Chilean Senators Propose Online Gambling Restrictions and Tougher Penalties

Two senior Chilean senators have submitted amendments that would replace plans for an open online gambling licensing market with more restrictive frameworks.

Senate president Paulina Núñez and Economy Committee chair Gastón Saavedra have proposed separate substitute texts to the online betting bill. Both challenge the proposed authorisation model for private platforms, although they differ on which businesses could operate and how prohibitions would be enforced.

The amendments remain proposals under consideration. The bill is undergoing detailed examination in the Senate Economy Committee during its second constitutional stage. 

Saavedra Proposes Limited Access and Administrative Blocking

Saavedra’s proposal would prohibit online platforms except those operated by Polla Chilena de Beneficencia, Lotería de Concepción, authorised racecourses and licensed land-based casinos.

It would also impose blocking obligations on internet providers, app platforms and payment processors. BioBioChile reported that blocking would proceed through administrative action, while customers placing bets would be explicitly exempt from sanctions.

Platforms already registered with Chile’s tax authority, the Servicio de Impuestos Internos, could receive a transition period of up to 24 months. Saavedra criticised the government’s earlier proposals as insufficient to protect players from gambling harm. 

Núñez Seeks Prison Terms of Up to 15 Years

Núñez’s amendment would target those administering, financing or promoting illegal gambling platforms. It proposes prison sentences reaching 15 years in aggravated cases, fines of up to 10,000 monthly tax units, or UTM, and criminal liability for companies involved.

Aggravating circumstances would include involvement by criminal organisations and the use of false identities or fictitious companies to conceal the people controlling an operation.

Her proposal also establishes a judicial procedure for permanently blocking websites, applications and other channels used for illegal betting. Orders could extend to replacement platforms created to circumvent restrictions and cover associated payment and advertising services. 

Government Gets More Time for Negotiations

At the government’s request, the amendment deadline was extended from October 16 to noon on October 26. The Senate’s legislative portal confirms that deadline for bill 14838-03.

The government said additional time was needed for technical discussions and consultations aimed at reaching a consensus. BioBioChile also reported that other senators had submitted proposals addressing age verification, beneficial ownership transparency and player protection.

The extension leaves the proposed prohibitions and tougher penalties within an ongoing legislative negotiation, with the final market framework still undecided.