TLDR Brazil’s Federal Revenue Service launched Operation Conto da Sorte, targeting an illegal betting scheme worth BRL50 billion ($9.7 billion) 37 companies were investigated across multiple states, with 14 search and seizure warrants executed Up to BRL145 million in assets were frozen by court order The scheme used shell companies and “front men” to hide financial control and launder money The fraud originated from irregular betting licenses issued by a small municipality in Rio Grande do Norte
Brazil’s government has launched one of its biggest crackdowns on illegal betting, uncovering a scheme that moved an estimated BRL50 billion ($9.7 billion) across 37 companies.
The operation, called Operation Conto da Sorte, was carried out by the Federal Revenue Service in partnership with state Public Prosecutors’ offices on June 19, 2026.
Finance Minister Dario Durigan confirmed the operation and stated the government has a zero-tolerance policy toward illegal betting.
Fourteen search and seizure warrants were executed across the states of Pernambuco, Ceará and São Paulo. Investigators focused on collecting documents, digital media and verifying the real structure of the companies involved.
A court ordered the freezing of up to BRL145 million in assets. That money may be used to compensate for damages caused by the illegal activity.
How the Scheme Worked
Investigators found that the group set up dozens of companies involved in gambling, betting and payment processing. Many were transferred to third parties who did not have the financial means to run them.
Some of those individuals were even recipients of government emergency aid. Despite that, the actual financial control stayed with the scheme’s leaders.
Certain companies had no physical presence at all. They existed only to move money through the banking system.
Investigators identified money laundering, tax evasion and the purchase of real estate using illegal funds.