What made you present a bill calling for legalization of gaming in Brazil?
I'll be very honet: I do not approve of gaming. I never bet. I go to Las Vegas, but I've never bet. If we had a choice whether or not to have gaming activity, I would be radically against it. But Brazil no longer has that option. And maybe it's one of the countries where more people play. However, the country today has only the harmful effects of gaming: police protection, corruption, box two, money laundering, among other types of crimes. The benefits we do not have, such as tax collection. Today there are more slot machines in Brazil than in the United States. It's just that the machines back there give the American player 95% of what the bet. Already here, that numer is no even 5%. In the world, there are only two countries that have not yet regulated this issue: Brazil and Japan. But Japan is already regulating.
Of the contravention modalities, which is the one that most worries you: jgoo do bicho, slot machines or casinos?
It's the online bet. In Brazil, gambling is prohibited, with the use of security forces, but it allows the advertising of virtual casinos everywere. If sports betting is not urgently monitored, we will have several scandals in our sport, especially in football. We are missing out million of dollars through platforms that are out of the country. Simply log in with cell phone and use a credit or debit card.
Does jogo do bicho and slot machines also go into regulation?
You have to regulate everything. If they will prosper later, I can not guarantee it. I do not think all modalities will thrive. If you bet on a mode where you get 95% of what you bet, of course it will be more attractive than the other ones with a lower percentage of return. These current slot machines only work because of illegality, because they are stealing people. It's an absurd fraud. Nobody wins that.
Do you think that the gaming sector will be occupied by foreign capital?
The casinos sector, which is the most profitable, no doubt. Maybe bingo and jogo do bicho will have national capital.
Will liberation encompass all states?
No state will want to be left out. Who should regulate this is the market. My main purpose in this project is the collection and generation of employment with casino, jogo do biho and bingo.
Who will inspect?
They will be the casinos themselves, bingos, legalized games of chance. A person who invested millions will not let an illegal place near his establishment.
Where will taxes be applied?
The idea is to create a security fund. And part of that fund will also be devoted to the treatment and recovery of the addict, for example. We do not know yet what percentage of the taxes will be applied in the treatment of these people. In addition, there will be an inspection so that the addict can no longer play. My idea is to allocate almost all of the collection to the Security, treatment of addicts, supervision. It would be about R$20 billion per year (USD 6bn). Just taxes. This fund would be administered by the states. Who will receive and manage must be the states. But we must have an audit agency. I defend that it is the Caixa Econômica Federal.
But will not Caixa be a potential competitor of private investors?
It may be an option for the future of the bank. I would like Caixa to have the online betting monopoly. Perhaps in partnership with private initiative. I have no doubt that this company, in four years, will be worth more than the Caixa itself. But for that, there should be a ban on bets outside the country. I have no doubt that the star will be online bettings.
Will there be specific urban areas for the installation of casinos, such as Las Vegas?
According to the project, only 10% of the area where it is intended to build a house of games will be destined to the practice. The rest will have to be completed with restaurant, hotel, theater, sports arenas.
Have you already defined which cities will be chosen?
I do not see the prospect of having a casino in every city. Because the investment is too big. But any city can enter the dispute.
Are there any outside investors wanting to explore the activity in Brazil?
Yes, from all over the world. From US, and others. Last week, I received representatives from the UK Association. In their view, sports betting in Brazil has a prospect of billing around USD2.45 billion and raising USD 600 million in taxes.
Do you think legalization will be approved?
It's a feeling I've gotten from the conversations I had with several senators. One senator once told me: "Look, if that were good, Japan would have regulated." I want to meet him again to say that Japan is already doing it. Then ask for his vote.
Have you faced resistance to your project?
Yes. Senator Magno Malta (PR-ES), for example, is opposed for religious reasons. But he has no arguments to be against approval. So much that already admits that the bill will pass in the Senate.
Is this regulatory framework already under discussion?
This will be done by the government. In my prediction, it will go to the Chamber next semester. The most time consuming phase will be regulation. You can be sure. The government will have to create a regulatory agency for the sector. What will be faster is the online bettings. But the casino will take longer. Investors will have to buy the license, which will not cost less than R$ 1 billion (USD300 million).
Is there a projection of how many jobs will be generated?
About 600 thousand direct jobs across the country. Apart from the jobs that will be opened due to the promotion of services such as hotel and tourism that will benefit from the gaming activity. Have you ever thought, in a crisis with the one we are living in, having 600,000 jobs open?
Is the return of gaming to Brazil almost a reality?
It is a path with no return. Data to which we have access reveal that the majority of the population favors the regulation of gaming. Before even talking about the investment of taxes collected in Security. If that had been said, this approval would be over 90%.
Aren’t you afraid to enter history as the man who legalized gambling in Brazil?
I want to be recognized for this in ten years, when we see what happened to public safety in Brazil. Who knows if, maybe, I'll become the name of the law that regulated gaming in the country
Source: GMB / ISTOE
