Lotesul: Federal Prosecutor's Office halts MS lottery and postpones contract with Dodmax.
The government of Mato Grosso do Sul has put the next steps for the State Sports Lottery (Lotesul) on hold. The reason is Provisional Measure No. 1.394/2026, issued by the federal government on September 25, which prohibited sports betting and online games in physical and virtual environments throughout Brazil, including state and district concessions and authorizations.
According to information obtained by Correio do Estado, the state government, through the State Finance Secretariat (SEFAZ), reported that the advancement of the next stages of the bidding process depends on the analysis of the consequences of the Provisional Measure. Currently, the bidding process for contracting the Lotesul management platform is awaiting a decision on the approval of the result.
"The definition of the next steps in the bidding process also depends on the assessment of the repercussions of Provisional Measure No. 1.394/2026. The ongoing contract concerns the technological structure for lottery management. The lottery operation, which may be affected by the impacts of the Provisional Measure, will be addressed in a specific process, in which the operating conditions will be established," stated SEFAZ in a note.
The department added that it is "analyzing the effects of the current regulation and monitoring its progress in the National Congress, in order to ensure that the continuation of the process observes applicable legislation, legal certainty, and the public interest." The SEFAZ concluded that "it is premature to anticipate conclusions about the extent of the impacts on the future operation of Lotesul."
The bidding process and its winner.
The competition was held on Friday (February 13th). The company Dodmax Tecnologia SA was declared the winner on Friday (May 10th), after being approved in the proof of concept of the selection process. Three other competitors did not pass this same stage.
Dodmax won the bid by proposing to retain 69% of the proceeds to operate Lotesul. The company Prohards Comércio, Desenvolvimento e Serviços em Tecnologia da Informação Ltda. had submitted the most advantageous offer for the state, with a bid of 64%, but did not advance in the bidding process. Dodmax is based in Campo Grande and is headed by cattle rancher Mauro Luiz Barbosa Dodero, first treasurer of the Mato Grosso do Sul Breeders Association (ACRISSUL). The company was created in 2024, during the negotiations for the auction, and was the only local competitor in the bidding, competing against groups from other states.
Correio do Estado had already revealed that Dodero has a history of ties to the Name family, known for their involvement in the illegal lottery game known as "jogo do bicho" and in electronic lotteries promoted on television.
Consortium and controversies with PayBrokers
Three days after passing the proof of concept, Dodmax requested authorization from the state government to operate in partnership with PayBrokers Loterias Ltda. The State Finance Department (SEFAZ) accepted the request. After consulting the Check Issuers Registry (CCF) and the Federal Court of Accounts (TCU), the auctioneer confirmed that “no sanctions were found that could prevent participation in the bidding process or future contracting.”
However, PayBrokers had already accumulated controversies. In April 2025, the Court of Auditors of the State of Mato Grosso do Sul (TCE-MS) suspended the bidding process to address two challenges. The challenges were filed by Jamil Name Filho, known as Jamilzinho, and by the company Criativa Technology, from Dourados, owned by the Razuk family. Both pointed to "evidence of bid rigging, due to unusual and unjustified conditions" in the tender and indicated PayBrokers as the company allegedly favored.
Furthermore, in 2024, the Paraná-based company was the target of an operation by the Pernambuco Civil Police investigating the operation of gambling through legalized betting sites in Brazil.
