Karnataka Lawmakers fail to ban highly popular online gambling

BENGALURU: The Karnataka High Court has said that lawmakers acted unconstitutionally when they attempted to ban online gambling in the state via legislation that was passed last year. While the ruling left the door open for future alternative legislation, for now, gaming operators are safe.

Gambling is a key element of Indian culture; it could be argued that it is a key element of human nature. Even a child will make a ‘bet’ with a friend about who can jump the furthest or score the most runs in cricket. So where does one differentiate between what is and isn’t legal and what should and shouldn’t be allowed? Lawmakers in some states have been trying to argue that a line is drawn between luck and skill but this argument itself is open to interpretation.

Because the Indian nation loves to play cards and is passionate about sports, gambling has grown up around rummy and sports betting.  Ironically, lotteries where there is no skill involved at all, are permissible when they are state-run.  There has been growing popularity in casino-based gambling throughout the world in recent years. Indians have wanted a piece of the action too. The public gambling act of 1867 prohibits running or being in charge of a public gambling house. Three states in India have circumvented this, with the existence of casinos in Daman, Sikka, and Goa.

The act came into being before the advent of the internet.  There has been an enormous rise in the popularity of online gambling in India as internet access has gotten better and international casino companies have created games that are popular with Indian players. As long as online casinos are not based in India, they can be accessed. The 2000 Information Technology Act regulates internet activity in India but contains no mention of gambling. While some states attempt blanket bans, it has been almost impossible to enforce them.  Even in states like Telangana, where online gambling was made illegal, a recent report showed that 18.7% of the population was involved in online betting. After the ban in Karnataka, over 13% of the population took no notice and were still visiting online casinos.

There has been a call for India to capitalize on the popularity of gambling. Rather than ban it, it is argued that regulating it is a better way forward. The UK has a highly regulated gambling market that offers customers protection and revenues to state coffers. A Gambling Commission ensures that gambling is safe and puts anti-money laundering procedures in place. The view is that if people are going to do something, it is best that they do so safely. Regulation is seen as the way forward globally, with USA and Canada being just two countries that have changed their attitude to online gaming.

New technology makes online casinos fun and accessible places for people to spend their leisure time. While most were originally set up to be accessed on PC, many of the operators are now moving to mobile with new apps for mobile phones.

The massively improved internet infrastructure in India has opened up the country to a world outside the physical limitations of the land. Because the nation is so populous, it is of great interest to companies who would not have been able to offer their goods and services previously. India is a nation of mobile users. 744 million Indians use their phone to go online. With the ongoing rollout of 5G, people will have even better access to gaming and gambling online.

The popularity of online gaming and gambling is why people are calling for regulation of the industry rather than a rolling narrative of bans and courtroom battles. This would ensure that gamblers are protected in their locale and part of the profits from the casinos could be plowed back into the Indian economy rather than flowing offshore.

Photo by Kevin Malik from Pexels

source https://nrinews24x7.com/karnataka-lawmakers-fail-to-ban-highly-popular-online-gambling/

March 03, 2022