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Eduardo Paes pledges to close Loterj and ban betting in Rio

Regulation

Rio de Janeiro gubernatorial candidate Eduardo Paes said he would abolish the state lottery authority, Loterj, and ban sports betting in the state if elected. He accused the authority of laundering money for militia groups; the report also says prosecutors charged eight people over alleged use of illegal gambling proceeds to obtain Loterj licences, while Brazil’s Supreme Federal Court formed a majority to restrict Loterj’s operations beyond the state.

The proposals and court action could affect Loterj’s licensing powers and betting operators licensed in Rio de Janeiro.

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Regulation

Brazil seeks BRL1bn in collective damages from 17 betting companies

Brazil’s Attorney General’s Office has sued 17 betting companies in the Federal Court of Pernambuco, seeking reimbursement for costs to the Public Health System and at least BRL1 billion for collective moral damages. The AGU estimates healthcare-related damages at about BRL2.6 billion; the companies named represent around 80% of the market, according to the government.

A case has been brought before the Federal Court of Pernambuco by Brazil's Attorney General's Office (AGU) targeting 17 betting operators. The office is pursuing redress for harm done to the Public Health System (SUS), together with a request for no less than BRL1bn in collective moral damages. Healthcare-related losses are put by the AGU at roughly BRL2.6bn ($444.3m). No precise reimbursement figure appears in the filing; the office wants that sum worked out at a later stage.

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