Chile’s National Association of Professional Football (ANFP) has abandoned its principal partnership with Betsson AB. which will no longer serve as title sponsor of the Campeonato Nacional.
Yesterday, ANFP informed national media of the conclusion of Betsson’s contract as principal sponsor of Chilean football, effective from 15 October.
Agreed in 2022 for a reported $8m, the deal has seen Betsson serve as title sponsor of the Campeonato Nacional, Chilean football’s top division and as a key sponsor of ‘La Roja’, Chile’s national XI.
The decision follows a ruling by the Supreme Court of Chile, which sided with the appeal of football pools operator Polla Chilena, which demanded Chilean authorities to block all access to unlicensed websites until the government adopts an official law governing online gambling activities.
The fallout of the judgment saw the Supreme Court order national sporting bodies to end all existing partnerships/sponsorships as Chile holds no legal status on online gambling.
A total of 23 operators were deemed illegal to work in the country by the Supreme Court, including bwin, Betano, Betway, Betcris, Betsson, BetWarrior, BetSala, Betfair, Betplay, Bodog, bet365, Coolbet, JuegaenLinea, 1xbet, Rivalo, Rojabet, Micasino, Latamwin, Estelarbet, KTO, Sportingbet, Marathonbet and Rushbet.
The judgment saw ANFP President, Pablo Milad, state that Chile’s FA would launch a countersuit to protect existing sponsorships from being terminated as a vital source of income.
Defending existing contracts, Milad noted that Chilean courts were aware of legal circumstances of betting sponsorships due to the ANFP’s long-running dispute with the Ministry of Justice – in which the FA had demanded the Ministry settle exact laws on sponsorship rights.
The Supreme Court’s decision was criticised by Chile XI player Arturo Vidal, who stated that “Chilean authorities seem intent on undermining our football”. The high profile player questioned why Chilean football could not copy other South American nations which use betting income to finance domestic football leagues.
At the start of 2023, Chile’s government called on governmental departments to submit policy proposals and legislative resolutions to settle on the text of Bill 035/2022 – a new Federal Gambling Law to regulate online gambling activities.
Progress has seen departments submit resolutions on how Chilean law should interpret online gambling activities, alongside the Economic Commission’s recommendation to impose a 20% GGR tax rate on all licensed businesses.
The government maintains that by 2023 it will sanction a new gambling regime, which will see Chile transition from its current gambling monopoly structure, limited to three businesses: Loteria Concepción, Polla Chilena (football pools), and Teletrak Chile (pari-mutuel horse racing).
Yet, progress has stalled as the government fails to find a resolution on income guarantees to pro-football clubs, updating advertising laws and further government controls needed to govern online gambling businesses.