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Mato Grosso do Sul pauses Lotesul platform contract amid federal betting ban

Tenders & awards2 min read

Mato Grosso do Sul has paused the next steps for its Lotesul lottery after Brazil’s MP 1.394/2026 banned sports betting and online games, the state finance secretariat said. The platform procurement awaits a decision on result approval; Dodmax Tecnologia had won after offering 69% of proceeds to operate Lotesul.

Mato Grosso do Sul has put Lotesul’s next steps on hold; the state government said through SEFAZ that the next procurement stages depend on an assessment of the provisional measure’s consequences. The procurement for Lotesul’s management platform awaits a decision on approval of the result.

The federal government issued provisional measure 1.394/2026 on 25 September, banning sports betting and online games in physical and virtual settings across Brazil, including under state and district concessions and authorisations. SEFAZ said the current procurement covers the lottery’s management technology, while operating conditions will be set in a separate process. The secretariat said it was too early to determine the extent of the measure’s effects on Lotesul’s future operation.

Dodmax Tecnologia was declared the tender winner on 10 May after passing a proof-of-concept test. Three other bidders failed that stage. Dodmax had offered to retain 69% of proceeds to operate Lotesul. Prohards Comércio, Desenvolvimento e Serviços em Tecnologia da Informação had offered a more favourable 64% but did not advance in the tender.

Dodmax is based in Campo Grande and is headed by cattle rancher Mauro Luiz Barbosa Dodero, first treasurer of the Mato Grosso do Sul breeders’ association ACRISSUL. Founded in 2024 during preparations for the auction, Dodmax was the only local bidder, competing against groups from other states. Dodero reportedly has a history of links to the Name family, known for its involvement in jogo do bicho and televised electronic draws.

SEFAZ accepted a request from Dodmax to operate with PayBrokers Loterias, submitted three days after Dodmax passed the proof-of-concept test. After checks with the register of issuers of dishonoured cheques and Brazil’s federal audit court, the procurement officer said no sanctions had been found that would prevent participation or a future contract.

In April 2025, the Mato Grosso do Sul state audit court suspended the tender to consider two challenges. Jamil Name Filho and Criativa Technology alleged that unusual and unjustified tender conditions indicated the process had been directed to favour PayBrokers. In 2024, PayBrokers was the subject of a Pernambuco civil police operation investigating gambling through legal betting companies in Brazil.

SEFAZ said it was analysing the measure’s effects and monitoring its progress through Brazil’s Congress.

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