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Kerala HC Quashes Online Rummy Ban, Calls It Unconstitutional Rummy
Donna Amo
Posted on 27 Sep, 2021
By Donna Amo
On 27 Sep, 2021
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By Donna Amo
On 27 Sep, 2021
Share

Kerala HC Quashes Online Rummy Ban, Calls It Unconstitutional

The Kerala High Court today passed a judgment quashing the online rummy ban notification, issued by the Kerala state government under Section 14A of the Kerala Gaming Act, 1960. According to the judgement, Kerala High Court denoted that the notification was arbitrary and violative of the right to trade, and commerce guaranteed under Article 19(1)(g) of the Constitution and the right to equality guaranteed under Article 14 of the Constitution.

Welcoming the Kerala High Court’s judgment, Dinker Vashisht, Vice President, Corporate Affairs, Games24x7 said, “The judgment by Honorable Kerala High Court is yet another addition to the jurisprudence that has consistently held that games of skill are not akin to gambling and protected under Article 19(1)(g) of the constitution. The decision comes shortly after the Madras High Court judgement, is a shot in the arm for the sunrise sector of gaming in India”

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Roland Landers, CEO, All India Gaming Federation also stated, “The judgement passed by the Kerala High Court is reassuring for this sunrise sector in India, particularly coming in quick succession of the recent historic positive judgement for online skill gaming by the Madras HC. We believe that this development will give a major fillip to the industry by encouraging investments leading to technological advancements as well as generation of revenue and employment.”

Kerala HC Quashes Online Rummy Ban, Calls It Unconstitutional

Iterating the need for promoting skill-based gaming, Justice Vikramajit Sen, Member, Skill Games Council former Judge of the Supreme Court and former Chief Justice of the Karnataka High Court, added, “In the last few years, the interest in the online skill gaming has been growing exponentially in the country. The Supreme Court and multiple High Courts have reiterated numerous times that online games of skill are protected under Article 19(1)(g) of the Constitution. We see the Kerala High Court’s judgement as a positive move for the online gaming sector.”

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The Indian online gaming industry is at the cusp of transformation, looking at a growth trajectory of over $3.9 billion in 2025 according to KPMG. Commenting on the online rummy ban notification in Kerala, Sutanu Behuria said, “We laud the Kerala High Court’s judgment quashing the online rummy ban notification. The Indian gaming industry over the years has been working to bring due attention to this sunrise sector and the judgement further motivates the industry to move forward. The online gaming industry is outstripping most other sections of our economy, growing in excess of 20% annually and contributing significantly to tax revenues.”

L. Badri Narayanan, Executive Partner, Lakshmikumaran & Sridharan Attorneys said, “The judgement is on expected lines considering the law laid down by the apex court and most recently by the Madras High Court. Even the Kerala High Court relied on earlier precedent laid down by the Supreme Court, where it was held that rummy is a game of skill. Kerala HC considered rummy as equivalent to online rummy. The judge went at length to hold that another judgement of a division bench is per incuriam and not binding, which is a notable thing. The Kerala state government has the power to enact a fresh law to prohibit rummy and other games, provided such restrictions are reasonable and not violative of Articles 14 and 19 of the Indian Constitution. Given the recent precedents set by Madras HC and Kerala HC, we expect the Karnataka amendment may also be challenged on grounds of proportionality and reasonable restriction.”

Online gaming today has emerged as an important avenue due to a multitude of favourable factors such as the young and tech-savvy population, affordable availability of feature-packed smartphones, better internet connectivity, increased awareness and development. Therefore, the domestic industry has the potential to scale quickly and become a meaningful contributor.

For more news and daily updates on the online rummy ban, keep reading Gutshot Magazine. Follow us on Facebook, Instagram, Twitter, and Telegram.

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