The Brazilian Federal Police have taken a firm stance against the proposed regulation of land-based casinos, arguing that legalizing such establishments could facilitate money laundering. The force has submitted a document to the Ministry of Justice and Public Security (MJSP), highlighting legislative priorities and opposing the casino bill.
Federal Police’s Position on the Bill
A list of legislative priorities for 2025, compiled by the Federal Police, was sent to the MJSP, outlining their stance on multiple bills under congressional review. The document, signed by Deputy Director General Wiliam Murad, identified 20 projects as priorities for approval, while 24 others, including land-based gambling regulation, were deemed unfavorable. The police force flagged concerns about potential criminal activities, particularly money laundering, that could arise from casino operations.
The proposed legislation aims to legalize casino venues, bingo halls, and retail sports betting. However, it has encountered strong resistance from officials and policymakers. Senator Eduardo Girão, for example, has expressed concerns, calling land-based gambling regulation a “mistake.” Opponents argue that such businesses could increase the risk of addiction and financial exploitation.
Delays and Political Considerations
The casino regulation bill was initially approved by the Justice and Citizenship Committee in June 2024, securing a narrow 14-12 vote. Despite this early success, the bill has experienced multiple delays, with the most recent occurring in December when Senator Irajá Silvestre withdrew the proposal following a debate.
While the opposition from federal law enforcement adds another obstacle, industry insiders anticipate that President Luiz Inácio Lula da Silva will ultimately approve the measure in the first half of 2025. His administration is expected to weigh the economic benefits of legal gambling against the concerns raised by law enforcement and some politicians.
Economic Implications and Tourism Potential
Despite concerns over money laundering and addiction, proponents of land-based gambling argue that legal casinos could provide a much-needed boost to Brazil’s tourism sector. Industry experts have pointed to the success of the Dominican Republic, a much smaller country that attracted over 10 million tourists in 2023, while Brazil recorded only six million visitors.
Alex Pariente, senior vice president of casino and hotel operations at Hard Rock International, emphasized Brazil’s untapped tourism potential. He noted that the country has diverse attractions but lacks a clear tourism policy to drive consistent international interest. Proponents believe that a regulated gambling market could attract more visitors, increasing revenue and employment opportunities.
The Ministry of Justice and Public Security has yet to review the Federal Police’s recommendations, leaving the future of land-based gambling regulation uncertain. While law enforcement’s concerns may influence legislative proceedings, the potential economic benefits of a legalized casino industry continue to drive political and industry discussions. With key stakeholders expecting the bill’s approval, the coming months will determine whether Brazil moves forward with gambling expansion or if resistance from law enforcement and policymakers leads to further delays.
Source:
PF quer barrar regulamentação de bingos e cassinos no Congresso, cnnbrasil.com.br, January 29, 2025.