From bent referees and inflated stadium contracts to the theft of the old World Cup trophy, Brazilian football is no stranger to scandal.
The latest intrigue has a 21st century digital twist. More than a dozen players are suspected of taking bribes for deliberate acts such as receiving yellow cards or giving away penalties, from a criminal gang who placed online wagers on the incidents.
None of the websites the bets were made through are accused of involvement. Prosecutors are treating them as victims, given they paid out on scams. But the controversy has provoked a debate about the growing role of sports gambling at a moment of critical commercial developments in the domestic game.
With takeovers of teams by foreign capital and proposals afoot to create a new competition backed by big money, the manipulation of at least eight top-flight fixtures has even called into question the integrity of the sport.
"Whether investors in clubs, leagues or media companies that buy the transmission rights, it’s bad for everyone,” says Eduardo Bandeira de Mello, a federal lawmaker and former president of Rio de Janeiro side Flamengo.
Sports betting has exploded in popularity since its 2018 legalisation in the soccer-mad South American nation, with online international brands Bet365, Betano and Sportingbet among hundreds targeting punters.
Nineteen of the 20 top division clubs carry sponsorship from such sites. Consultancy H2 Gambling Capital predicts R$83bn ($17bn) of wagers in 2023, with R$5.82bn of gross gaming revenue — forecast to roughly double over the coming years.
Yet there is an absence of regulation. As a result, internet bookmakers run from overseas jurisdictions are subject to no Brazilian rules or taxation. Andre Gelfi, president of the Brazilian Institute of Responsible Gambling and a local executive for Swedish group Betsson, reckons this was the main cause behind the fraud. "Without regulation, you cannot level up to international best practice,” he says. "The more formalised the market, the more effective the control of criminal activities.”