Amid a highly sensitive period for the regulation of the gambling industry in Brazil, a fierce dispute has erupted between the National Association of Gambling and Lotteries (ANJL) and the Brazilian Supermarket Association (ABRAS). Recently, ANJL has officially sued ABRAS, demanding clarification on the source of information for a social media video that allegedly "misleads the public."
The video, titled "The History of Bets," links the gambling industry to food safety issues, claiming that "every Brazilian Real spent on gambling means one less dish on the table," and even alleges that the retail sector has lost 103 billion Brazilian Reais (about 187 million US dollars) in revenue due to gambling. In response, ANJL strongly refutes this, citing data from the Brazilian Institute of Geography and Statistics showing that the retail sector actually grew by 4.7% in 2023, and points out that the video "attacks not just one institution, but the entire licensed gambling industry."
Plínio Lemos Jorge, the president of ANJL, stated: "ABRAS is absurdly blaming the rise in family food prices on gambling companies, attacking a legal industry with false information." He emphasized that this industry will generate over 4 billion Brazilian Reais in taxes this year, "Blaming the national financial issues on the gambling industry is irresponsible and oversimplifies the problem."
ANJL also protests against ABRAS's description of online gambling as "the silent predator" in the video, considering it "insulting" and misleading to the public. ANJL points out that the video does not differentiate between legal and illegal operators, with the latter illegally transferring billions in public revenue each year.
"All information from legal operators is fully transparent and available to anyone on the federal government's website," added Lemos Jorge, "ABRAS may hold opposing views on the gambling industry, but it should not spread false news."
ABRAS also criticized in the video that gambling operators have a lower tax burden, only 12%, which is much lower than the retail industry tax rate. In response, ANJL clarifies that 12% refers only to the Gross Gaming Revenue (GGR) tax, and the actual tax rate, including other taxes, is about 38%. Moreover, according to a temporary decree issued by the government last week, this rate will increase to 18%, a 50% increase. However, by law, this tax can only be collected 90 days after June 11, and Congress will vote within 120 days on whether to make the tax increase permanent.
This lawsuit not only involves the conflicting interests of two major industries but also reflects the tense atmosphere and escalating public debate surrounding the legalization of gambling in Brazilian society.
