Loterj has filed a new appeal against the decision of Supreme Court Justice André Mendonça, which prohibited the operation of licensed bets in Rio de Janeiro across Brazil. In the petition, the agency reports that it is not technologically feasible to adopt geolocation measures and that the implementation of the systems would require significant investments that exceed the financial capacity of some companies.
In the appeal presented by Loterj, the agency points out that the STF's decision has already been communicated to the licensed companies in Rio de Janeiro, but there are difficulties in complying with the decision issued by Minister André Mendonça.
Loterj states it has received statements from companies reporting the technical impossibility of implementing the measures, especially within the tight deadline of five days, which ended last Friday (10).
Among the difficulties is, firstly, the deadline given for the suspension of betting offers outside the limits of Rio de Janeiro and that the adaptation of geolocation mechanisms would require time to develop and integrate complex technological solutions.
According to Loterj, the companies reported that they do not have compatible technological infrastructure and that even the users' devices (smartphones or other connected devices) do not have the necessary technical requirements for precise location data transmission. Moreover, the sharing of location and voluntary acceptance by each user, points out Loterj.
Implementation Cost
According to Loterj, in its petition, the implementation of the systems would require significant investments that exceed the financial capacity of some companies in the short term, compromising the continuity of the public service provided. Risk of economic unfeasibility, given that the territorial limitation compromises business models and financial projections.
“The possibility of compensating the costs or economic-financial rebalancing of the contracts, due to the financial impact caused by these adjustments and, also, the compensation or economic-financial readjustment of the Concession Terms signed due to this circumstance”, points out Loterj.
The agency also sees the possibility of eventual termination of Accreditation Terms in the case of “impossibility or unsustainability of maintaining the services, whether due to technical unfeasibility or financial unfeasibility”, among others.
Loterj also points out that the National Telecommunications Agency (Anatel) recognized the difficulty of imposing georeferencing locks and that this was confirmed by the Anatel representative in testimony to the Senate's Bets CPI.
In the records, Loterj requests that the STF specify the minimum technical specification for the adoption of the measure and that the basic parameters or requirements to be met are set, allowing the flexibility that operators can seek in the market the most suitable technology to meet the STF's determination.
For this, it also requests the extension of the deadline to 180 days to comply with the decision.
Source: GMB
