Brazil’s Ministry of Finance has acted to enforce its opposition to illegal betting by warning 37 fintech companies that they are suspected of facilitating payments for illegal gambling operators.
This step is part of a wider initiative involving the cooperation of the Revenue Office and the Prizes and Betting Office to disrupt the financial operations of illegal gambling and improve betting in Brazil.
According to the information provided by the government, the fintech companies have executed transactions for 160 illegal gambling websites. Officials have also stated that at least 54,000 illegal gambling websites were shut down while enforcing this initiative.
The payment processors received notice to deactivate their payment practices that violate federal laws by the end of August.
If the payment processors don’t adhere to the deadline, they will be liable for the illegal acts. The law enforcement can impose penalties based on the aggregate amount of the processed payments, freeze bank accounts, and initiate disciplinary actions for non-compliance.
