MAR 26 DE NOVIEMBRE DE 2024 - 11:42hs.
CNN Brasil

Government expects advance of CPI to propose regulation of sports betting

The Provisional Measure (PM) that will regulate sports betting in Brazil has not yet been sent to the National Congress and must await conclusions from the collegiate that investigates fraud in game results. Among the reasons is the decision to listen to the suggestions of the Parliamentary Inquiry Commission (CPI) of the Chamber created to investigate the manipulation of game results for betting purposes.

Despite classifying it as a priority issue, due to the revenue it will bring, the federal government has not yet defined when it will present the provisional measure to the National Congress to regulate sports betting in Brazil.

Among the reasons is the decision to listen to the suggestions of the Parliamentary Commission of Inquiry (CPI) of the Chamber of Deputies created on May 17 to investigate the manipulation of results of games for betting purposes.

The understanding of close advisors to President Luiz Inácio Lula da Silva (PT) is that a proposal to regulate the activity, which aims to correct past mistakes, needs to consider the results of the parliamentary investigation. Furthermore, with this, deputies can feel prestigious and collaborate with the vote on the matter in the future.

The base text, prepared by technicians from the Ministry of Finance, is also circulating and being debated in the ministries involved with the theme: Planning, Management, Sports, Health and Tourism. The considerations of the five folders are practically ready to be forwarded to the Civil House.

CNN found out from members of the Planalto Palace that there is a possibility of the proposal being presented as a bill, with a request for urgent processing.

Meanwhile, other mishaps are trying to be resolved. This is the case of the “lack of positions” to compose a new secretariat, which will be responsible for authorizations and control of betting companies.

The Ministry of Finance estimates that around 80 jobs will be needed to meet the new demand for work. The Ministry of Management confirms that it has received the request. However, the folder signaled that, at least for now, there is no forecast to create vacancies. In January, President Lula instructed all ministers not to "inflate the public machine."

Rules

More than resolving a vacuum in the legislation, which in 2018 authorized betting in Brazil, the measure will help the Union's coffers. The estimate of the Ministry of Finance is that the activity could generate R$ 12 billion (US$ 2.4b) in revenue per year.

The text maintains the allocation of 1.63% of the collection to clubs and entities representing sports modalities, according to the legal provision. Football clubs ask for a bigger share. The regulation also prohibits players from being, at the same time, bettors.

The proposal also establishes that betting companies should promote preventive and informative actions to raise awareness of bettors and prevent pathological gambling disorder. Hence the participation of the Ministry of Health in the discussions. The initiative aims to ensure the mental health of gamblers, preventing betting from becoming an addiction.

The advertising and marketing rules, such as advertising time and online ad format, will be prepared in partnership with the National Advertising Self-Regulation Council (Conar). The aim is to ensure that marketing actions are responsible and ethical, contributing to a safe and regulated betting environment.

In the project under discussion, the distribution of revenue from sports betting was defined as follows:

  • 84% for the betting lottery operator;
  • 10% for Social Security;
  • 2.55% for the National Public Security Force (FNSP);
  • 1.63% for sports entities;
  • 1% for the Ministry of Sports;
  • 0.82% for public schools.


Source: CNN Brasil