Howzat? The clamour to legalise sports betting in India
bet9ja.com
Published
bet9ja.com
5 February 2016

Share

close panel

Share page

Copy link

About sharing

By Sameer Hashmi

Mumbai Business press reporter

It is the last over of the cricket match, with India needing 17 runs to win against Australia.

In his two-bedroom home located in main Mumbai, a middle-aged man is viewing the game, nervously. He's resting on the edge of his grey colour sofa with his mobile phone glued to his right-hand man.

He has actually made more than 10 employ the last thirty minutes - not to go over the match but to keep revising his bet.

Five minutes earlier his money was on Australia, now as the Indian batsman prepares to deal with the last over he's changed his mind.

"I believe India is winning, make the change," he tells his bookmaker on the phone.

And a couple of minutes later on his prediction comes to life, as India wins the match in a nail-biting surface.

"I have actually made $200 today," he says with a childish glee.

For more than 3 years he's been banking on cricket matches. We can't reveal his name as what he's doing is unlawful in India.

Aside from horse racing, sports betting wagering of any kind is not allowed India. Despite that, unlawful sports betting distributes flourish in the nation.

'Black money'

According to the Doha-based International Centre for sports betting Security, India's prohibited sports betting wagering market deserves some $150bn a year. And much of that gambling cash is directed towards cricket.

With no legal avenue, punters put bets utilizing their phones by making calls to bookmakers. Gamblers can wager on anything associated to the cricket match, from who is winning to the highest individual run scorer.

Most of these deals involve so-called "black money", which is cash not stated to the taxman.

The 1867 Public Gambling Act bars any type of gaming in India, but unlike in the US which has a law forbiding internet gaming, there is nothing comparable here.

And offshore wagering business are using this loophole to lure Indians. Even though there are no online sports betting operators based out of India, a lot individuals have signed up accounts with offshore firms.

"Legally you can escape [with this], as the law is uncertain for online gambling," states lawyer HP Ranina.

But in spite of this, it is "offline sports betting", done through call which dominate the marketplace.

Calls for legalisation

The clamour to legalise sports betting in cricket has actually grown after a panel designated by India's Supreme Court proposed the concept, saying it would help secure down on corruption in the nation's favourite sport.

The Justice RM Lodha Commission was set up to recommend changes in the performance of India's cricket regulatory body, the Board of Control for Cricket in India (BCCI), after the 2013 Indian Premier League sports betting scandal emerged.

Two franchises have been banned for 2 years after some players and team authorities were condemned of fixing parts of the match at the wish of bookies.

The panel likewise argues that legalised sports betting will generate tax revenues for the exchequer that could amount to $2bn a year.

Even gamblers feel that legalising sports betting wagering is a move in the right instructions.

"I don't mind paying some money out my earnings, as long as I can bet publicly," states our cricket gambler.

It would likewise open a huge company opportunity for certified bookies and worldwide online wagering business to set up operations in India.

And it would help limit match repairing in cricket and other sports betting, argue lots of, by assisting make deals associated with gambling more transparent.

"If you work alongside sports betting business, you will have a very effective approach of stamping out match repairing," says George Oborne, who runs a mock sports betting website, India Bet.

But many also think, that the taxes levied on the bettor and the bookmaker will have to be affordable to make it appealing enough for them to bet lawfully.

However, there are limitations.

"Definitely there will be illegal wagering due to the fact that (some) individuals would not wish to leave an audit trail by going into the white market," says Mr Oborne.

He adds that individuals who use unaccounted money to place big bets will never ever gamble lawfully.

Approval question

For sports betting gambling to be legalised, parliamentary approval will be required to produce a new law, and politically this will be a difficult concept to sell.

"Despite the fact that many people are involved in some sort of gambling - it's still a questionable issue for lots of," says our unnamed punter.

And considered that India has a federal structural - each state will have to likewise pass a separate law to legalise sports betting gambling in their area.
bet9ja.com
"The process is so long and tricky that it will take years," says Mr Ranina."That's why, we are cynical about this becoming a truth anytime soon."

Yet with the concept having actually been endorsed by an official panel for the very first time, at least an argument has fired up around a topic - which till now was thought about a taboo.
bit.ly