Brazilian authorities have worked in joint operation in the state of Paraíba led to the freezing of more than BR102m in assets linked to an unlicensed gambling network.
The operation was carried out by the Paraíba Public Prosecutor’s Office through its Organized Crime Task Force, with support from the Civil Police’s Draco unit, the Ministry of Finance’s Secretariat of Prizes and Betting and the State Lottery of Paraíba (Lotep).
According to investigators, the group operated betting platforms without authorization from the SPA or accreditation from Lotep, despite allegedly creating the appearance of operating legally.
Prosecutors claim the organization relied on a network of interconnected companies and individuals, using shell companies, fictitious business addresses and corporate structures that were incompatible with the declared financial capacity of their owners.
Authorities also allege that several businesses had no genuine operational structure.
The investigation points to suspected offenses including the illegal operation of lottery activities, money laundering, organized crime and electronic fraud against consumers. Investigators also allege that irregular internet domains and simulated corporate structures were used to complicate financial tracing and hinder enforcement efforts.
As part of the court order issued by the 1st Regional Court of Guarantees of the Paraíba Court of Justice, authorities froze financial assets, including cryptocurrencies, and imposed restrictions on movable assets totaling approximately BR102m.
Recently Lotep warned consumers and businesses about the spread of unauthorized instant lottery terminals across the state.
The investigation remains under judicial secrecy.
Brazil introduced new rules requiring financial institutions to freeze accounts linked to illegal betting operators within 24 hours of receiving notification from the Ministry of Finance
