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Rio investigates a money laundering scheme that paid a Loterj license

Rio de Janeiro's Public Prosecutor's Office has charged eight people accused of laundering millions from an illegal numbers game through an online betting operator's licensing payment.

1 min read
Rio de Janeiro
Key Points
MPRJ charged eight people for laundering at least BR5.2m ($1m) from Brazil's illegal "jogo do bicho"
Investigators traced the funds to a Loterj licensing payment

Rio de Janeiro's Public Prosecutor's Office (MPRJ) has charged eight people over a scheme allegedly laundering proceeds from "jogo do bicho" through online betting operators. 

Jogo do bicho is a popular, illegal daily lottery in Brazil based on 25 specific animals mapped to sets of numbers.

The investigation, conducted by the prosecutor's Cybercrime Unit within its organized crime task force (Gaeco), found that eight people concealed at least BR5.2m in illicit funds.

Rio's Security and Intelligence Coordination unit executed search and seizure warrants at addresses in Barra da Tijuca, Freguesia, Botafogo and downtown Rio, as well as in the states of Paraná and Goiás, with support from prosecutors in those states. 

According to the charges, proceeds from the illegal gambling operation were funneled into the formal economy through betting platform Rio Jogos, operated by Lema Administração e Participações. The group allegedly used several companies, along with individuals acting as front men, to facilitate the scheme. 

Financial tracing found that one of the companies received two BR2.5m contributions, one from Apoio Consultoria Financeira, a company owned by two of the defendants.

That same day, Lema transferred BR5.2m to Rio de Janeiro's state lottery, Loterj, as payment for the license required to operate fixed-odds betting. Loterj is also currently pursuing a different legal action to recover millions.

Recently, Rio de Janeiro began including questions about sports betting and gambling habits in routine medical consultations across its municipal health network, aiming to identify people at risk of developing gambling dependency. 

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Rio de Janeiro has banned betting advertising from public spaces, including municipal events, government campaigns and any advertising on public property

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Rio de Janeiro
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Rio investigates a money laundering scheme that paid a Loterj license

Rio de Janeiro's Public Prosecutor's Office has charged eight people accused of laundering millions from an illegal numbers game through an online betting operator's licensing payment.

· Legal & Regulatory + 3