Online gambling in Brazil: Senate authorises Parliamentary Inquiry Commission

Regulated online gambling in Brazil will begin on January 1.
Regulated online gambling in Brazil will begin on January 1.

The CPI will probe the financial impacts of the regulation of online gambling.

Brazil.- The Brazilian senate has approved the launch of a Parliamentary Inquiry Commission (CPI) to look into the financial impacts of online gambling ahead of the launch of the regulated market on January 1. Some 30 senators supported the proposal tabled by senator Soraya Thronicke, who represents the state of Mato Grosso do Sul.

The CPI will investigate how the introduction of regulated gambling impacts the finances of Brazilian families. Thronicke said the commission should focus on how gambling could increase financial liabilities and indebtedness as well as the effectiveness of protections against money laundering. Other senators have said the inquiry should also look into the risks of gambling addiction.

The move comes after the Central Bank reported that recipients of the Bolsa Família state benefits programme for low-income families spent BRL 3bn (€500m) on gambling. The president of Brazil, Inácio Lula da Silva, has ordered the ministers of finance, sports, healthcare, public welfare and social development to develop controls to prohibit such welfare payments from being used for gambling. He also told the ministers to develop measures to mitigate financial risks and debt problems.

Senator Alessandro Vieira has proposed that those listed in credit protection systems be banned from gambling, while senator Eduardo Girão has called for a ban on celebrities promoting gambling at sports events. His call came after the celebrities Gusttavo Lima and influencer Deolane Bezerra came under scrutiny for alleged connections to gambling.

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