The Ministry of Treasury warned Bodó, a city in Rio Grande do Norte, to suspend a bidding notice that planned to accredit passive lottery and forecast companies. The alert is based on the fact that, in Brazil, only the Union, States and Federal District are authorized to place bets and distribute prizes.
Between October and December 2024, Bodó registered 38 companies interested in operating betting in the city. According to IBGE data, Bodó has only 2,363 inhabitants.
The municipality declared that the betting operation was restricted to local geographic limits. However, as the Ministry of Treasury explains, online betting could theoretically be carried out globally. Therefore, bets would need authorization to operate outside the municipality.
According to the Ministry, Law 13,756 stipulates that only the Union, States and the Federal District can organize fixed-odd bets. When a municipality is found performing such a service, the Ministry sends a notification to suspend its activities.
The rules for granting authorization are contained in Law 14,790/2023, in addition to specific ordinances from the Prizes and Betting Secretariat.
Betting market
The betting market, recently regulated by the Federal Government, found in Bodó a “regulatory paradise.” In a publication made by Bodó City Hall, companies would pay R$5,000 for the concession, resulting in an initial collection of R$190,000. Companies would also contribute 2% of monthly revenue from fixed-odd bets.
In an official note, Bodó City Hall justified that the adoption of online betting could boost municipal revenues without requiring new taxes.
The proposed concession model also offers the use of cutting-edge technologies, meeting the growing demand for such services and in compliance with current legislation. However, when asked by 98 FM about monitoring companies or starting operations, the city hall did not respond.
Beatriz Torquato, a lawyer specializing in Digital Law, in an interview with the newspaper Tribuna do Norte, indicated that the municipal legislation offered by Bodó would be illegal. She said that companies may have seen the city as a “regulatory paradise”, operating with low costs of R$5,000, compared to the federal requirement of R$30 million.
Illegality arises when bets exceed territorial limits, virtually accessible to players from other regions. In a statement to the G1 portal, the municipality defended the validity of the notice, claiming that it does not need a federal grant to operate within its domains.
