KTO Founder Refutes Closure Reports Following Brazil Gambling Ban
KTO Group founder Andreas Bardun has contradicted a statement from his own Head of Affiliates that the company was closing, describing reports of its demise as 'greatly exaggerated' amidst the turmoil caused by Brazil's recent presidential ban on gambling.
- KTO's Head of Affiliates, Anthony MacKay, announced on LinkedIn that the Malta-based operator was ceasing operations.
- Founder Andreas Bardun publicly refuted the claim, stating reports of the company's death were 'greatly exaggerated'.
- The confusion follows a presidential decree on 25 September banning online gambling in Brazil, KTO's sole market.
The founder of KTO Group has publicly contradicted reports that the company is shutting down, following an announcement to that effect from its Head of Affiliates. The conflicting statements have created uncertainty around the future of the Malta-headquartered operator, which is solely focused on the Brazilian market.
Speculation began after Anthony MacKay, KTO’s Head of Affiliates, posted on LinkedIn that the company was closing its business as a result of recent developments in Brazil. In his message, MacKay also expressed gratitude to KTO founder Andreas Bardun for the opportunity to have been part of the company’s journey.
However, Bardun later took to the same platform to dispute the closure. In a direct response to the mounting speculation, the KTO founder stated:
the reports of KTO Group’s death are greatly exaggerated
SBC News has reportedly made contact with Bardun for additional comment on the situation. The confusion highlights the significant disruption caused by a presidential decree on 25 September which enforced a ban on gambling in Brazil.
Industry Reels from Sudden Ban
The decision by President Lula da Silva to implement the ban came less than a year after Brazil’s licensed gambling sector was formally regulated on 1 January 2025. The move has left operators who invested heavily in the market facing an uncertain future.
A central point of contention for operators is the invalidation of their five-year licences. Companies had paid a non-refundable fee of R$30m (approximately £4.5m) for these licences, which were rendered void overnight by the presidential order. This forms the primary legal argument for firms that are reportedly planning to challenge the decision in court, including major operator Betano.
The industry is mounting a coordinated response to the ban. Trade associations ANJL and IBJR are at the forefront of lobbying efforts against the government's decision. However, they face a firm official line, with both the Attorney General's Office and the Federal Public Prosecutor’s Office having declared their support for President Lula’s decree.
The ultimate fate of the gambling ban now rests with the country's senior political and judicial bodies. The National Congress and the Supreme Court are scheduled to deliberate on the matter once the current Presidential election cycle concludes on 25 October.
