Match-fixing in Brazil Brings New Momentum to Sports Betting Regulation MovementPublished February 23, 2023 by Lee R
The pieces appear to be in place for Brasil to regulate sports betting again.
Match-fixing scandals may help Brazil’s sports betting regulation move forward.
The Prevailing Impasse
The undesirable impasse which set back the much-anticipated Brasilian regulation era may be dissolved due to an expert opinion indicating a wave of match-fixing incidents in Brasil necessitates more control of funds being wagered in the bet-happy state.
The projection comes on the heels of the announcement that Brasil’s Ministry of Justice is sending a proposal to regulate sports betting.
Source of Delay
Former President Jair Bolsonaro failed to ratify regulations on schedule late last year, stalling the progress of the Brazilian betting model, which created the current impasse.
Brasilian sports journalist Juca Kfouri quoted the special adviser to the executive secretariat of Brazil’s Ministry of Finance, Francisco Manssur, as the source for news of the proposal.
Basis for Proposal
The proposal is apparently in reaction to Maia Yoshiyasu Advogado's partner Luiz Felipe Maia’s observation that public pressure following the number of match-fixing scandals has triggered a response from the president.
Felipe Maia explained the nature of the pressure further:
Without regulation, and with such a huge amount of betting operations from offshore, the Brazilian leagues are an easy prey for fraudsters.
Availability of Illegal Betting
Maia believes that the multitude of offshore betting operations has a direct impact on regulation prospects:
It was a matter of time until it created a series of scandals that could result either in the regulation or the shut down of the market.
New Source of Revenue
At this point, Maia adds that regulation can provide added benefits since minister of finance Fernando Haddad is under significant pressure to “look for new sources of revenue for the government.”
Sports betting regulation can of course, provide significant added revenue.
Minister Manssur already has expertise in implementing sports betting as a law specialist who had a hand in creating the SAF – Sociedade Anônima do Futebo, an ad hoc consortium of Brazilian football organizations. Manssur also has significant support from Brasil’s Labour Party.
The ministry reportedly sends the proposal to a cabinet-level office at the president’s chief of staff’s office.
A department is to be proposed to create provisional measures (PM) and ordinances that set the foundation for an online betting regulatory regime.
If the proposal is accepted, the next steps would be a trial period and subsequent vote in both the Chamber of Deputies and the Federal Senate.
The movement towards sports betting regulation certainly appears to have the chance to move forward again.