Edson Fachin, Chief Justice of Brazil’s Supreme Court (STF), removed Extraordinary Appeal No. 966,177 from the docket; the case was scheduled to be heard this Thursday to determine whether the criminalisation of gambling, as provided for in the 1941 Criminal Offences Act, is consistent with the 1988 Constitution.
The issue originated in the state of Rio Grande do Sul, where the Public Prosecutor’s Office is challenging a ruling by the Appeals Panel of the State’s Special Criminal Courts, which held that the 1941 Act was not incorporated into the 1988 Federal Constitution and that gambling operation is not a crime.
Although the decision to remove the matter from the trial calendar considered the Supreme Court’s heavy caseload, other reasons led to the postponement.
The Supreme Court has been the target of widespread criticism from the media, society, and some members of the political establishment. Bringing up such a controversial topic could further damage the Supreme Court’s already tarnished reputation, and the decision must have taken that into consideration.
Criticism of both sports betting and online gaming sector, especially from President Lula, must also have weighed on Edson Fachin’s decision to wait for the right moment to bring the issue up for discussion.
Possible favourable ruling on gambling
The prevailing feeling among lawyers closely following the proceedings of the General Repercussion case at the Supreme Court is that the justices have already understood that the criminalisation of gambling in Brazil is not provided for in the Federal Constitution.
By deciding to postpone the ruling, the Supreme Court avoids taking a public stance on the issue, by considering that gambling would be legalised in any case, pending only the approval of the law and general regulations for the operation.
The issue at hand is the validity of Article 50 of the Criminal Offences Act, which punishes anyone who sets up or operates gambling in a public place or a place accessible to the public with imprisonment for a term of three months to one year. If the Supreme Court upholds the ruling of Rio Grande do Sul’s Appeals Panel of the Special Criminal Courts, gambling will no longer be considered a criminal offence.
Therefore, there will be no legislation banning gambling as the activity will no longer be prohibited, but rather unregulated in Brazil. As a result, the government will have to regulate the land-based gambling sector, and it will be up to the National Congress to approve legislation for the activity.
Luiz Fux, the Justice presiding over the appeal, noted that the issue is controversial and involves constitutional matters of economic, political, social, and legal significance, extending beyond the subjective interests of the case.
“The issue submitted to this Federal Court for consideration is eminently constitutional, since the lower court dismissed the criminal nature of gambling on the basis of constitutional principles regarding free enterprise and fundamental freedoms,” stated Fux, acknowledging in 2016 that the matter should be discussed under the General Repercussion doctrine.
Original article: https://igamingbusiness.com/casino/brazil-supreme-court-postpones-vote-gambling-decriminalisation/
