As expected, the decision of the Superintendency of Private Insurance (SUSEP), an agency belonging to the Ministry of Finance (MoF), generated the immediate reaction of foreign companies that were in the process of analysis to participate in the bidding for LOTEX which was to be held next month.
Games Magazine Brazil was able to contact two world-class consortiums to know their sensations. Although they expressly asked to preserve their names, they did not hesitate to express their anger towards the Ministry of Finance because of this sudden change in the rules.
Here are some of the statements that the companies expressed to GMB:
"We consider absurd for MoF to tell SEFEL to grant a concession for a national instant lottery requesting a grant of more than US$ 165 million, taxing the operation with 16.3% for 15 years ... and another side, the SUSEP always of the MoF, to release an operational circular on capitalization bonds expressly providing for the instantaneous mode."
"Instantaneous capitalization bonds do not pay grant, do not have a license time limit (the 15 years of LOTEX) but can operate indefinitely and do not pay game taxes (16.3%)."
"The capitalization bonds in Brazil are denaturalized ... they are lotteries, nothing more. They were born as an instrument of saving but now they are no longer .... "
"In Brazil it is said that more than US$ 3.4 billion of bonds are sold per year, but a large part is sold on the street for amounts of US$2.85 and most of these are not redeemed. Now Susep has officialized the modality of Permeable Philanthropy ... that is, where is the savings instrument? Where is the protection of the consumer if it is allowed to sell game with 10% -15% of prize? "
"We find it unfair what the MoF is doing from an economic point of view. And we find it unfair what the MoF is doing from a regulatory standpoint, since such a move takes away any hope of having a solid legal basis to grow the legal gaming segment in a healthy way. "
"We think it's unfair what MoF is doing because in Brazil there is a lot of discussion about regulating or not regulating and, on the other hand, it allows such a clear hypocrisy: a savings instrument turned into a real game without anyone saying nothing."
"The most dangerous part of this is the legal uncertainty that will make that foreign companies carefully evaluate before paying US$ 170 million to a Ministry that can not coordinate their hands."
"But we trust that Guardia and SEFEL will be able to get the house in order, for example, setting a minimum value in capitalization bonds (R$1,000 -close to US$ 283- and not allowing sales in installments)”.
Source: GMB
