Wire SOUTH AMERICA
It is estimated the judicial process could last a year and the case could reach the Supreme Court of Justice - who endorsed the use of slot machines back in 2016.
MEXICO LEGISLATION Operators Rail Against Slot Ban
Permit holders and casino operators in Mexico have filed a legal claim challenging reform to the Federal Law on Games and Sweepstakes.
Brazil - Online betting platform set for testing The Federal Data Processing Service (Serpro), along with the Ministry of Finance, has presented a platform developed by the government for the integration of information processed by online operators. The new platform was introduced remotely in a meeting attended by around 200 representatives from 90 betting houses in all. The main objective of the meeting was to present the platform testing process to potential operators.
Those attending the meeting belonged to the 134 companies that had already expressed an interest to the Ministry of Finance in obtaining a license after the Ministry of Finance opened a consultation in October last year. 90 companies were reported to have signed on to take part in the tests. The government gave the remaining companies until 19 January the opportunity to take part in the programme which will begin testing on February 19. This meeting was part of a broader effort to ensure that betting companies operate within a clear regulatory framework, protect consumers' interests, prevent harmful practices and aims to establish an ethical and legal environment for the online betting industry.
The tests are also designed to provide operators with information on the technical requirements related to sending information to the Ministry of Finance. Testing will cover connection assessments and technical requirements related to sending information to the Ministry of Finance while additional tests will focus on volume and the ability to support high loads on infrastructure, ensuring the robustness of communication between the Ministry of Finance's management system and betting systems. At this stage tests will only be carried out for sports betting platforms.
According to a statement issued by the Ministry of Finance, carrying out tests is not mandatory, nor does it constitute prior authorisation or certification of betting systems.
Argentina - Online gambling live in Córdoba Online operators in Córdoba recorded revenues of 25 million pesos per day (around US$ 30,000) during the first official week of operation. In the first week online platforms reported revenues of $173,447,344 pesos (around US$213,000) with an average of $11,118 (US$13) for each registered user, according to the province officials.
Online gaming is now fully enabled in the territory of Córdoba after completing a 45 day trial period between November 21 and January 4. Of the four authorized companies, three have begun to take bets. Officially, the market was launched on Friday 5, with the launch of Jugadón later, on Monday 8, both Playcet and Bplay went live.
P16 WIRE / PULSE / INSIGHT / REPORTS
At least twelve permit holders and casino operators have asked the Judiciary to declare as unconstitutional the presidential decree of November 16 that prohibits slot machines and reduces the duration of casino permits, among other restrictions.
According to local press, Gabriel Regis, Sixteenth District Judge in Administrative Matters, has already accepted six of the writs for processing, and in three cases (Operadora Megawin, Eventos Festivos de México and El Palacio de los Numeros) the judge has already agreed to suspend the rule, allowing them to operate normally until the constitutionality of the decree is resolved.
However, other magistrates have denied the motions or have asked for further clarification from companies such as Codere, Operadora de Espectáculos Deportivos, Zitrogames and Espectáculos Deportivos de Oeste, as well as the Association of Permit Holders, Operators and Suppliers of the Entertainment and Gambling Industry in Mexico (AIEJA). In December, the
Brazil Ministry of Finance announces tighter controls
Special adviser to the Ministry of Finance José Francisco Manssur announced that new regulatory ordinances will be issued on a number of topics to further strengthen, monitor and provide control over the online gaming industry. Tese new rules will play a vital role in combating the rise of unregulated online slots which have become hugely popular in Brazil as they have been promoted by influencers.
One of the most popular is the “Jogo do Tigrinho” game (“Fortune Tiger”) which is based on the signs of the Chinese zodiac. In the state of Maranhão, the number of people suffering losses and huge gains obtained by influencers has led to a criminal investigation over alleged ties to organised crime and money laundering.
Manssur published a statement on his LinkedIn account covering the scope of the new ordinances and
how they will help strengthen the market and provide player protection measures going forwards: “No game will be allowed unless it clearly informs the bettor what the value of his prize will be if they win the bet. As a result slots that use the term ‘jackpot, for example, will not be allowed.”
According to Manssur, authorised operators will only be able to offer online games that have been certified by specialised international entities and are registered with the Ministry of Finance.
“Certification includes a commitment not to alter the bettor’s chances of winning. Te control is so strict that a variation of less than one percentage point in the winning margin can lead to a game having its certification revoked... exactly the opposite of what currently is happening.”
Te Undersecretary of Finance Heidi Berner and the head of the Superintendent of Casino Games (SJC) Vivien Villagrán have presented Chile’s online gambling bill to the Senate's Economic Committee.
Te bill, which was approved in the first stage by the Chamber of Deputies in December, aims to create a competitive market. It also seeks to safeguard public trust, protect the health and safety of players, ensure transparency in the origin and destination of resources obtained from gambling and raise revenue for state coffers and sports.
Online betting platform operators will need to establish themselves as anonymous corporations dedicated to an exclusive purpose. Tey will have to have a minimum capital of 2,000 UTMs, (Unidad Tributaria Mensual is a monthly unit of account used for tax purposes in Chile) and a maximum of 10 shareholders who must identify their beneficiaries.
president of the AIEJA said that the AIEJA was working on two strategies to confront the ban. Firstly, the presentation of legal appeals, and secondly, the promotion of a new gaming law.
It is estimated that the judicial process could last a year and the case could even reach the Supreme Court of Justice, which unanimously in 2016 endorsed the use of slot machines in casinos. In its ruling at the time the court declared that those playing slot machines were taking part in sweepstakes and the outcome did not depend on skill unlike card games which are defined as gambling under Mexican gaming law.
In November, the government of President Andrés Manuel López Obrador banned slots in casinos and other gambling facilities. However the reform will not be retroactive, so casinos will still be able to use them for the time remaining on their permits. Tese licences can only have a maximum validity of 15 years. Once this time passes licences won’t be eligible for renewal or extension.
Chile
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