A bet can be put into minutes. Anyone with credit cards can setup an offshore currency account with a gambling site, leaving them free to place bets on sporting events like Wimbledon, cricket, horse racing and Formula One, or join a virtual casino to play slot machines, roulette, blackjack, poker etc. Companies like Flutter and Betmart accept bets on anything from who is going to win the Nobel Prize to whether Madonna gets a divorce or not. Bets can range from a nickel to thousands and according to whether you win or lose the amount is automatically adjusted back. The final balance can then either be mailed for you or left for future bets.

The law associated with online gambling in India needs to be understood within the country’s socio-cultural context. At the outset, gambling, but not absolutely prohibited in India, does not receive express encouragement by policy makers. The Indian organized gambling industry is estimated to be worth around US$8 billion. While stringent laws have checked the proliferation of casinos and high street gaming centres as in lots of other countries, barring hawaii of Goa, the lottery business remains the most post popular form of gambling.

Though gambling isn’t illegal, it is just a highly controlled and regulated activity. Modern India is a quasi-federal Constitutional democracy and the powers to legislate are distributed at the federal and also the state levels. Gambling features in List II of the Constitution of India, this implies that the state governments have the authority to enact laws so as to regulate gambling in the respective states. Thus, there is no single law governing gambling in the complete country. Different states have different laws governing gambling as well as the laws that have an application across the country. While some states have banned lotteries, other states allow state lotteries marketed and distributed in other lottery playing and promoting states through private entities.

Regulation of gambling

The courts have defined gambling as ‘the payment of a cost for to be able to win a prize’. The dominant part of skill or chance shall determine the nature of the game. A casino game may be deemed to be gambling if the element of chance or luck predominates in deciding its outcome. Therefore, Indian courts have held that betting on horse racing and a few card games are not gambling. The right to undertake the business enterprise of gambling and lotteries is not considered as a simple right protected by the Constitution of India. It could however be pointed out that the state government run lotteries make significant contributions to hawaii exchequer of several state governments and the Union government, and therefore there is a resistance to perform prohibition.

The next legislation is pertinent to gambling:

THE GENERAL PUBLIC Gaming Act, 1867

This Act provides punishment for public gambling and for keeping of a ‘common gaming house’. This Act also authorises hawaii governments to enact laws to modify public gambling within their respective jurisdictions. The penal legislations in respective states have been amended in accordance with their policy on gambling. PKV However, this legislation does not have any direct impact on online gambling unless a wide interpretation is given to the definition of common gaming house so as to include virtual forums as well.

The Indian Contract Act, 1872 (ICA)

The ICA is really a codified umbrella legislation that governs all commercial contracts in India. Under the ICA, a wagering contract may be the one which can’t be enforced. The Act lays down; ‘Agreements by way of wager are void, and no suit shall be brought for recovering anything purported to be won on any wager or entrusted to any person to abide by the result of any game or other uncertain event on which any wager is made’. Gambling, lottery and prize games have held to be wagering contracts and thus void and unenforceable. While a wagering contract is not illegal, it can’t be enforced in a court of law. Thus, the courts will not entertain any reason behind action that arises out of a wagering contract.

Lotteries (Regulation) Act, 1998

This Act offers a framework for organizing lotteries in the united kingdom. Under this Act, the state governments have been authorized to market along with prohibit lotteries of their territorial jurisdiction. This Act also offers the manner in which the lotteries are to be conducted and prescribes punishment in case of breach of its provision. Lotteries not authorized by the state have already been made an offence beneath the Indian Penal Code. Several non-lottery playing states, like Gujarat and Uttar Pradesh, have prohibited the sale of other state-government lotteries under this Act.

Indian Penal Code, 1860

Section 294A handles keeping lottery office. It says that whoever keeps any office or place for the purpose of drawing any lottery not being a State lottery or a lottery authorised by hawaii Government, will be punished with imprisonment of either description for a term which might extend to six months, or with fine, or with both.

And whoever publishes any proposal to pay any sum, or to deliver any goods, or even to do or forbear doing anything for the advantage of anybody, on any event or contingency relative or applicable to the drawing of any ticket, lot, number or figure in any such lottery, shall be punished with fine which might extend to 1 thousand rupees.

Internet gambling

The law linked to gambling is also applicable to online gambling. All gambling contracts are believed to be wagering contracts and it is not possible to enforce such contracts under the ICA, detailed above.