Video explains lobbying by casinos and other games of chance in Brazil; watch

Collecting prohibitions that date back to the 1940s, games of chance such as casinos, bingos and animals were once again discussed in Brazil.

The pressure in favor of legalization involves a dispute between lobbies of foreign groups that own resorts and entrepreneurs interested in the exploitation of casinos, bingos and animal games.

The conflict is related to the scope of legislation passed in the House and which is currently under consideration in the Senate.

A group, which brings together North American businessmen interested in investing in Brazil, wants Congress to allow the installation only of casinos integrated with resorts. Another, with representatives of national companies and associations linked to the sector, wants a broad law that serves as a new regulatory framework for gaming in Brazil.

THE Sheet explains, in the following video, the history, pressures and interests involved in the case.

Understand the case:

• In 1892, Jogo do Bicho was created to attract visitors to the Rio de Janeiro Zoo, in Vila Isabel.
• The Getulio Vargas government banned the animal in 1941 and included the practice in the list of criminal misdemeanors.
• In 1946, President Eurico Gaspar Dutra decreed the end of gambling, closing casinos, for “morals and good customs”.
• 50 years after the ban, in 1991, federal deputy Renato Vianna (PMDB-SC) presents a bill in the Chamber to legalize the animal game.
• The proposal dragged on, in the face of resistance, until 1995, without being voted on in the plenary.
• In 2016, the then president of the Chamber, Rodrigo Maia (RJ), created a special commission to debate the creation of a new regulatory framework for gaming.
• In 2016, a report by Deputy Guilherme Mussi (PP-SP) was approved with an expanded scope, including the legalization of casino-resorts, Jogo do Bicho, Bingo and Turf (horse racing).
• Gambling regulation gets stuck in Congress for four years. Proposals arise to approve only casino-resorts.
• In 2022, the Chamber approves a new regulatory framework for gaming.
• Proposal is in the Senate, still without a rapporteur. Voting can be delayed until the end of the year.

• Although most games of chance are not regulated in Brazil, there are modalities that are authorized by the federal government, such as Caixa’s lotteries. Sports betting sites work based on a 2018 law, which has yet to be regulated by decree. With the legal vacuum, platforms operate in Brazil based abroad, without paying taxes to the Brazilian government.

Proposal:

• Project approved by the Chamber is broad, with 122 articles, and legalizes casino-resorts, bingo, online games, animal games and turf.
• Casinos will have to operate in leisure complexes or boats. They must have hotels, shopping malls, lounges for social events and restaurants.
• Up to three casino resorts will be allowed per state, depending on population size.
• Companies will be accredited by the Ministry of Economy for a period of 30 years, renewable for the same period.
• Bingo houses can only have card, electronic and video bingo modalities.
• Text allows installation of one animal game for every 700,000 inhabitants, per state.

Who is who

Johnny Ortiz

• Brazilian, owns the company Zitro International, which develops games of chance
• He was investigated by the Italian and Brazilian police and the Bingos CPI for suspected money laundering
• He left Brazil after the Lula government banned, in 2004, the exploitation of slot machines
• Advocates broad approval of gambling

Sheldon Adelson

• North American, founded and presided over the company Las Vegas Sands
• Died January 11, 2021
• Traveled to Brazil more frequently from 2016 onwards, when it intensified lobbying to invest in casinos in Brazil
• Defended exclusive release of casino-resorts

Guilherme Mussi

• Federal deputy for São Paulo in third term
• He was the rapporteur of the regulatory framework for games in a special commission, in 2015 and 2016
• Advocates broad approval of gambling

Irajá Abreu

• Senator from Tocantins in first term
• He is the author of a proposal that allows the installation of casino-resorts in Brazil
• Articulates in the Senate to be the rapporteur of the new regulatory framework for games
• Defends exclusive approval of casino-resorts