In response to representations from Hebara Distribuidora de Produtos Lotéricos, Madrona Sociedade de Advogados, IGT Brasil and Scientific Games, counselor Cristina de Castro de Moraes determined the suspension of the bidding for the Social Lottery of Sao Paulo, which would take place today, Tuesday 29.
"The panorama drawn with the present representations demands a priori analysis of the matter, taking into account the existence of sensitive questions that may eventually compromise the soundness of the procedure. [...] I determine the suspension of the contested bidding procedure until the final consideration of the matter," said the counselor in the decision.
In a note, the government stated that it will act "with speed to resolve the doubts of the Social Lottery auction, since the delay in its implementation will delay the transfer of lottery revenues to social programs throughout the state."
The governor's press conference that was scheduled for 3 pm on B3 was canceled earlier in the evening.
The government project provides for the concession of the service to the private sector for 20 years, with investment (Capex) for the winning company of R$728 million (US$ 153m) over the period, in addition to a fixed grant of R$313.5 million (US$ 66m) and 12% of variable grant. According to state law, the resources must be destined to social assistance actions in the state.
Companies that participated in the process, however, indicated failure to comply with several rules in the public call. At least five requests to challenge the bid were filed.
Among the arguments presented is the speed with which the process ran, which would have failed to comply with the deadlines and processes provided for by law.
One of the requests points to the lack of prior communication from the government before the publication of the public notice, called "justification act", as required by Law nº 8.987/1995;
"We understand that there are several illegalities in this public notice. There is the issue of time, territoriality, non-international publication, the non-requirement of previous technical qualification for the winning company," says Amilton Noble, executive director of Hebara, a company that entered with the request in the TEC.
"It's being done at the touch of a button. It's a 20-year contract, it can't be done that way. What we ask is a postponement until the issues are corrected," he says.
Regarding the lack of technical experience for the lottery operation, the counselor stated in her decision that “in fact, without prejudice to the timely examination of all questions, I highlight the numerous complaints regarding the particularities of the way of measuring the experience of the interested parties, which , at first, is more generic, and then starts to require, from the successful bidder, from a subcontracted operator, or from a professional linked to any of these, within 7 (seven) business days prior to the signing of the contract, expertise effectively in lottery operation, to denote possible risk of contracting a company with no experience to carry out an innovative object, given the recent authorization granted to federated entities by the Federal Supreme Court.”
Another point was that it was restricted to international companies, a point also accepted by the TCE. “On the other hand, in the case of international competition and which aims to pay the grant by the concessionaire, attention is drawn to the common criticism in the representations of the lack of international disclosure of the event, with the transcription of bidding documents in a foreign language, measures that tend to to widen the dispute and reach a higher proposal, apparently at odds with the standards normally adopted by the State Government in situations of this kind,” wrote the counselor.
Sao Paulo lottery
The law authorizing the creation of a Sao Paulo lottery was sanctioned by the state government in July 2021, and was regulated by the Legislative Assembly on February 24, 2022. The public notice for the concession was published in the Official Gazette on February 25.
The concession will allow the exploitation of fixed-odds (when the prize amount is fixed), sports, numerical (getting the numbers bet), instant (scratch card) and passive (numbered ticket) types of betting.
Eleven companies presented studies with proposals to participate in the event. The auction with the opening of the envelopes was scheduled for this Tuesday (29) on the Sao Paulo stock exchange, B3.
Source: GMB / G1 / CNN
