The government OF Brazilian presidente Michele Temer resumed the attempt to privatize the Instant Lottery (LOTEX), managed by Caixa Econômica Federal. A new auction is scheduled for November 29. In the previous one, which would occur on July 4, there were no proposals submitted by interested companies within the deadline stipulated in the edict.
"We will continue to push to avoid this privatization, which is the gateway to the delivery of other sectors of lotteries and Caixa itself. As we have already denounced to the Federal Prosecutor's Office, there are a number of problems, especially due to the losses to the bank, the treasury and the public interest," says Fenae president Jair Pedro Ferreira.
On June 20, Jair Ferreira and the president of the Banking Union of Brasília, Eduardo Araújo, met with the attorney general of the Republic Carlos Henrique Martins Lima. At the meeting, a letter was filed with various questions. A document detailing the history of LOTEX situation and issues such as the exclusion of Caixa from the operation of the service and the lack of a regulatory framework for the sector were also provided.
"The first point is the privatization itself. The advantage of delivering the modality to the private sector has never been demonstrated. Caixa has more than 15 years of experience in the operation of the Instant Lottery and a lottery network spread throughout the country. That is, the bank itself is able to achieve greater efficiency in this service. In addition, the measure is a threat to the 100% public and social character of Caixa," says Jair Pedro Ferreira.
Also challenged is the fact that Caixa was removed from the proceeding. The invitation to tender requires as a technical qualification requirement the experience in the instant lottery operation, whose monthly gross revenue from the sale of physical tickets and / or virtual bets is equal to or more than R$ 100 million (US$ 24.5m). "This requirement is abusive and illegal. It has withdrawn national operators, like Caixa, which is a clear targeting of foreign companies. In addition, it completely ignored the potential of the bank," adds the president of Fenae.
From 2011 to 2016, lotteries raised US$14.85 billion , of which US$6.7 billion (45%) were transferred to social areas. In 2017, US$3.45 billion was collected and US$1.6 billion was transferred to those sectors. "We can not allow setbacks in relation to these transfers, which are fundamental for programs and funds such as the Fies, the National Culture Fund and the Olympic and Paralympic sport, among others. Therefore, we will reinforce the mobilization," concludes Jair Ferreira.
In the new selection, offers must be submitted on November 27, and proposals will be opened on November 29 at B3, in São Paulo. The sale of LOTEX is part of the National Privatization Program.
Source: GMB / FENAE
