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September 21, 2021

The monopolistic scheme of the bidding process is facing criticism

Paraguay: the award of sports betting licences suffers a setback

Paraguay: the award of sports betting licences suffers a setback
Javier Balbuena believes that Conajzar will have an answer in fifteen days.
Paraguay | 02/20/2018

After confirming the existence of irregularities reported by three companies, the General Comptrollership of the Republic (CGR in Spanish) urged the National Committee on Gambling (Conajzar) to declare the annulment of the bidding process for sports betting licenses.


he CGR also requested that the license granted to offeror Daruma Sam (Apostala) be revoked. It was the only company that reached the final stage of the call for bids. However, President of Paraguay Horacio Cartes, issued a day before - Thursday 15 - Decree No. 8535, under which the award is authorized and thus the execution of the agreement is allowed.

Ilse González, director of Public Procurement of CGR, repeated that the body's recommendations are binding and mandatory, so it is expected that Conajzar abide by the ruling.

The statement sent -on Friday 16- by Comptroller José Enrique García to the president of Conajzar Javier Balbuena, states that the bidding process promotes a monopolistic scheme of the activity, which is inconsistent with the country's Constitution.

It adds that the "curious provision" incorporated into the bidding terms and conditions anticipates a future and uncertain situation, as well as contrary to the nature of a public contract derived from a bidding process, since it anticipates the possibility of incorporating into the "exclusive" subject-matter of the agreement, an additional license derived from any future law on the matter.

On the other hand, the Comptroller criticizes Conajzar for having ignored the recommendation to immediately suspend the bidding process in progress until a relevant statement was issued, in line with the powers conferred under Articles 216, of Law No. 276/94.

When asked by Yogonet, Javier Balbuena stated that he will submit the ruling to the members of the Commission. "We will analyze and decide on what best suits the interests of the country," he said. He believes that they will have an answer in 15 days. / /
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