Two more operators taken off SPA’s suspended list
On Friday, the SPA suspended the licences of seven operators after these companies failed to provide security assessment reports for their betting systems to the regulator.
Monday, the Secretariat of Prizes and Bets (SPA) reinstated Logame do Brasil Ltda and Sortenabet Gaming Brasil SA’s licences after they filed the necessary technical documents with the regulator.
Normative Ordinance No 722, published last year, requires operators to submit an evaluation report of their betting systems to the SPA. Recognised certifying entities must issue the report, which operators must then submit to the regulator within 90 days of receiving licensing approval.
EA Entretenimento e Esportes and Bet.Bet Soluções Tecnológicas SA quickly filed their reports last week, upon the list’s release. Then a federal court granted a preliminary injunction to Pixbet to reinstate its licence, as is it the primary sponsor for Flamengo football club. It is illegal for unlicensed brands to sponsor and feature in any sporting games, so a judge quickly reinstated Pixbet’s licence ahead of Flamengo’s match on the weekend.
Now, just Bell Ventures Digital Ltda and Betesporte Online Betting Ltda remain on the list. It means the SPA will allow Logame do Brasil’s LiderBet, GeralBet and B2xBet brands, and Sortenabet’s SorteNaBet, Betou and BetFusion to continue operating.
Are the SPA licence suspensions fair?
Back in April, the SPA similarly suspended the licences of four operators that had failed to present technical certificates.
These suspensions included Pixbet, which also had its licence reinstated by a federal court decision at the time.
Brazilian lawyer Fabio Ferreira Kujawski told iGB the licence suspensions were unfair.
In his view, the actions could demonstrate a “certain lack of dialogue and understanding” from the regulator.
“In our view, the suspension of the authorisation was a disproportionate response to the infraction committed,” Kujawski said.
“The SPA needs to understand that there are several companies already established in the market, with million-dollar sponsorship contracts, and that a suspension of authorisation should only occur in extremely serious cases of repeated violations of Brazilian law.”
Kujawski feels the SPA should assert authority over Brazil’s market, but must also find a balance.
“This cannot translate into an agency that applies sanctions in a disproportionate manner or adopts an inquisitorial stance against the sector it regulates,” Kujawski added.
“A balance must be struck between an active agency and a belligerent one. I am convinced that the SPA will find this right path.”