Brazil Betting Ban: Court Orders 7 Sites to Freeze Refund Money, With R$159M Still Held
Updated on October 24, 2026.
A federal court has stepped into the fight over refunds owed to bettors under the Brazil betting ban. On Friday, Oct. 23, a judge in São Paulo gave seven betting platforms two days to freeze the money they owe bettors and report their account balances, with a fine of R$50,000 per company for each day they don’t comply. About R$159 million in bettors’ money is still held by betting companies, according to the latest federal government estimates.
Quick summary
- The order: Judge Denise Aparecida Avelar of the 6th Federal Court in São Paulo ruled on Oct. 23 in a lawsuit filed by Brazil’s Attorney General’s Office (AGU).
- What the sites must do: keep refund money segregated, not use it for other purposes and report their balances with bank records within two days.
- The penalty: R$50,000 per day for each company that doesn’t comply.
- Who is named: only Blaze, whose Brazilian brand rights belong to Foggo Entertainment. The other six platforms were not identified.
- The money: about R$159 million is still held, down from about R$1.2 billion when voluntary withdrawals closed on Oct. 5.
What did the court order in the Brazil betting ban case?
The court ordered seven betting platforms to lock down the money owed to bettors and prove how much they hold. According to TMC and BNLData, the companies must keep refund funds segregated in their transaction accounts, must not move or use that money for anything not authorized by law, and must present their balances with proper bank documentation. They have two days to comply.
The AGU, which represents the federal government in court, filed the case after the platforms missed a government deadline that expired Oct. 12, according to both outlets. In her decision, the judge said the companies’ continued silence created a “concrete risk” that they could wind down without any oversight of where the money goes, as quoted by TMC.
The order does not pay anyone directly. It protects the money until it can be returned, and it gives the government the numbers it needs to pursue any money that hasn’t been returned.
Blaze, the only platform named, is also mentioned in a separate Federal Police investigation into a lawyer, TMC reported. Foggo Entertainment told TMC the lawyer was only a Blaze customer and had no ownership or management role.
How much money do bettors still have to get back?
About R$159 million, according to federal government estimates reported by TMC and BNLData. BNLData, citing the business daily Valor, says the figure does not include money held by companies that refused to share information, so the real total could be higher.
Most of the money has already been returned. On Oct. 10, the government said more than R$1 billion had already gone back to bettors, and that the amount still waiting fell from about R$1.2 billion to R$159 million, as reported by Agência Brasil. At the time, it also said eight companies had not sent banks the data needed to make the payments, and that the AGU would take them to court. The Oct. 23 order covers seven platforms; the reports don’t explain why the number differs.
Date (2026) | What happened |
|---|---|
Sept. 25 | Provisional Measure 1,394 bans fixed-odds betting in Brazil |
Oct. 5 | Voluntary withdrawals close; about R$1.2 billion is still waiting to be returned |
Oct. 10 | Government reports more than R$1 billion returned and R$159 million left |
Oct. 12 | Government deadline for the platforms expires |
Oct. 14 | Deadline for banks to return balances; Caixa takes over cases banks can't pay |
Oct. 23 | Federal court orders seven platforms to freeze refund money and report balances |
How did Brazil get here, and what comes next?
Brazil went from a licensed market to a ban in less than two years. Its regulated betting market opened on Jan. 1, 2025, under Law 14,790, with operators paying R$30 million for a federal license. Provisional Measure 1,394, published on Sept. 25, 2026, then banned fixed-odds betting nationwide. Sites had to let customers withdraw until Oct. 5, and banks were given until Oct. 14 to return what was left. Money that banks can’t return goes to Caixa Econômica Federal, the state-owned bank, which pays bettors directly.
Three things are still open:
- Congress: a provisional measure takes effect right away, but Brazil’s Chamber of Deputies and Senate must approve it for the ban to become permanent law.
- The courts: a federal judge briefly let Stake reopen in October, but an appeals court reversed that decision after an AGU appeal, according to Casino.org. A challenge is also before Brazil’s Supreme Federal Court.
- This case: once the seven platforms report their balances, or miss the deadline, the court can decide on the next steps. Daily fines would add up for any company that ignores the order.
What it means for players
If you had a balance on a Brazilian betting site that closed, the government’s rules say your balance must be returned, and the government is now going to court to protect that money. Check with the bank you used to deposit, and follow official government channels for payments through Caixa. This article is for information only and is not legal advice.
For players everywhere, the case is a reminder of how much depends on where your money sits. Brazil’s rules required operators to keep customer funds separate, and that is exactly what the court is now enforcing. Before you deposit on any poker site, check who licenses it, how it handles withdrawals and how fast it pays. Our guide on how to choose an online poker room covers the criteria, and our poker account security tips explain how to protect your balance. Cashing out regularly, instead of leaving a large balance on a site, also limits your risk.
The ban is already reshaping the industry: Flutter took Betfair out of Brazil days after putting UK and Ireland jobs at risk, as we covered in Flutter redundancies and Betfair’s exit from Brazil. If you play poker from the US, Canada, the UK, Australia or Ireland, compare the rooms that accept players in your country in our list of the best online poker sites.
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Frequently asked questions
What did the Brazilian court order the betting sites to do?
On Oct. 23, a federal judge in São Paulo ordered seven betting platforms to keep the money owed to bettors segregated, not to use it for anything else and to report their account balances with bank records within two days. Each company faces a fine of R$50,000 per day if it doesn't comply.
Which betting sites are affected by the court order?
The reports name only Blaze, whose Brazilian brand rights are held by Foggo Entertainment. The other six platforms were not identified in the coverage.
How much money do Brazilian bettors still have to get back?
About R$159 million, according to federal government estimates reported by TMC and BNLData. The amount waiting to be returned was about R$1.2 billion when voluntary withdrawals closed on Oct. 5.
Is the Brazil betting ban permanent?
Not yet. The ban came in through Provisional Measure 1,394, which takes effect right away but must be approved by Brazil's Congress to become permanent law. Court challenges are also pending.
Sources
- TMC: Court freezes the accounts of 7 betting sites and puts Blaze at the center of a Federal Police probe
- BNLData: Federal Court orders 7 betting platforms to return R$159 million after betting was banned
- Diário do Grande ABC (Agência Brasil): More than R$1 billion returned to bettors
- Casino.org: Stake goes dark in Brazil again after court vacates temporary injunction
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