The suspension of the Ministry of Finance's ordinances reinforces Loterj's autonomy in regulating the sector in the state of Rio de Janeiro.
With the decision, the companies that operate under Loterj's accreditation can continue their activities in accordance with the rules established by the state agency's Notice, without the need for a license from federal agencies.
The injunction suspended, in relation to Loterj and its accredited entities, the effects of three ordinances of the Ministry of Finance that deal with the regulation of sports betting and online gaming houses and establish the mandatory accreditation with the Union.
The Rio de Janeiro lottery has allowed the operation of sports betting and online gaming in a regulated manner since April 2023, when it issued Notice 01/2023 and regulated, in the state of Rio de Janeiro, Law 13.756/2018, supported by the judgment of ADPF 492 by the Federal Supreme Court (STF), which guaranteed the States the competence to operate, explore and regulate lottery services.
Since then, several companies have been accredited by Loterj to explore sports betting and online gaming. All of them must participate in a bidding process according to the terms of the notice, pay a fixed fee of R$5 million (US$830,000), in addition to an additional variable fee of 5% of their profits during the period of up to five years of operation, and pay all municipal and federal taxes monthly.
In October, the Regional Federal Court of the 1st Region (TRF-1) accepted the request of the AGU to suspend the decision handed down by the 8th Civil Court of the Judicial Section of the Federal District that authorized the operation, throughout the country, of online sports betting houses accredited by Loterj.
At the time, the judge and president of the court, João Batista Moreira, confirmed the federal authority to regulate the activity. “Although conceived as a public service under state jurisdiction, federal control of the activity cannot be dispensed with, without which there is, in fact, a risk to public order,” he said in the decision.
Also in October, Loterj filed an appeal against the decision in the STF to maintain its national operations. In the action filed in court, Loterj is asking the Supreme Court to reject a lawsuit filed by the Attorney General's Office (AGU) that requires Rio de Janeiro 'Bets' to use GPS to release bets to users and to be prohibited from operating in other states.
Loterj appealed to the Judiciary to ensure the validity of its notice, which was in effect when the Union issued its rules – which was guaranteed and confirmed, in two instances, by the Regional Federal Court.
Source: GMB