Rio De Janeiro halts local lottery designation process
The state of Rio De Janeiro will be temporarily prevented from moving forward with the designation of a local lottery, online gambling and sports betting operator.
It follows Court Auditors of the State of Rio de Janeiro approved the interim measures presented by the joint venture Estrela Instantánea, formed by IGT do Brasil and Scientific Games, to stop public tender No. 392/1283691793 Loteria del Estado de Río de Janeiro (Loterj).
The measures now mean that Loterj must "refrain from awarding, approving or signing any contract resulting from the tender process".
Andrea Siqueira Martins, Deputy Advisor to the State Court of Auditors of Rio de Janeiro, addressed the President of Loterj Oswaldo Luiz Pacheco Ribeiro provides the information necessary to continue the case.
Games Ma gazine Brazil explained: "President Loterj did not expect any attempt to challenge the process, especially so close to the date [it was supposed to end], but we were prepared just in case. Loterj's legal department will work with the Court of Auditors to reverse the suspension request."
Ribeiro also stressed that they are excited about the bidding process and that this is a post pandemic operation.
He continued: "We have suffered a lot but now [there's] redemption, a turning point for Loterja. Our revenues have been below expectations and this turnaround will be important because we will take a step forward. But most importantly, we will very quickly meet the expectations that the public has in our state."
One of the requirements for running sports betting and lottery products in Rio de Janeiro is that international companies must partner with a Brazilian entity that would be the leader in the consortium.
In addition, each consortium member must individually comply with the requirements to submit supporting documentation. The bill provides for the transfer of funds raised under the same system in which Loterj currently operates its lotteries, while establishing that the proceeds will be subject to income tax, in accordance with federal legislation.
