There was a state law in that period that allowed the operation of bingos in Santa Catarina. In 2006, the Federal Supreme Court (STF) declared the unconstitutionality of that state law that allowed the activity. As a result, bingo owners filed lawsuits to recover the amounts of state taxation fees, even though they usually profited from the activity during the period it was allowed.
State Attorney General Célia Iraci da Cunha explains that there were contradictory decisions by the judiciary in two cases dealing with the same subject. “Given this divergence and the significant amount of R$ 43 million (US$ 11.5m) with execution in progress, which could cause a breach in the public accounts of Santa Catarina, PGE filed a termination action and managed to suspend this execution until the case has a new decision by Justice."
The rapporteur, Judge Sergio Roberto Baasch Luz, granted the injunction to the state to suspend the collection. In the decision, Baasch Luz even pointed out that one decision is "diametrically opposed" to another, recognizing the divergence of the Judiciary Power in relation to both cases. The termination action is still pending in the TJSC Group of Chambers of Public Law.
Source: GMB
