TLDR
- Brazil’s Ministry of Justice and Public Security created a new procedure to recover funds tied to illegal fixed-odds betting.
- The rule is set out in Ordinance No. 1,287/2026, signed September 2 by Minister Wellington César Lima e Silva.
- Officials estimate the frozen funds could total more than R$1 billion.
- The money must go through an administrative process and a court ruling before it can be transferred.
- Recovered funds would go to the National Public Security Fund to support public security programs.
Brazil’s Ministry of Justice and Public Security has set up a new administrative process to recover money linked to illegal fixed-odds betting operators. The rule was published as Ordinance No. 1,287/2026 on September 2. It was signed by Minister Wellington César Lima e Silva.
The ministry says the frozen funds could total more than R$1 billion. That money is not automatically owned by the government. It must go through an administrative process, followed by a court decision on forfeiture.
How the Recovery Process Works
The National Public Security Secretariat, known as Senasp, will run the process. It falls under the Directorate of Management of the National Public Security Fund.
That directorate will receive documents from the Secretariat of Prizes and Betting. It will review the evidence, open cases, and make the first administrative decisions.
Each case then goes to a Process Instruction Commission. The commission must include at least three public servants who prepare a final report.
The party involved will be notified of the decision. They get 15 days to submit a defense, along with documents, evidence, and witnesses.
An appeal can be filed within 10 days. The Minister of Justice and Public Security will handle that appeal.
If the administrative ruling favors forfeiture, the case moves to the Attorney General’s Office. That office decides the legal steps needed to secure a final forfeiture in court.
Where the Money Could Go
Once a court confirms forfeiture, the funds are added to the National Public Security Fund. Senasp will recommend how the money gets used, based on budget rules and its strategic plans.
Chico Lucas, the National Public Security Secretary, said the goal is to turn illegal funds into support for public safety. He said the money could strengthen the fund and expand investment in states and the Federal District.
The new rule also requires ongoing monitoring. This applies to frozen funds, money under judicial review, and funds already transferred to the public system.
Officials involved in the process must also report any signs of other crimes. Those cases go to prosecutors and police. Any tax issues get sent to the Federal Revenue Service and the National Treasury’s legal office.
Camila Pintarelli, director of Management of the National Public Security Fund, said the ordinance gives a legal path to move funds out of illegal betting operations. She said it aims to turn harm from illegal betting into support for crime prevention and public protection.
