Karnataka High Court dismisses the law banning online gaming

Karnataka High Court dismisses the law banning online gaming

Sports fans in India, the biggest market for fantasy sports, have welcomed the verdict

The Karnataka High Court has struck down the provisions of the Karnataka Police (Amendment) Act, 2021 that prohibited and criminalized online gambling and offering and playing skill games by risking money.

In September last, the Karnataka Assembly had passed legislation to amend the Karnataka Police Act, 1963, rendering all forms of gambling, including internet gambling, as non-bailable offences and "curbing the menace of gaming through the Internet and mobile apps."

Instead of one year in prison, the revised law mandated three-years imprisonment and a fine of up to Rs.100,000 for gambling.

Thereafter, several gaming operators, including the Online Gaming Federation and the Federation of Indian Fantasy Sports, and several online gaming enthusiasts had filed a petition in the high court. The petitioners argued that the games of skill, regardless of whether or not they carried the risk of losing money, were neither wagering nor betting.

The Kerala High Court and the Madras High Court have now struck down the legislation prohibiting online gaming in Kerala and Tamil Nadu.

While the Kerala High Court overturned a state law prohibiting online rummy, earlier, the Madras High Court had struck down a rule enacted by the Tamil Nadu parliament, which prohibited all types of online games that were played for stakes, including skill-based games such as rummy and poker.