Brazilian legislators to investigate gambling sponsorship deals over non-compliance fears
Ministry of Justice has ordered clubs, federations and free-to-air tv network TV Globo to submit information about commercial partnerships
Brazil’s Ministry of Justice and Public Security has called on 54 sports-related entities to provide details of their respective partnerships with gambling operators to the body within the next nine days.
Entities targeted by the Ministry include Campeonato Brasileiro Série A clubs such as Flamengo, Palmeiras and Corinthians, as well as the league itself.
In addition, the free-to-air Brazilian TV network TV Globo has also been called on to provide details of its own sports related sponsorship deals.
The ministry has indicated that any companies, sports clubs and other bodies which do not comply with the information request may be subject to an administrative review.
This action comes after the National Consumer Secretariat raised concerns that any partnerships which have already been agreed prior to Brazil finalizing its federal sports betting regulations may be non-compliant with the standards imposed.
Brazil’s sports betting law was passed by the country’s Congress in February but is still yet to be approved by the senate and receive the presidential seal of approval.
In May, the Secretariat of Evaluation, Planning, Energy and Lottery (SECAP) published rules for conducting online sports betting in Brazil, including details of a $4.4m (£3.8m) licence fee for operators.
In addition, operators will also need to make responsible gambling messaging visible and front and centre of their respective offering in order to qualify for a license to operate in Brazil.
SECAP has also proposed that any firm wishing to operate in the region would need to have a local presence, actions which have led to an upsurge in partnerships between sports betting operators and clubs, governing bodies and other entities.
Brazil’s free-to-air TV network, TV Globo already has partnerships with Pixbet and Betnacional for its coverage of this year’s World Cup in Qatar.
Sports betting operator Pixbet also has partnerships with a number of top clubs in Brazil, including Flamengo, Santos, Juventude, Avaí, Goiás and América-MG, while Betnacional has deals with Náutico, Santa Cruz, Sport, Vitória, Vila Nova and XV de Piracicaba.