Betting Operators Suspected of Political Collusion Over Return to Brazilian Market

^{Flávio Bolsonaro, Brazilian presidential candidate}

Betting operators may have struck a secret deal with the party of presidential candidate Flávio Bolsonaro to return to the Brazilian market. According to Brasil de Fato, the companies hope to resume operations as early as October 26 – the day after the election – if Bolsonaro wins.

On October 25, the son of former President Jair Bolsonaro will face President Luiz Inácio Lula da Silva in a runoff. In September, Lula banned sports betting and online casinos, and gambling websites were required to shut down by October 6.

A source linked to BetMGM said that another operator is using its connections in Bolsonaro’s party to help negotiate the industry’s return to Brazil.

For the party, such a deal could mean the backing of the gambling industry and football clubs that have lost their sponsors.

There are also suspicions about Bolsonaro’s personal financial interests. According to Piauí magazine, police have requested an investigation into his possible hidden stake in Best Bet, a betting operator.

Bolsonaro also discussed the possible comeback of betting operators with executives from media group Globo, which has lost betting advertising revenue since the ban. During a meeting on October 16, he said that an agreement had already been reached in Congress to overturn the sports betting ban. However, the future of online casinos remains uncertain.

The proposed reopening of the market faces significant legal obstacles. All existing betting licences are due to expire on October 25, the day of the election, and new ones cannot be issued.

Even if he wins, Bolsonaro will not be able to lift the restrictions straight away, as he is not due to take office until January 5, 2027. Reopening the betting market on October 26 would therefore require action by Congress or the Supreme Court.

Congress has yet to begin reviewing Lula’s decree, leaving Supreme Court Justice Luiz Fux in a potentially decisive position. Fux is overseeing legal challenges to the betting ban and has the authority to suspend its enforcement.

According to the Brasil de Fato source, Fux is aware of the alleged agreement between betting operators and Bolsonaro’s party, but there is no evidence that he took part in it.