The Ministry of Finance has opened the possibility of using regulatory agencies against the state of Rio de Janeiro over how it has granted licenses to sports betting companies operating outside of the sate. In an interview with Poder360, the head of the Secretary of Prizes and Betting (SPA), Regis Dudena, also stated that his department is working with the Central Bank and the Federal Police to monitor online betting companies.
“If it is necessary to use regulatory agencies, they must be used. All of us, when living in a society governed by the Constitution, must respect the Constitution and the laws,” he said.
Dudena stressed that the authorization from Loterj (the Lottery of the State of Rio de Janeiro) is limited to the state level. “When a state is allowed to explore a public service within the Brazilian federative model, it can only occur within its territory. The law does this, the Brazilian constitutional model provides for it,” he said.
However he argued that legal action is by no means inevitable. “I don’t see the need for judicial action, since we have two federated entities that can grant permission. If we respect our competencies as the Union and the States and the Federal District respect theirs, I don’t see the need,” he said.
In May 2023 Loterj published the requirements for companies interested in competing for the licence to run and develop fixed-odds online and land based sports betting. Crucially Rio de Janeiro has not imposed any geographical restrictions on the sites it has granted a licence to, enabling them to operate nationwide.
According to Dudena, 112 companies have applied to operate online gambling in Brazil starting in 2025. Dudena said that the Ministry of Finance expects to work with the Central Bank to monitor online gambling operators. The Federal Police and Anatel (the National Telecommunications Agency) are also expected to assist in the process, according to Dudena. They would be responsible for taking down websites not authorized to operate in the country.