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Brazil: Minas Gerais lottery outlet faces license revocation

Caixa moves forward with a penalty process after months without accounts and no response from operators.

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financial-irregularities
Key Points
Lottery outlet faces potential license revocation over financial irregularities
No accounting filings submitted since November 2025
Operators failed to respond within regulatory deadline

A lottery outlet in Minas Gerais is facing the possible loss of its operating license after Brazil’s state-owned bank Caixa advanced a penalty process tied to financial irregularities.

According to a notice published in the Official Gazette, the lottery shop, located in the municipality of São João da Ponte, may have its license compulsorily revoked. 

The decision follows an administrative process initiated earlier this month, after the unit was formally notified of compliance issues.

The case falls under provisions that classify the loss as an irregularity of “economic, technical or operational conditions” required to maintain lottery and authorized service operations. 

Caixa concluded that the outlet no longer meets these requirements.

Authorities identified that the lottery has failed to submit mandatory accounting reports since 24 November 2025. In addition, the account linked to its operational permit remains in negative balance, with no indication that the situation will be regularized.

The outlet’s operators were given the opportunity to present a preliminary defense after an initial notice was issued on 3 March. 

However, no response was submitted within the stipulated timeframe, prompting the escalation of the process to its current stage.

If enforced, the penalty would result in the termination of the unit’s authorization to operate lottery services and Caixa-related financial activities. The measure represents the most severe sanction available under the bank’s regulatory framework.

Despite the progression of the case, the operators still retain the right to appeal. A 10-day window has been granted from the date of publication for the submission of an administrative challenge.

Good to know

Caixa Loterias has recently published a new version of its Product Manual

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