Howzat? The clamour to legalise sports betting in India

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 runs to win against Australia.

In his two-bedroom home located in central Mumbai, a middle-aged male is seeing the video game, nervously. He's resting on the edge of his grey colour sofa with his mobile phone glued to his right hand.
bet9ja.com
He has actually made more than 10 calls in the last 30 minutes - not to go over the match but to keep modifying his bet.

Five minutes previously his money was on Australia, today as the Indian batsman prepares to face the last over he's changed his mind.
bet9ja.com
"I believe India is winning, make the change," he informs his bookie on the phone.

And a few minutes later on his forecast 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 three years he's been banking on cricket matches. We can't expose his name as what he's doing is prohibited in India.

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

'Black money'

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

Without any legal opportunity, punters place bets utilizing their phones by making calls to bookies. Gamblers can bet on anything associated to the cricket match, from who is winning to the greatest specific run scorer.
bit.ly
The majority of these deals involve so-called "black money", which is money not stated to the taxman.

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

And overseas sports betting companies are utilizing this loophole to lure Indians. Even though there are no online sports betting operators based out of India, a lot people have signed up accounts with offshore firms.
bet9ja.com
"Legally you can escape [with this], as the law is unclear for online sports betting," states Mumbai- based attorney HP Ranina.

But despite this, it is "offline gambling", done through call which control the market.

Require legalisation

The clamour to legalise wagering in cricket has grown after a panel designated by India's Supreme Court proposed the idea, stating it would help secure down on corruption in the country's favourite sport.
bit.ly
The Justice RM Lodha Commission was set up to suggest modifications in the performance of India's cricket regulative body, the Board of Control for Cricket in India (BCCI), after the 2013 Indian Premier League sports betting scandal emerged.

Two franchises have actually been prohibited for 2 years after some gamers and were found guilty of fixing parts of the match at the request of bookmakers.

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

Even gamblers feel that legalising sports betting is a move in the best direction.

"I do not mind paying some cash out my profits, as long as I can bet openly," says our cricket gambler.

It would likewise open a huge business chance for licensed bookies and worldwide online wagering companies to set up operations in India.

And it would assist limit match fixing in cricket and other sports betting, argue numerous, by assisting make deals included in gambling more transparent.

"If you work alongside sports betting business, you will have a really efficient technique of marking out match fixing," states George Oborne, who runs a mock sports betting site, India Bet.

But lots of likewise believe, that the taxes imposed on the bettor and the bookie will have to be affordable to make it appealing enough for them to gamble lawfully.

However, there are constraints.

"Definitely there will be illegal wagering because (some) individuals would not desire to leave an audit trail by entering the white market," says Mr Oborne.
bet9ja.com
He adds that people who use unaccounted money to position big bets will never ever bet lawfully.

Approval concern

For sports betting to be legalised, parliamentary approval will be needed to develop a brand-new law, and politically this will be a difficult idea to sell.

"Even however many individuals are included in some sort of sports betting - it's still a questionable problem for many," states our unnamed punter.

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

"The process is so long and challenging that it will take years," says Mr Ranina."That's why, we are negative about this ending up being a truth anytime soon."

Yet with the idea having actually been endorsed by an official panel for the very first time, a minimum of a dispute has actually sparked around a subject - which previously was thought about a taboo.
bit.ly