The Federal Police (PF) has come out in favor of the bill that legalizes land-based casinos, bingo halls and the animal game in Brazil. With one caveat: part of the revenue from the sector must be used by the corporation to prevent and combat crimes.
The position is contained in a technical note from the Federal Police, published by Folha de São Paulo. The note is addressed to the Senate, where the bill is still under analysis and awaiting approval. The position, however, is different from the official position of its highest authority, the Ministry of Justice. The department headed by Ricardo Lewandowski is working to ensure that the proposal does not move forward.
According to Marivaldo Pereira, secretary of legislative affairs at the Ministry of Justice, the project opens up loopholes for crimes.
“We believe that the increase in revenue that may eventually occur with this type of activity does not justify the problems it brings, both in the areas of health, social and public safety. We hope that this position prevails in the National Congress,” he said.
Several departments support the legalization of casinos in Brazil
Other departments of Luiz Inácio Lula da Silva’s (PT) government publicly support the legalization of casinos in Brazil. Departments such as Treasury, Tourism, Labor and Social Development disagree with the Ministry of Justice and support the advancement of the project.
In the technical note, the PF’s parliamentary affairs division is “favorable with reservations” to the proposal. It is based on an analysis by Dicor (Directorate of Investigation and Combating Organized Crime and Corruption).
The only adjustment needed, according to the corporation, is that some of the money raised from the games needs to go directly to the corporation.
The argument is that the legalization of casinos, bingo and the animal game should increase the work of the Federal Police in preventing and repressing crimes linked to these activities. Therefore, investigators will need specific training and “high-performance equipment.”
According to the text of the project, there is a determination that 6% of the revenue from the sector will go to the Public Security area. The PF, however, requests a specific allocation for its fund, Funapol (Fund for Equipping and Operationalization of the Core Activities of the Federal Police).
The PF’s intention, according to itself, is to use Funapol’s resources to contribute “to the fairness of games and betting nationwide”.
Understand the project’s path so far
In 2018, online sports betting was legalized, but as the government of then-president Jair Bolsonaro (PL) did not regulate the issue, the sector grew in Brazil without inspection or revenue collection rules.
In 2023, under Lula (photo), the regulation reached Congress, which this time also authorized online casinos and virtual games. These were already offered by websites during the period in which the issue was left without regulation.
Just as in the case of betting houses, advocates of the legalization of physical casinos and the jogo do bicho argue that these activities already exist in Brazil today. Despite this, they remain outside the law and are not monitored.
In addition to casinos, the project releases three other types of games in physical environments in Brazil
The project deals with four types of land-based gambling: bingo, casinos, animal gambling and horse racing. It also contains rules on how these activities should operate, as well as penalties for irregularities.
The regulatory body for the sector (Secretaria de Prêmios e Apostas), an agency integrated with the Ministry of Treasury, and the federal government could issue only 34 licenses for land-based casinos in Brazil. These licenses will be divided according to the size of the states. The Treasury is already responsible for the rules on bookmaker.
The text also provides for two more categories of casinos. One on vessels (limited to ten along the entire Brazilian coast). The other, in resorts (one for each national tourist hub).
The licenses for animal gambling would be limited to one calculation for every 700 thousand inhabitants, per state. And also one authorization for bingo for every 150 thousand inhabitants, per municipality. The proposal stipulates a 17% tax on the gross net revenue of gaming operators.
“If the bill is approved, with an increase in the PF’s powers, it is considered pertinent that […] a percentage of the proceeds from the collection be allocated to Funapol”, says the corporation’s note.
The release of casinos has broad support from entities linked to the hotel, events, commerce sectors and the population itself.
The project provides mechanisms for monitoring and combating health problems
In another technical note, the Ministry of Social Development stated that it did not see any “legal obstacles” to the project, but warned that it “may be” contrary to the public interest. The Ministries of Finance and Labor expressed their support, with reservations. Meanwhile, the Minister of Tourism, Celso Sabino, defended the proposal numerous times.
“By establishing clear rules and limits for the implementation of these projects, such as defining the quantity and locations of these projects, the PL will contribute to strengthening the sector in the country, in addition to being a strong segment for generating income and jobs,” said Sabino.
