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Report No. 276

B. Legal perspective of Gambling and Betting

4.19 There are chances that people in a bid to earn a quick buck through gambling might resort to unlawful means. A comprehensive analysis of the socio-economic circumstances in light of the Constitutional guidelines is thereby essential before framing a legislation(s) for regulating gambling.

4.20 There are two kinds of wrongful conduct, malum in se, i.e., conduct that is inherently wrongful and malum in prohibitum, i.e., conduct that is wrong because it is prohibited. Those arguing in favour of regulating Betting and Gambling, believe it to be an inherently immoral activity since it disrupts the work ethic, leads to crime and is addictive69. Since betting & gambling may lead to exploitation of the vulnerable class, it is believed to be against the principles of morality.

4.21 The Apex Court has while taking note of the negative impact of gambling in State of Bombay v. RMD Chamarbaugwala70 said:

which encourages a spirit of reckless propensity for making easy gain by luck or chance, which leads to the loss of the hard-earned money of the undiscerning and improvident common man and thereby lowers his standard of living and drives him into a chronic state of indebtedness and eventually disrupts the peace and happiness of his humble home.

4.22 Indiscriminate gambling and betting activities create a platform for individuals to be involved in immoral, corrupt and socially pernicious activities. According to the Rangarajan Committee Report, persons having monthly per capita consumption expenditure below Rs.972 (Rs.32 per person per day) in rural areas and Rs.1,407 (Rs.47 per person per day) in urban areas in 2011-12 are considered to be below the poverty line. According to this threshold, it was estimated by the Rangarajan Committee in 2014 that 30.9% of the rural population and 26.4% of the urban population in India was below the poverty line in 2011-1271.

4.23 This makes the problem grave in light of the fact that one third of the population in India lives below the poverty line.



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