Indian state defends online gaming law in apex court
The Karnataka government has strongly defended its 2021 law regulating online gaming before the Supreme Court of India, arguing that the legislation is essential to protect public health and social welfare. Appearing on behalf of the State, Additional Advocate General Prateek K. Chadha told the apex court that the law targets harmful gambling practices and falls squarely within the legislative powers of the State under the Constitution.
Law to curb growing social concerns
The Karnataka Police (Amendment) Act, 2021, was introduced to address rising cases of online gambling addiction, especially among youth. The State argued that unlike other ongoing gaming-related cases focusing on tax disputes, Karnataka’s law is based on public policy needs.
According to the State, the law does not impose a blanket ban on . It only regulates games where players risk real money on uncertain outcomes. This includes both games of skill and chance when played for monetary stakes.
The amended law expands the scope of terms like “gaming,” “common gaming house,” and “instruments of gaming” to include online platforms. This brings paid online games under the same regulatory framework as traditional offline gambling.
Constitutionally backed powers
Karnataka relied on several entries from the State List in the Seventh Schedule of the Constitution to support its authority to legislate in this area. These include Entry 34 (Betting and gambling), Entry 33 (Sports, entertainment and amusements), Entry 1 (Public order), Entry 2 (Police), Entry 6 (Public health), and Entry 26 (Trade and commerce).
Quoting a nine-judge bench decision in Mineral Area Development Authority vs. SAIL, the State emphasised that legislative powers must be interpreted liberally. Chadha said even if a law overlaps multiple entries, it is valid as long as its main subject falls within the State’s domain.
Online gambling poses greater risks
The State told the Court that online gambling brings new challenges that are more severe than those posed by traditional gaming. It pointed out that players are often unaware of whether they are competing against real individuals, bots or AI systems, which makes the environment more addictive and unpredictable.
Citing the Law Commission’s 276th report and other studies, Karnataka highlighted growing incidents of suicide, loan defaults, and family disruption linked to online gambling. There are also reports of minors and economically weak youth borrowing money to take part in high-stakes online fantasy games.
“Online gaming is driving a public health crisis,” Chadha warned, urging the Court to allow the State to take preventive action.
Business rights cannot override public welfare
The State also challenged the legal standing of the petitioners, most of whom are companies or societies running online gaming platforms. Karnataka argued that such entities cannot claim protection under Article 19(1)(g) of the Constitution, which guarantees the right to practise a profession or carry on a trade.
Even if this right applied, the State said the restrictions introduced by the 2021 law are reasonable and fall under Article 19(6), which allows limits in the interest of public welfare.
The law does not affect casual gaming or free-to-play skill-based games like chess or carrom. Its focus is solely on online games that involve money and pose potential harm to vulnerable players.
Balancing rights with public interest
Karnataka closed its submission by urging the Supreme Court to consider the broader impact of online gambling and align its decision with the Directive Principles of State Policy. The State said it is acting to protect the interests of students and vulnerable groups from financial exploitation and addiction.
“The Constitution is for the common man,” the State submitted, “and the Court must strike a balance between individual rights and the larger good of society.”
