It's time for the gaming sector to have clear rules in Brazil. The Brazilian market moves US$ 14.5 billion per year. The offer of lottery disguised in capitalization bonds, US$ 6.35 billion (44%); federal lotteries, US$ 4.33 billion (30%); state lotteries, US$ 101 million (0.7%); turf, US$ 86 million (0.6%); sports betting, US$ 1.15 billion (8%); jogo do bicho, US$ 866 million (6%); casinos, US$ 866 million (6%); and bingos, US$ 680 million (4.7%). In the IBGE Household Budget Survey, in which people declare their own expenses, the estimate of unregulated gaming is underestimated.
The lack of regulation of sports betting in Brazil puts at risk the popular economy and the integrity of the sport. 13 years ago, 11 matches of the Brazilian Championship were canceled by manipulation of results. In 2017, thousands of bettors were not awarded prizes when the (ilegal) operator did not honor the results of the 13th round of Serie A because visiting teams won the majority of the games, significantly increasing the awards. Today, about 500 online betting sites offer Brazilian games. The majority registered abroad, operate in Brazil without any taxation, regulation, control or monitoring.
A study by the University of Nevada indicates that the only effective way to combat illegal gambling, organized crime in the gaming industry and prevent its use for money laundering is good regulation, effective monitoring and effective control. In Brazil, criminal organizations, such as CCPs and militias, have already appropriated the activity, traditionally offered by criminals in the country. In practice, whoever is against legal gambling favors illegal gambling.
In an international level, it is estimated that between 0.2% and 3% of adults suffer from some disorder related to gambling. In Brazil, meaningful gambling without adequate regulation raises risks by the absence of responsible gambling policies and gambling prevention and treatment programs.
In addition to regulating casino games, sports betting, bingo and jogo do bicho, it is necessary to correct anomalies of the confused legislation of lotteries, which goes to the point of subverting mathematics, allocating percentages that reach 115% in the Federal Lottery and 104.5% in the Mega-Sena, Quina, Lotofácil, Lotomania, Double Seine, Loteca and Lotogol.
Another nonsense that needs correcting is the state lottery situation. Whatever the reason, why can some states have lotteries and some not?
Lottery is a voluntary tax and its collection can finance policies of public safety, health, education, sport, etc. The state lottery of New York raises US$ 8.65 billion per year. Rio de Janeiro and São Paulo could rise from US$ 290 million.
Brazil can not wait any longer. Both in the House and in the Senate there are bills ready for voting in plenary. The approval of any one of them will allow the review house to deepen the discussion and improve the text. The delay in regulating matters only to illegal gambling.
Felipe Santa Cruz is president of OAB / RJ and Pedro Trengrouse is a professor at FGV
