Online casino platforms accuse of "unconstitutional" official letter from the Ministry of Justice that orders the termination of contracts with the ANFP

The online casino platforms described as "unconstitutional" the official letter issued on August 31 by the Ministry of Justice, and which instructs the ANFP to annul the agreements with these companies.

This was stated by Carlos Baeza, advisory lawyer for Betsson, Betano, Coolbet and Latamwin, who warned the parliamentarians during the discussion of the pending regulation that the Official Letter “is obviously illegal and unconstitutional, both for substantive and formal reasons. Basically, because they are wrong to mention the illegality of the operation of online betting platforms in Chile and their advertising. And in a way, because the powers that the law grants to the Ministry of Justice in no case and under no circumstances allow it to instruct to render contracts void. This power rests exclusively with the courts of justice and, for this reason, this office is illegal and unconstitutional.

Although the spokesman admits that this opinion of the portfolio may cause concern, it is "totally wrong, and this error by the Ministry of Justice seems very sensitive to us."

In addition, Baeza reiterated that “the operation of online betting platforms in Chile is absolutely legal and there is no rule that prohibits their operation, much less the signing of advertising contracts. There is no irregularity in those contracts”.

This, explains Baeza, "is clearly reflected in the positions of the congressmen, who have different opinions regarding the legality of the platforms, an issue that was widely discussed in the Economy Commission this week, where it was even stressed that it has not been submitted to said Commission any report that supports the position of illegality. In our case, there are legal reports by Arturo Fermandois and Javier Couso that confirm the legality of our operation”.

"In what there is a transversal consensus is on the need to regulate the industry to generate a transparent, competitive market that protects the user and generates income for the State," he concluded.

Government approach
On Friday, the Ministry of Justice instructed the ANFP to "rescind" its contracts with casinos and online betting houses considered "illegal". At a press point, the Undersecretary of Justice, Jaime Gajardo Falcón, announced the measures adopted, which imply that even the Association could lose its legal personality.

“Failure to comply with these instructions empowers the ministry to request the termination of legal personality. These contracts with third parties that place bets with domicile abroad are not allowed in national legislation, so there is nothing else to do than leave them without effect, ”he said.