and the reopening of casinos in the country is ready to be analyzed in Plenary, but continues to share opinions in the House. PLS 186/2014, by Senator Ciro Nogueira (PP-PI), authorizes the exploitation of 'games of fortune', online or in person, throughout the national territory.

For the substitute of the senator Benedito de Lira (PP-AL) to the proposal, the regulation contemplates the jogo do bicho; video-bingo and video games; bingos; casinos in integrated leisure complexes; sports and non-sports betting and online casinos. Accreditation for the operation of the bingo and video-bingo game will have a 20-year term, renewable for an equal period, and will be the responsibility of the states. The casinos will be valid for 30 years and may be renewed for successive periods.

After sending the text to the Plenary, after receiving an opinion on the rejection in the Constitution, Justice and Citizenship Commission (CCJ), in March of this year, two applications were submitted that must be voted on before the senators analyze the bill.

The first one (RQS 149/2018), by Senator Fernando Bezerra Coelho (MDB-PE), calls for the joint processing of another project (PLS 595/2015), which provides for the promotion of ecotourism in conservation units through shared management with hotels-casino and creates the Contribution of Intervention in the Economic Domain incident on the operation of hotels-casino (Cide Verde). The matter was in the Commission of Economic Affairs (CAE), under the report of the own Bezerra.

The second request (RQS 150/2018) by Senator Wellington Fagundes (PR-MT) asks that PLS 186/2014 be referred for consideration by the Committee on Regional Development and Tourism (CDR).

The proposal to legalize gambling had been approved last year by the Special Committee on National Development (NEDC), which could decide in a final way. But there was a request to be voted on earlier in the CCJ, where most of the senators rejected it, following the positions of Senators Magno Malta (PR-ES) and Randolfe Rodrigues (Rede-AP), who presented separate votes for the rejection.

Randolfe said at the time that the bill was too permissive, too broad and lacking any more effective state control mechanism, the absence of which could lead to the use of gambling for money laundering, tax evasion, and revenue evasion.

"Its approval will free the exploration of games of chance without any governmental authority controlling this activity, thus fomenting criminal practices," he said in reading his opinion.

The senator argued that the legalization of games would have "negative" psychic and socio-family impact on the contumacious player and would not increase tax revenue nor promote tourism in Brazil, as advocated by the project.

Along the same lines, Senator Magno Malta (PR-ES) affirmed that "there are no reasons or arguments to show that legalizing the exploitation of gambling in Brazil is a wise decision. The bill sells the false image of 'saving the economy', with the claim that legalizing will create jobs and bring about R$15 billion (US$3.7 billion) more tax a year to the public coffers. This number is fictitious, unreal."

Clandestinity

In response, Benedito de Lira argued that establishing a regulatory framework for gaming would help to address the problems that already exist in the clandestinity:

“It is precisely the legalization of games of fortune that will end the clandestine market. Making this activity transparent will greatly help in combating money laundering. Legalization will also allow service to addicts that in today's clandestinity have no way out. If you arrive today in São Paulo you will find many bingo halls crowded. Money laundering exists today because everything is done illegally.”

Ciro Nogueira argued that the goal of the project is to guarantee more money to the public coffers, in addition to generating thousands of jobs. He also stated that there is a "smoke screen", as if gaming was no longer a reality:

“Brazil today is one of the most played countries in the world. The clandestine market moves about R$ 20 billion (US$4.9 billion) per year.

Source: GMB / Agencia Senado