Wire SOUTH AMERICA
Ecuador’s largest football competition said it will take legal action against the move which it describes an attack on “football, investment and entertainment.”
ECUADOR SPORTS BETTING President Imposes Advertising Ban
Ecuador’s President has approved a ban on the advertising of sports betting, adding pressure to an industry preparing for a significant tax hike.
Brazil - FIFA bans 11 Brazilian players After a series of match fixing scandals that have shaken Brazilian football over the last months, FIFA has confirmed the worldwide extension of sanctions imposed on 11 players by the Brazilian Football Association (CBF). Following investigations by the Brazilian authorities and the disciplinary proceedings opened by the CBF, FIFA has now listed the 11 players on its website that are now banned from “taking part in any kind of football-related activity.”
In a statement, FIFA said: “As a result of the sound and exemplary cooperation with the CBF and in line with article 70 of the FIFA Disciplinary Code, the chairman of the FIFA Disciplinary Committee has decided to extend all of the above-mentioned sanctions to have worldwide effect." FIFA said it will continue its ongoing efforts to combat match manipulation through a variety of initiatives which will “include the monitoring of international betting markets, the confidential FIFA Reporting Portal, the FIFA Integrity app, as well as several awareness and educational activities across the world.”
The ban stems from Operação Penalidade Máxima (Operation Maximum Penalty), an ongoing Brazilian football match-fixing scandal investigation being performed by the Public Ministry of Goiás. The investigation began with three matches from the Série B of Brazilian football. A second phase of the operation was launched in April named Operação Penalidade Máxima II. It was also carried out by the Public Ministry of Goiás After the match fixing scandal came to light a Parliamentary Commission of Inquiry (CPI) was launched in the House of Deputies in May..
In June it emerged that the investigation had identified the involvement of as many as 72 people in the illegal match fixing group according to local newspaper, Globo. The report was based on the analysis of almost 3,000 pages of documents related to the government investigation.
Mexico - Lawmaker proposes advertising ban Deputy Andrés Pintos Caballero has presented a proposal to establish new restrictions on gambling advertising. The initiative seeks to modify article 243 of the Federal Law on Telecommunications and Broadcasting so that that the advertising and promotion of casinos and sports betting houses can only be made once the advertisement has been authorised by the Ministry of the Interior, allowing it only before the start of any sporting event and not during matches.
Citing his reasons for the legal changes, the Deputy stated that adolescents are bombarded with advertising that encourages them and arouses their curiosity to gambling prior to events events.
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Te President of Ecuador, Guillermo Lasso, has approved a ban on the advertising of sports betting. Te measure, entered into force under Executive Decree 853, was officially signed on August 23. Te measures are part of wider regulations covering communications introduced at the end of 2022.
In a statement, Ecuador's largest football competition, LigaPro, said that the measure was part of a "disturbing trend on the part of the current government with regard to the sports industry." LigaPro is currently being sponsored by local sports betting operator, Bet593.
"We want to express our deep rejection and our most vigorous protest at the recent inclusion of a ban on the advertising of sports predictions in the Regulations to the Communication Law," said LigaPro. Te entity described the "essential place" that football occupies in society and highlighted the collaboration of sports betting companies in Ecuador, which after the pandemic functioned as "a vital way to ensure necessary income" for football teams.
"We categorically reject this new attack on football, investment and entertainment. We call for respect for our fundamental principles and consideration of the importance of advertising investment in sports prediction for the sustenance of our sport," LigaPro stated, adding that the league would take legal action against the move.
Te ban will add more pressure to the industry which face new taxes beginning next year after the constitutional court of Ecuador approved taxes on sports betting in June. Te reforms are part of a much wider tax reform bill that includes tax cuts for most families.
When it comes to sports betting the rule establishes that sports betting platforms must pay a 15 per cent tax on GGR. In addition operators will be responsible for imposing a 15 per cent withholding tax on player winnings. If a bet is placed via an operator that does not reside in Ecuador, the player must assume 15 per cent of the tax on the value of their bet at the time of placing it.
Chile
Brazil Sports betting bill could cover online casinos
It has emerged that Brazil’s online sports betting bill currently in the lower house could also cover online casinos. According to local press, Adolfo Viana, the rapporteur of the online sports betting bill, has included online casinos.
Te lawmaker pointed out that market regulation would enable the inspection and collection of taxes on companies currently hosted outside Brazil, in addition to formalising many jobs generated by the sector locally. Te president of the chamber, Arthur Lira, made the announcement while talking to press arguing that the majority of gambling offshore took place via online casino games rather than sports betting
"Leader Adolfo discussed the limits of the project today with all the leaders, what it deals with, what it can deal with, what it can achieve. Te project only dealt
with online sports betting, when we all know that the bulk of these online bets are in games of chance, such as online casinos, and so on. So the project must encompass all the circumstances of everything that is done online . . ." he said.
Arthur Lira appointed, Deputy Adolfo Viana as rapporteur of the bill at the end of last month. In addition Adolfo Viana has put forward a lower tax on GGR sportsbetting compared to the 18 per cent on GGR which had previously been envisioned.
Local news outlet, O GLOBO, reported that Viana met with Minister of Finance, Fernando Haddad, with negotiations underway whereby the tax rate would stand at a minimum of 10 per cent and a maximum of 18 per cent on GGR. Te same amount would also be applicable to online casinos if approved.
A Chilean senator, Esteban Velásquez Núñez, has said that he will introduce a bill that would put criminal sanctions on operators of online casinos on Chile. In his justification for the bill, the senator criticised the growing commercial ties between football and online casinos.
“In the coming days we are going to present a bill to perfect the sanctions associated with illegal games, especially the case of online casinos, pursuing civil and criminal responsibilities. With everything that has happened, at this point it is unacceptable that this type of illegal business that is outside the law is accepted in our country."
Te legislator also criticised the sponsorship of football teams by online casino operators, stating that professional football “had been invaded.” His comments come as an online gambling bill advances in the lower house and is being debated.
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