Two companies dedicated to the field of sports betting are ceasing to operate for failing to comply with regulations.
The recent case affects the firm YEM SA, which recently lost the precautionary measure that allowed them to operate in the country through its brand Seguro.bet.
Hugo Ojeda, Aposta.la’s lawyer in Ciudad del Este, reported that the firm YEM SA suffered the lifting of its precautionary measure and that with this, it will no longer be able to operate anywhere.
“This company was dedicated to sports betting. Now there is only one more company that continues to operate with precautionary measures, but it has already been lifted in the first instance. So it is only being processed in the Appeals Chamber to define it, “he explained.
The firm that is still in force is Crown City, which is also present in various parts of the country’s capital.
DETAILS
The aforementioned measure served these firms to be able to expand outside the existing regulations. It should be remembered that both firms can only open up to four stores nationwide, and could only offer physical bets, not online. In the case of Aposta Seguro.bet, it opened between 30 to 40 stores and had been operating for two to three years in this situation.
With respect to Crown City, it had around 10 locations today. “It is a struggle that we have had for a long time and finally the uprising was given to us. They are not paying the respective fee to the State, which is the real injured party, ”said the lawyer.
These companies only deliver 5% to 6% of their profits to the State. While Aposta.la must deliver up to 21% of his earnings.
CONTEXT
Since 2018, the only company authorized to operate sports betting in the national territory is Daruma Sam SA (Aposta.la), awarded by public tender No. 4/2017. Any other company that operates without the authorization of said regulatory entity is considered illegal, in any way.
The operation of this type of clandestine business represents a detriment to the Paraguayan State, since the same legislation establishes that the item pays a fee of 21%. This amount is earmarked for social welfare and support for outstanding athletes with limited resources through the National Sports Secretariat (SND).
MORE FROM THE COMPANY
Bet It has more than 200 stores. It contributes to the Treasury around G. 1.5 billion per month (US $ 217 thousand).
This money is distributed as follows; 50% goes to the National Sports Secretariat (SND), the other 50% is distributed to the Directorate of Charity and Social Assistance (Diben), governments, municipalities and the public treasury.
