How a gaming venue is opened if the activity is prohibited in Brazil?

Free initiative and wounded fundamental freedoms are the arguments of Porto Alegre’s courts to define as unconstitutional the ban on local jogo do bicho, bingo, and gambling in general.

Porto Alegre’s Justice no longer considers a criminal contravention the practice of games of chance, on the grounds that the foundations underlying the prohibition are not in line with the constitutional principles in force, and it was this jurisprudence that drew the attention of Minister Luiz Fux by voting for the general repercussion of the subject in an Extraordinary Appeal of the Public Prosecutor's Office.

"The Criminal Court Classes of the Court of Justice of the State of Rio Grande do Sul have understood the atypical conduct, which shows that, in that federal unit, the practice of gambling is no longer considered a criminal contravention," said Minister Luiz Fux in the vote that acknowledged general repercussion on the subject (RE 966.177).

In a plenary meeting on June 7, the STF determined that within one year it will judge whether the prohibition of the exploitation of games of chance hurts the Brazilian Constitution or not. It also decided that in case of suspension of proceedings, the statute of limitations should also be suspended, except for defendants already arrested.

In other states, several cases involving gambling have had decisions suspending the process, based on the general repercussion of the matter, and will remain suspended until RE 966,177 from the Gaucho (Porto Alegre) Court is judged.

While the Supreme Court does not definitively decide the matter, the current legal situation in which the exploitation of gambling is considered a criminal contravention remains in force.

For the Public Ministry of Rio Grande do Sul, gambling is still a criminal contravention, and for this reason it took the case to the Supreme Court, for disagreeing with the position of the Gaúcha Justice.

If the STF decriminalizes the practice, a possible emergence of casinos will still depend on federal law. Based on this legal issue, businessmen have invested and reopened bingo halls and game rooms throughout the state of Rio Grande do Sul, despite constant police action, with closure and seizure of equipment.

For next week, it is beeing announced the inauguration of WinFil, which according to its owners will be a new concept in entertainment in the Gaucho Capital, with a Parisian theme and luxury for its customers.

According to Luciano de Souza Godoy, of the PVG Advogados, the STF can understand that there is no criminal fact in the conduct and do not criminally condemn a person for practice of gambling. With this, there will be no criminal punishment such as arrest, restriction of right and fine.

"Gaming is an economic activity of private initiative that will depend on state authorization. For this, we will need a federal law, creating criteria for authorization, who can apply, which places, how much will pay, how will the operation," said Godoy in an interview with ConJur.

Other specialists consulted understand that the investments in Rio Grande do Sul are of high risk, since they are subject to be closed at any time, since although the position of the Judiciary Gaúcho is excellent for the sector, there is still no legal regulation capable of allowing the exploitation of the correct form of games of chance, whether in that State of the Federation or in any other.

Source: GMB