Key Moments:
- The Junta de Beneficencia de Guayaquil has formally accused Ecuabet of operating under an expired license and cited regulatory violations.
- Ecuabet, domiciled in Anjouan, reportedly lost its gaming authority certification in May 2025.
- The Prosperar Salud foundation’s revenue increased from USD 34 million in 2022 to USD 95 million in 2024, raising questions about potential tax exemption abuse.
Inquiry Into Ecuabet’s Licensing and Operations
Ecuabet, a prominent online sportsbetting firm in Ecuador, is now under legal scrutiny. Moreover, the Junta de Beneficencia de Guayaquil has filed an official complaint against the company. The complaint alleges that Ecuabet continued to operate sports prediction services on an expired license. Additionally, it references the firm’s former authorization from Anjouan, an island in the Union of the Comoros. This license is said to have expired in May 2025, meaning the firm currently lacks a valid permit from that jurisdiction.
Complicated Corporate Web Raises Concerns
The complaint highlights an elaborate organizational structure surrounding Ecuabet’s activities, involving 42 stakeholders and entities, including the Prosperar, Prosperar Salud, and Culturarte foundations, linked through over 32 shareholders and common legal counsel. Financial movements, particularly the jump in Prosperar Salud’s revenue from USD 34 million in 2022 to USD 95 million in 2024, have drawn additional scrutiny from regulators, who suspect that corporate assets and operations may have been shifted into nonprofit structures to leverage tax advantages. The document suggests these changes began in 2023 as a method for repositioning taxable activities.
| Foundation | Revenue (2022) | Revenue (2024) |
|---|---|---|
| Prosperar Salud | USD 34 million | USD 95 million |
Regulatory Tensions Not New for Ecuabet
Previous confrontations with regulators have placed Ecuabet in the spotlight, with a notable 2022 case involving accusations of offering illegal online casino games in Ecuador and contentious arrangements with the Prosperar Foundation. The Superintendence of Economic Competition questioned Ecuabet’s claims about profit generation and the function of its donations to the Prosperar Foundation, critiquing the organization for potentially using charitable contributions as a means of reducing its tax obligations.
Next Steps in Legal Proceedings
With the formal complaint now before the Fiscalía, authorities are tasked with investigating possible malpractices, including unlawful use of expired licenses, irregular financial transfers, and exploitation of nonprofit status for tax benefits. The outcome of this case is likely to have significant ramifications for regulatory policy and transparency within Ecuador’s evolving online gaming sector.
- Author
Daniel Williams
