Brazilian Federal Police conduct operation against illegal betting scheme and freeze nearly R$ 1 billion.

Illegal betting sites displayed fake Ministry of Finance seals to appear legitimate. Behind the facade of legality, a money laundering structure operated, allegedly originating from drug trafficking. This was the scheme that the Federal Police dismantled this Wednesday (July 15th) with the launch of Operation Slots, in Vitória (ES).

The operation, carried out with technical support from the Prizes and Betting Secretariat (SPA) of the Ministry of Finance, targeted a criminal group that was operating fixed-odds betting platforms without authorization to operate in Brazil. Fourteen search and seizure warrants and two temporary arrest warrants were executed in six states: Espírito Santo, São Paulo, Rio de Janeiro, Paraná, Paraíba, and Sergipe. All warrants were issued by the 2nd Criminal Court of Vitória.

This is the third operation carried out in July with technical support from SPA to combat illegal online gambling.

Influencers and shell companies at the center of the scheme.

The structure identified by the Federal Police operated in layers. Digital influencers promoted the illegal websites to the public, while payment intermediary companies received, moved, and dispersed the funds collected from bettors. The investigation also detected legal entities with characteristics of shell companies, created to conceal the origin of the funds.

The suspects also showed an increase in assets inconsistent with their formally declared income, which reinforced the evidence of money laundering uncovered during the investigation.

Those under investigation may face charges related to illegal gambling, money laundering, organized crime, drug trafficking, and conspiracy to traffic drugs.

Fake stamps to deceive bettors

One of the central elements of the scheme was the misuse of visual references associated with the Betting Management System (SIGAP) of the Ministry of Finance and the National Council for Advertising Self-Regulation (CONAR). The platforms displayed graphic symbols and seals of these entities to create a false appearance of legitimacy in the eyes of consumers, even though none of them were authorized to operate in the national territory.

The financial contributions made by bettors were directed to legal entities that were also unlicensed to operate in the betting market.

Nearly R$1 billion in assets frozen.

The investigation began with information indicating money laundering originating from drug trafficking. During the course of the investigation, the Federal Police mapped the extent of the clandestine structure and gathered sufficient evidence to support the precautionary measures authorized by the courts.

Among the measures decreed are the blocking and seizure of assets and valuables up to R$ 951.140.294,00, the seizure of a property and luxury vehicles, the prohibition of the investigated parties from continuing to promote irregular platforms, and the suspension of the activities of the companies involved.