iGB E-zines iGB e-zine BRAZIL | Page 12

Part 2: The curious case of Brazilian bingo were being diverted to corrupt government officials, from federal to municipal levels. A Parliamentary Commission of Inquiry (the CPI dos Bingos) found that criminals were using bingo halls to launder money and that proceeds were being diverted to corrupt government officials, from federal to municipal levels 12 What went wrong? The University of Kent report makes the obvious point that the regulatory framework for bingo “lacked a robust articulation of objectives, instruments, and methods”. It stated that the regulatory process “developed in a slow, piecemeal fashion”. “It relied from the outset on heroic, unrealistic assumptions about the ability of sports organisations to diversify into the provision of gambling services such BRAZIL The regulated opportunity in Latam’s largest market as bingo, and about the capacity of new and inexperienced institutions to regulate the country’s only formal market for non-state provision of mass-market gambling.” The exacting standards for each establishment, requiring substantial investment in facilities, were beyond the sports organisations it was intended to encourage. However, the status of bingo as the only legal and commercially available game made it attractive to organised crime organisations, which had been running the illegal but very popular jogo do bicho lottery-style game. Crime organisations ended up