The Lotteries of Rio de Janeiro and Paraná defended the constitutionality of the Bets Law during a hearing at the Supreme Federal Court (STF) on Monday (11/11). Representatives from both agencies emphasized that, without legal provisions, bettors would migrate to illegal betting, favoring criminality.
They participated in a public hearing discussing the impacts of bets in Brazil, proposed by Minister Luiz Fux. The minister is the rapporteur of the Direct Action of Unconstitutionality (ADI) No. 7,721, in which the National Confederation of Commerce of Goods, Services, and Tourism (CNC) requests that the Bets Law (Law No. 14.790/2023) be declared unconstitutional by the STF.
“The Federal Law 14.790/2023 consists of a legitimate political option, normative of the Legislative Power in the regulation of an activity. And each day it proves more relevant and indispensable for achieving the fundamental objectives of the Republic, such as national development, the eradication of poverty, and the construction of a just and solidary society,” stated the president of Loterj, Hazenclever Lopes Cançado.
For him, there is no unconstitutionality in the law. “The opposition has not demonstrated any mismatch of the Federal Legislation with the precepts of the Federal Constitution. Law 14.790 was enacted following broad and deep debates in the Legislative Power, which has the primary and technical function of defining public policies,” he added.
The technical director of Lottopar, Rafael Halila Neves, stated that the absence of regulation “is detrimental to the legal security of bettors, who in this case are consumers.”
He further added: “Law 14.790 is essential to ensure a safe and responsible betting environment by imposing consumer protection norms, promoting transparency, and necessary preventive actions. Another important aspect of the law is the regulation of advertising, curbing irresponsible practices, especially by influencers who present betting as a source of income.”
Source: Metrópoles
A request for review by Minister Flávio Dino interrupted, this Friday (8), the judgment in which the Plenary of the Supreme Federal Court (STF) discusses whether to maintain or not the suspension of sections of the new Bets Law. They prohibit the granting of lottery services to the same economic group in more than one state and limit the advertising of state lotteries to people located in the state. The end of the virtual session was scheduled for 18/11.
At the end of October, Minister Luiz Fux, of the Supreme Federal Court (STF), suspended a section of the sports betting law (14.790/2023) that prohibits advertising lottery services in more than one State. The decision responds to the government of São Paulo, which requested a preliminary injunction to suspend the norm after the judgment on the merits (definitive) was interrupted by a request for review by Minister Gilmar Mendes.
Also known as the Sports Betting Law, the norm was sanctioned on the penultimate day of 2023. The contested provisions were suspended last October by a preliminary decision of Minister Luiz Fux, at the request of the governors of São Paulo, Rio de Janeiro, Minas Gerais, Paraná, Mato Grosso do Sul, Acre, and the Federal District.
Before the requests for review, only the rapporteur had presented his vote, which maintained the grounds of the preliminary injunction.
Context
In the action, filed in May, the governors argue that the restrictions imposed by the law reduce the participation of companies in tenders and favor a competitive environment among the states, where some tend to lose more than others. States with larger populations or whose populations have greater purchasing power would be more attractive.
Another argument is the violation of free competition, as the lotteries were left without the right to exploit their full advertising potential to attract new users.
The Attorney General of the Republic, Paulo Gonet Branco, defended, in September, the validity of the contested sections. He emphasized that the Union has the competence to regulate the lottery system, and the general regime of concessions and permissions for public services.
Decision of the rapporteur
Fux's preliminary injunction was granted a few days before the auction for the concession of lottery services in the state of São Paulo. The magistrate argued that, if the restrictions were maintained, the number of interested companies would tend to be smaller.
The minister considered that there is no reasonable justification to restrict the concession of lottery services to an economic group in more than one state. Fux highlighted that this is not provided for in Article 175 of the Constitution, which deals with concessions or permissions for the provision of public services.
He agreed that companies with the technical conditions to provide more efficient services would have to compete for the concession in more populous and more profitable states. This would harm smaller states, which would lose potential revenue and be forced to sign contracts with “tentatively less qualified” companies.
The rapporteur also considered that the law “removes from the states, without any reasonable justification, the possibility of adopting advertising strategies that best suit their business planning.”
Fux explained that the decision is only aimed at modalities such as number lotteries, numbered tickets, and instant lotteries. Fixed quota bets, known as bets, are questioned in another action.
Source: GMB / Portal Juristec
The government of Rio Grande do Sul published the result of the procedure for expressing interest to initiate the creation of Lotesul. The selected study was prepared by the Shimata & Kikuchi GBSA Consortium for the structuring of the project for the implementation and operation of the lottery. The value of the study is R$ 531,394.
In 2023, Rio Grande do Sul, through the Secretary of Partnerships and Concessions (now Secretary of Gaúcha Reconstruction) launched the notice for companies to present studies for the implementation of the State Lottery of Rio Grande do Sul (Lotesul).
The objective was the reception of feasibility studies, surveys, investigations, data, technical information, projects, or opinions for the implementation and operation of lottery services in the state, covering the possible models of delegation to the private sector.
At the time, twelve companies expressed interest in conducting the studies, but throughout the process, some of them withdrew or did not meet the required items in the Notice. Six companies were authorized to continue with the process, and at the beginning of January, all presented their studies.
Now, the state government has just published the scoring of each of them, namely:
* AM & FPA Comércio de Equipamentos e Programas de Computador Ltda: SCORE = 43;
* NGT Brasil Tecnologia e Atividades Lotéricas Ltda and Ricardo De Paula Feijó: SCORE = 56;
* Hebara Distribuidora de Produtos Lotéricos S/A: SCORE = 41;
* Estrela Instantânea Loteria SPE S/A: SCORE = 49;
* Competência Distribuidora e Operadora de Títulos Ltda.: SCORE = 30; and
* Shimata & Kikuchi GBSA Consortium: SCORE = 61.
Given the result, the state government selected the study of the Shimata & Kikuchi GBSA Consortium for the structuring of the project for the implementation and operation of lottery services in Rio Grande do Sul.
The project aims to implement and operate lottery services in the State of Rio Grande do Sul, covering the possible models of delegation to the private sector. Among the projected results are:
* new free resources in the State Treasury for financing social security and other relevant social areas;
* regulation and combating illegal betting;
* resources from a possible onerous grant;
* generation of new jobs;
* revitalization of the economy; and
* contribution to the emergence of new businesses related to the provision of lottery services.
The project now enters the refinement phase for the opening of a public consultation, to be launched at the beginning of 2025. The value of the study presented by the Shimata & Kikuchi GBSA Consortium is R$ 531,394.
Source: GMB
