Panel Discussion on “Should Gambling be Legalized?”

‘Gambling should be legalized and properly regulated so that the State exchequer can earn large revenue’: claim experts

Social impact assessment necessary; and a national law against corruption in sports is needed

“Gambling or betting is an innate human instinct and cannot be wished away. Therefore, legalizing gambling or betting with an appropriate regulatory mechanism will help meet people’s risk appetite as well as generate revenues for the State exchequer”.

This was the broad consensus among a high level panel of experts at the panel discussion on ‘Should gambling be legalized?’ organized by Indian Merchants’ Chamber (IMC) on Thursday, 28 April 2016.

Terming gambling as the oldest pastime since the time of the Mahabharat, moderator of the discussion Mr. ManeckDavar, CMD, Spenta Multimedia said attention to social issues is important given the socio-economic status of large sections of our country’s population.

Mr. Y.P. Singh, a leading criminal lawyer, argued that gambling may be legal in western countries, but in India there is need for a social impact assessment especially because of pervasive distress among the poor. “What will happen if poor people gamble away all the money?, he queried.

Lawyer and gaming expert Mr. Jay Sayta pointed out that gambling was a ‘State’ subject under the Indian Constitution and many State governments have legalized lottery, horse racing, running of casinos and so on. “The betting industry creates large number of jobs”, he said adding that it is necessary to distinguish games of skill and games of chance. The position of law is not well settled in country, Mr. Sayta remarked.

“Sooner or later the government will have to permit betting in sports of skill”, according to Mr. Vivek Jain, industrialist and chairman of Race course, who estimates the potential revenue from the gambling industry could be Rs. 60,000 crores going by ballpark numbers in the western world.

Technology has made betting possible even though there is an official prohibition, he observed and added that Lodha Committee report recommended legalized betting in the game of cricket.

Joining the debate, well known sports journalist Mr. AyazMemon said fixing was rampant in sports as evidenced by reports from tennis, football and cricket circles. “Legalizing and close monitoring will reveal betting patterns and thereby identify fixing”, he argued. “We need a national law against corruption in sports”, he asserted.    

Earlier, welcoming the panelists and members present, IMC President Mr. DilipPiramal said that we need to recognize gambling was an innate human instinct; and when prohibited, it would surface in a plethora of ways, particularly through generation of black money which will deprive the government of a lot of revenue as well as create unnecessary socioeconomic tensions.

“By legalizing gambling, we are making society safer in the long run. This is particularly so as the illegal betting market puts gamblers at added risk by exposing them to the criminal elements in society. That is why the legalization of gambling assumes added importance and should be done at the earliest’, he asserted, adding that the government of the day needs to change laws in accordance with the prevailing socioeconomic realities. However, he cautioned, the social ramifications of legalized gambling ought not to be overlooked.

IMC is a Century old chamber of commerce to promote trade, commerce and industry. With a membership of 3,000 business houses and over 200 trade and industry associations, IMC reaches out to nearly 250,000 business establishments across the country The theme for the current year is ‘ job creation through skill development’.