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

5 February 2016

Share

close panel

Share page

Copy link

About sharing

By Sameer Hashmi

Mumbai Business reporter

It is the last over of the cricket match, with India requiring 17 go to win versus Australia.

In his two-bedroom house located in main Mumbai, a middle-aged male is seeing the video game, nervously. He’s sitting on the edge of his grey colour sofa with his glued to his ideal hand.

He has actually made more than 10 calls in the last 30 minutes - not to talk about the match but to keep revising his bet.

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

"I think India is winning, make the change,” he informs his bookmaker on the phone.

And a couple of minutes later his prediction comes to life, as India wins the match in a nail-biting finish.
bet9ja.com
"I have made $200 today,” he says with a childish glee.

For more than three years he’s been wagering on cricket matches. We can’t expose his name as what he’s doing is unlawful in India.

Aside from horse racing, sports betting of any kind is not allowed India. Despite that, illegal wagering distributes grow in the country.

'Black cash'
bet9ja.com
According to the Doha-based International Centre for sports betting Security, India’s unlawful sports betting market is worth some $150bn a year. And much of that gambling cash is directed towards cricket.

Without any legal opportunity, punters put bets using their phones by making calls to bookmakers. Gamblers can bank on anything associated to the cricket match, from who is winning to the highest specific run scorer.

Most of these transactions include so-called “black money”, which is cash not stated to the taxman.

The 1867 Public Gambling Act bars any kind of sports betting in India, however unlike in the US which has a law prohibiting web sports betting, there is absolutely nothing similar here.

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

"Legally you can get away [with this], as the law is unclear for online gaming,” says Mumbai- based legal representative HP Ranina.

But in spite of this, it is “offline sports betting", done through phone calls which control the marketplace.

Calls for legalisation

The clamour to legalise wagering in cricket has grown after a panel appointed by India’s Supreme Court proposed the idea, saying it would assist clamp down on corruption in the country’s preferred sport.

The Justice RM Lodha Commission was established to recommend modifications in the functioning of India’s cricket regulative body, the Board of Control for Cricket in India (BCCI), after the 2013 Indian Premier League sports betting scandal came to light.

Two franchises have been banned for two years after some players and team authorities were found guilty of repairing parts of the match at the request of bookies.

The panel also 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 is a move in the best instructions.

"I don’t mind paying some cash out my profits, as long as I can gamble openly,” says our cricket gambler.
bet9ja.com
It would also open a huge company chance 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 along with sports betting business, you will have an extremely efficient method of stamping out match fixing,” states George Oborne, who runs a mock wagering website, India Bet.

But many likewise believe, that the taxes imposed on the bettor and the bookie will have to be reasonable to make it attractive enough for them to gamble legally.

However, there are constraints.

"Definitely there will be illegal sports betting since (some) people would not wish to leave an audit path by entering the white market,” says Mr Oborne.

He includes that individuals who utilize unaccounted cash to put huge bets will never gamble legally.

Approval concern

For sports betting to be legalised, parliamentary approval will be required to create a brand-new law, and politically this will be a difficult concept to offer.

"Although lots of people are associated with some sort of sports betting - it’s still a controversial concern for lots of,” says our unnamed punter.

And offered that India has a federal structural - each state will have to also pass a separate law to legalise sports betting gambling in their territory.

"The procedure is so long and challenging that it will take years,” says Mr Ranina.“That’s why, we are cynical about this ending up being a reality anytime soon.“

Yet with the idea having actually been backed by an official panel for the very first time, at least a dispute has actually sparked around a subject - which until now was considered a taboo.