Karnataka HC strikes down law banning online gambling in state

The Karnataka High Court on Monday knocked down portions of the Karnataka Police (Amendment) Act, 2021, that restrict and criminalise betting on and playing skill games, including those played online, as unconstitutional.

Last year, the Karnataka legislature approved a law making all types of gambling, including online gambling, a cognizable and non-bailable offence.
While stating that the court was not overturning the entire Act, the bench also stated that it would not interfere if the state passed a new law in accordance with the Constitution.

"The writ petitions have been granted. According to Bar and Bench, a Division Bench of Chief Justice Ritu Raj Awasthi and Justice Krishna S Dixit declared the clauses "ultra vires of the Constitution" and ordered them to be stricken down.

While stating that the court was not overturning the entire Act, the bench also stated that it would not interfere if the state passed a new law in accordance with the Constitution.

The Karnataka Assembly enacted a bill to alter the Karnataka Police Act, 1963, making all kinds of gambling, including online gambling, a cognizable and non-bailable offence on September 21 of last year. Since the new law took effect, some online gaming companies have geo-locked their applications and websites in Karnataka to avoid facing legal action if clients use them.

Under the modified statute, the designers of the online fantasy sports platform Dream 11 were also charged with operating a gaming house, as defined by the new law.