The Court also stressed that the lack of legal provision for municipalities creates a scenario of “serious legal uncertainty.”
The debate over whether municipalities have the authority to operate lotteries has reached the Federal Supreme Court (STF) through ADPF No. 1212. However, as highlighted by both TCE-PR and Lottopar, the Supreme Court has not yet issued a final ruling on the matter.
Lottopar’s request to TCE-PR was prompted by the fact that some municipalities in Paraná had already enacted laws establishing their own local lotteries. In its filing, Lottopar pointed out that the principle of “local interest” does not apply to this activity, since lotteries involve matters of public order, economic security, and market regulation — all of which fall under national and state jurisdiction.
Lottopar further warned that the creation of municipal lotteries is legally unsustainable, noting that the federal government and states have been making efforts to promote effective regulation of the sector, ensuring consumer protection and transparency.
In this context, municipal attempts to operate lotteries represent an additional risk, especially due to the absence of necessary safeguards to guarantee the integrity of the activity.
Lottopar president Daniel Romanowski stressed the importance of TCE-PR’s position: “If the Federal Supreme Court were to allow municipalities to regulate and operate lotteries, we would be facing a very serious mistake. Brazil would become the first country in the world to adopt such a model, creating technical and regulatory barriers with no international precedent.”
“The Court of Accounts’ ruling strengthens Lottopar’s arguments and provides greater legal certainty to the market. It is essential to respect the STF’s established understanding and federal legislation guidelines in order to protect bettors, ensure proper oversight, and preserve the integrity of lottery operations,” he added.
TCE-PR also indicated that, in the event of complaints or reports, it may adopt supervisory measures and, if illegality is confirmed, order the immediate suspension of activities as well as hold public officials accountable.
This position reinforces that lottery operations in Paraná must occur exclusively within the parameters set by federal legislation and Supreme Court decisions, preserving the federal pact and the legal security of the sector. It is therefore clear that there is no legal basis to support the creation or operation of municipal lotteries.
Source: GMB
