MAR 26 DE NOVIEMBRE DE 2024 - 13:50hs.
Fixed grant of US$ 1m

Loteria do Paraná publishes public notice for accreditation of sports betting operators

The Government of the Brazilian state of Paraná published this Friday (19), public notice 001/23 for the accreditation of lottery operators to explore sports betting. According to the document, operators must be fully connected to Lottopar's management platform and means of payment. The fixed grant is R$5 million (US$ 1m) and the variable grant is 1% per month on gross revenue. The company expects the operation to start in the second half of 2023.

Accreditation for the concession will be carried out in two stages: the first aimed at qualifying the bidders and the second will carry out the technical evaluation to verify compliance with the requirements for obtaining the concession. The announcement is also available on the Paraná Purchase Portal and the State Transparency Portal. The platform has already been contracted, also through public bidding.

“The accreditation system is important because we are going to attract serious companies to work in Paraná, with technical criteria. And the platform will individually control lottery and financial activities, enabling Lottopar to manage and supervise in an integrated way both the activities and the financial flow of lottery operators in the State and players,” details Lottopar’s CEO, Daniel Romanowski.

According to the announcement, participation is allowed from companies and consortia that meet the established minimum technical requirements. The document also requires companies to have paid-up capital or equity equal to or greater than R$2 million (US$ 400k), which inhibits "adventurers".

In this modality, Lottopar will be remunerated for the exploration concession, in an initial fixed grant of R$5 million (US$ 1m) and more variables, every month, of 1% on the operator's gross revenue of the previous month. In addition, 5% of the operator's gross revenue must be allocated to social contributions, as provided for by law.

The Loteria do Estado do Paraná (Lottopar  was created at the end of 2021 through Law 20,945, which regulated the public lottery exploration service. The main objective of the service is to generate resources to finance actions for the promotion of social rights. Until 2020, Brazilian legislation provided that lotteries were an exclusive public service of the Union.

Paraná's lottery system will have two aspects: fixed-quota sports betting, in the format of "bets", and traditional lotteries, both of which can be explored in physical and virtual environments.

Security

This public notice was constructed in order to safeguard the security of the process and therefore occurs only after contracting the platform, imposing an obligation to use it for operations in Paraná. Lottopar, in addition to overseeing future lottery operators, will be responsible for forwarding complaints about any irregularities.

With the management and monitoring platform contracted by the State, Lottopar and the operators of the segment will be able to identify irregularities. “The monitoring of sports betting inhibits fraud and allows us to work together with the authorities to share information about suspicious actions, in addition to facilitating accountability to supervisory bodies,” comments the CEO.

In addition, the municipality plans to adopt a series of measures to ensure integrity and transparency in the sports betting market. In terms of education and awareness, partnerships will be established with sports entities to make athletes and sports leaders aware of the imposition of staying away from games. Reporting channels, information materials and advertising campaigns will be created to guide the entire population on the conduct of the game.

Lotteries

Still in the process of implementing the necessary systems and integrations, it is expected that the lotteries in Paraná, already with the possibility of placing fixed-quota bets, will be operating by the end of 2023.

In addition to the payment of prizes, part of the collection will be destined for social programs and the development of actions and services related to public security, popular housing and promotion of rights linked to the elderly, women and children.

Source: GMB