Brazilian Betting CPI Accused of Scandal Amid Extortion Allegations

The Federal Police Involvement
Senator Soraya Thronicke, rapporteur of Brazil’s Parliamentary Inquiry Commission (CPI) on betting, has requested the Federal Police (FP) investigate allegations of extortion within the commission. The CPI was established in November to scrutinise the effects of online gambling on Brazilian families ahead of the legal market launch scheduled for 1 January 2025.

The inquiry faced a serious setback after a report by Brazilian magazine Veja alleged extortion involving individuals connected to the gambling industry. According to the report, a Brasília lobbyist, Silvio de Assis, demanded BRL 40 million (approx. $6.5 million) from a betting site owner. The businessman allegedly refused to pay and was later summoned to testify before the CPI.

While Veja did not accuse Thronicke of direct involvement, the report suggested a “close relationship” between her and de Assis.

Senator Thronicke’s Response
Thronicke denied the claims, calling them an “orchestrated movement” aimed at undermining the CPI’s work. “I sought out the director general of the Federal Police, placing myself entirely at his disposal,” she stated. She urged all parliamentarians mentioned in the allegations to cooperate fully with investigations.

Thronicke reaffirmed her commitment to the inquiry, emphasising the importance of holding those responsible accountable while maintaining parliamentary integrity.

Vice-President Vieira Calls for AGU Investigation
In light of the controversy, CPI vice-president Alessandro Vieira requested that the Attorney General’s Office (AGU) investigate the claims. He categorically denied his involvement and stressed the need for transparency.

“We cannot tolerate this kind of thing,” Vieira said. “Especially when investigating an activity involving billions of reais, evidence of crimes, and the misuse of public resources.”

Broader Implications for Brazil’s Gambling Industry
The extortion allegations further tarnish the image of Brazil’s soon-to-be-regulated gambling sector, which has already faced significant criticism. Senator Cleitinho defended his colleagues, denouncing corruption allegations and emphasising the need for political integrity.

“Never in my life will I do something like that,” Cleitinho declared. “I came here to do the right thing because I can’t stand the political class being labelled as thieves or corrupt anymore.”

The outcome of these investigations will be crucial as Brazil prepares to regulate its gambling industry and address public concerns over transparency and accountability.

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