Operator News

Chile – Monticello files legal complaint against Betsson

By Phil - 14 March 2022

The Monticello casino has filed a complaint in the Prosecutor’s Office accusing Betsson of breaking the law. It could be the first in a series of moves as the land-based sector moves against government plans to give online gambling the go ahead.

According to documents obtained by La Tercera the casino filed a complaint against “all those who are responsible in the course of the investigation, either as the perpetrator, accomplice or accessory, for the crimes provided for in articles 275, 276 and 277 of the Penal Code.” Combined these articles define what constitutes illegal gambling in Chile. “The operation and exploitation of the website www.betsson.com/cl, with the domain also www.betsson.cl, constitutes the transgression and commission of the aforementioned crimes,” the motion continued.

“The complaint that we are presenting and also the bill promoted by the Executive, makes it clear that this type of platform is outside Chilean law. The problem is that this illegality – which threatens public trust, consumers, the prevention of money laundering, and the payment of taxes – has consequences in the commercial relations and sponsorships that these platforms have, for example, with sports institutions,” said Enjoy’s corporate attorney Carlos Silva.

According to the company on July 30, 2020, Monticello (owned by Dreams and the largest casino in terms of revenue) learned of the existence of the Betsson Chile website, which offered sports betting, casino, live casino and virtual sports to the general public. This website constituted: “A true online casino platform, without the corresponding authorizations from the competent regulatory entity in this matter, such as the Superintendency of Gaming Casinos (SJC), and therefore the provisions of the law have been violated.”

The operators of the Monticello casino pointed out in the document that the same web page expressly indicated that it did not have authorization in Chile to operate as a casino. Instead they are licensed and regulated by the Malta Gaming Authority (MGA).

“This is an illegal operation of gaming casinos that is developing its activity within the national territory, even when it is a web platform.” The company said that this had been drawn to the attention of the SJC.  In mid-June, the SJC indicated that they were already carrying out an investigation and that they had forwarded the information to the Public Ministry.

The company also criticised The Asociación Nacional de Fútbol Profesional (ANFP) which acts as the organizational body for professional competitions in the top two leagues.  In March 2021, Betsson became the sponsor of the 2022 Primera B de Chile, tournament for second division clubs. In January Betsson also signed a one-year sponsorship agreement with Colo Colo one of the top clubs in Chilean football.

“This online casino of foreign origin has managed to establish itself validly in Chile, signing contracts and sponsorships with Chilean private entities. The website does not show who are the representatives in Chile, the legal structure through which it operates in our country, nor the address of the company. However, in order for it to have been able to validly hold the aforementioned contracts, it must have some type of legal existence, which must be material for the investigation by the Prosecutor’s Office.”

The operator requested that the Prosecutor’s Office begin a wide ranging investigation into the matter.

“This complaint is a first step. We believe that other casinos can be added to it, and then, in the framework of the investigation carried out by the prosecutor’s office, this will undoubtedly lead to lawsuits”, Carlos Silva said.