Part 2: The curious
Part 2: case
Peering
of Brazilian
into the future
bingo
funding establishments fronted by
individuals from sports organisations
who could pass accreditation services.
Meanwhile, the establishments
themselves were far from their
image in other countries such as
the UK. They became glittering,
casino-like palaces aimed at affluent
businessmen as much as anyone.
They also invested heavily in electronic
bingo and slot machines.
Going underground
The lack of money
laundering controls is
surely one of the main
mistakes the government
made [with bingo] and
this can be addressed
with technology and
techniques learnt from
other jurisdictions
Alessandro Valente,
Super Afiliados
As the Federal authorities moved
to try and close down the sector,
the bingo halls effectively moved
underground. “Since the end of the
legalisation period it is the smaller, less
glamorous and less visible spaces that
have survived as clandestine bingos,”
says the report.
Moreover, pop-up bingo has also
become a thing. “A new form of
clandestine operation has developed
since [the] closure of the market: the
pop-up bingo,” says the report. “This is
set up with very little investment and
can be taken down quickly in the event
of a police raid.”
As the report concludes: “It is
difficult to see the benefits to Brazil of
its current approach to bingo.
“The lack of a regulatory model
for legal bingo may reduce access to
the game but it does not stop those
who want to play. Illegality generates
costs of enforcement, corruption and
foregone jobs and taxable revenues.
Illegality also tends to drive gambling
problems, including the exploitation
of vulnerabilities and fraud, further
underground.”
are a necessity, they also need to be
inclusive, ready for future changes,
either social or political”
Maia from FYMSA Advocados
agrees that the most important lesson
learned from the failure of bingo is that
gaming activities must be regulated
and monitored, not simply legalised.
“Only with proper regulation will it be
possible to attract large international
investment and protect players,
ensuring that the operators comply
with the rules.”
Munhoz da Rocha from BetConsult
agrees. “The most certain way to
have that fulfilled is to have a bill
which legalised the activity and
established clear rules on how it shall
be conducted, the taxation applied,
standards, etc.”
“The lack of control over the
potential for money laundering is
surely one of the main mistakes
the government has made and this
can be addressed with technology
and techniques learnt from other
jurisdictions,” adds Valente from
Super Afiliados.
“The ideal regulated scenario has
to provide a win-win situation for
all sides involved, the government,
operators and those who are going to
be working on the ground, but most
importantly the customers, who need
and deserve a sophisticated system
that allows them to have a fair and
fun experience.”
Lesson learned?
Alfieri at BetCorporate says that more
could have been learned from the
bingo experience. “In the matter of
bingo regulation, public perceptions of
gambling and the reality of regulation
were not aligned,” he says. “We should
all know by now that while regulations
BRAZIL The regulated opportunity in Latam’s largest market
13