Indian Law Commision recommends full legalisation of gambling in India under regulation
Legalisation Of Online Gambling, Recommends Law Commission Of India
The Law Commission of India has finally taken strong steps to legalise online gambling in India. In its 276th report, presented to the central government, the Law Commission asserts that the present measures taken to control cricket betting are ineffective and insufficient.
The report is titled as “Legal Framework: Gambling and Sports Betting Including in Cricket in India” and states that failure in enforcing a complete ban on gambling has given way to illegal gambling. This, in turn, has significantly increased the generation of black money and its circulation. Since, it is very difficult to put a complete full-stop on these activities, the only viable option available is to regulate them. Further, the report adds that a three-pronged strategy would be required to regulate gambling. These include regulating illegal gambling, reforming the existing market of gambling and finally applying strict regulations.
As per the recommendation, gambling will be classified in two categories, viz. small gambling and proper gambling. Small gambling category involves people, who belong to the lower income group. Hence, they are not allowed to stake high amounts. On the other hand, proper gambling category involves people, who belong to the higher income group. Hence, individuals falling in this category can stake high amounts.
In 2016, the Supreme Court asked the Law Commission to examine the law’s framework, which will aim at legalising and regulating cricket-related betting in India. To regulate illegal activities, recommendations were also made to link the PAN card or Aadhaar of people who are involved in gambling and betting.
The Law Commission explained that gambling transactions must be carried on using credit cards, virtual currencies, debit cards, net-banking and others, so as to make the process cashless. Apart from this, the law commission also recommended to make amendments in the policy of FDI and laws regulating foreign exchange. This will boost investment in the online gaming and casino industry.
A model law can be enacted by the Parliament to allow gambling only in highly-regulated versions. Individuals, who receive government subsidies, are minor, or do not fall in the bracket of GST or Income tax act, are not allowed to participate in gambling.
The report concludes that the law cannot stay fixed or rigid, looking at the changes in the society. Also, it is highlighted that serving the needs of the society is the ultimate motto of the law.