Johnny de Viveiros Ortiz says he fell asleep as a businessman and woke up as a criminal when bingo was banned in Brazil. The family was one of the industry leaders at the time of the decision in 2004 and moved to Europe to continue developing the games.
“There are many people investigated in Brazil; more than me, impossible. [Ministério da] Farm, Federal Police, Civil Police: they all investigated and found nothing”, says the businessman, in an interview with Sheet.
Your name was mentioned in conversations with parliamentarians in favor of legalizing gambling. What is the size and influence of Zitro International today? I haven’t talked to politicians. Perhaps [eles me conheçam] for the company, even more because I am Brazilian. But I have lived outside Brazil for many years.
We are in over 40 countries. We recently entered the United States, where compliance is fundamental. In several countries I am well received because we generate many jobs.
What do you think of the proposal for integrated casinos approved by the House? In general, the project is good because not just anyone can enter, it needs a minimum capital. I think it was quite reasonable for the casino-resorts, because the requirements are not the same as in other countries.
I, for example, have nothing to do with the animal game, but I am in favor of releasing everything. The animal game exists today, everyone plays it, politicians and police know where they are.
In the animal game alone, the day after approval, there will be more than 500,000 signed papers because the staff employs a lot of people. Casinos generate jobs, but much less than the animal game and bingos.
The House proposal foresees that the profits will be divided in 60% for the casinos and 40% for the owners of the machines, like you. Are percentages in line with international practice? It has everything in the world. Several countries do it by percentage, others do it by fixed amounts. The range is different and very wide. The exact percentage values ​​I don’t remember. We are in over 40 countries.
Critics of the proposal speak of money laundering. It’s an absurd. Today, the Brazilian government is able to control your entire life. And the law is very well done: all machines need to be homologated by the controlling body and the government will have control of everything that happens in casinos, in bingos.
I challenge anyone who talks about laundering money to teach me how to launder money in a casino. We see it in old movies. I don’t know how to launder money in casinos.
There is a very strong argument that people do not understand: it is very expensive to launder money in casinos. It is much easier to wash in a parking lot than in a casino.
There is a strong lobby of corporations that want exclusivity for casino-resorts, without widespread approval with animal games and bingo. These groups lose strength with the death of Sheldon Adelson [empresário norte-americano do setor de jogos, morto em 2021] and the economic crisis in the pandemic? Adelson died, but the group continues. In Brazil there was talk of the “Sheldon Adelson Law” because he wanted only casinos and forbid any other type of game. It goes against the interests of Brazil. Brazil could have broader legislation. He wanted the opposite, a niche market.
Thinking about returning to Brazil? No doubt. If there’s seriousness, I’ll come back. If not, I won’t be back. I have license in over 40 countries. I will not put everything at risk to return to Brazil if the legislation is not serious and forceful.
You said that you have not worked with parliamentarians, but we are aware of your proximity to Deputy Guilherme Mussi (PP-SP), rapporteur in 2016. Did you talk to him about the matter? Have no doubt that I know him. I’ve known his father for over 30 years. I go to Brazil twice a year. When he was rapporteur, I talked [sobre a legalização dos jogos de azar] for him to understand the gaming market.
How did Congress manage to disengage from the Las Vegas Sands lobby? the lobby of [Sheldon] Adelson is different, because he participates himself. He says he’s going to make investments, but then he wants tax exemptions for so many years, permission to hire employees who are out of the country. He asks for a number of things in return that few governments can offer.
He thought that when he arrived in Brazil, a Tupiniquim country, he could do whatever he wanted by offering billions of dollars to build the casino. That’s why he wanted legislation that was small and not broad, as it is in Congress.
You were in Brazil in February, the weekend before the proposal was voted in the Chamber. It was the home of Guilherme Mussi’s family, in Bahia. Was your visit related to the vote? None. She was at a friend’s house in Bahia, far from BrasÃlia or São Paulo. Enjoying the weekend with my wife. She lives here, I don’t. At a friend’s house. I am Brazilian and I still have many friends in Brazil.
His family’s departure was turbulent. In addition to the ban on slot machines, there was an investigation by the Federal Police and the Bingos CPI on suspicion of money laundering. Do you have any explanation for the charges? I didn’t leave because of the investigation. I left because I slept a businessman and woke up a thief. from day to night [o governo Lula] banned the game. More than 500,000 people lost their jobs at the time.
everything I said, [a imprensa] deviated. It was all an invention. I hired a company to do a self-investigation and they came to the conclusion that it was all a press job. The competition that started creating things to put in the papers.
Watch a video about the history, pressure and interests involved in the attempt to regularize gambling in Brazil.
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 by the Bingos CPI on suspicion of 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
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