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Industry & Economy - Lottery
States - Kerala
Kerala HC nullifies rules on lottery prizes

K.C. Gopakumar

Suits on sports lottery dismissed

Kochi March 28 The Kerala High Court on Wednesday held that Section 9 (1) of the Kerala Paper Lotteries (Regulation) Rules 2005, which guarantees distribution of prizes offered on government lotteries, was unconstitutional and against laws.

Mr Justice Thottathil B. Radhakrishnan made the observation while dismissing a few writ petitions challenging the Government decision to reduce the number of prizes offered for the Sport Super Bumper Lotteries. The court held that the Section could not be enforced, as it was void and inoperative.

`NO GUARANTEE'

The court said the right of a person who bought a lottery has a right to participate in the lottery i.e., in a gambling, which is not forbidden by law. The Lotteries Act did not give any right to any participants to be paid a particular prize or to compel the government to draw lots for all prizes before the sale of tickets.

The statutes did not contain any such provision. This was because there could not be any such legislation compelling the government to do so on the ground that it was "an agreement by way of wager and a mere gamble".

`AGAINST PUBLIC INTEREST'

Any such provision would amount to enforcing an agreement, which was void in terms of Section 30 of the Contract Act. It would also be contrary to public policy and public interest.

The State Government could conduct a lottery. However, it cannot guarantee payment of prizes as an agreement by way of wager is not a contract.

The court held that the rule had been made "in excess of the rule making power under the Lotteries Act." The Lotteries Act was meant to regulate the lotteries.

More Stories on : Lottery | Courts/Legal Issues | Kerala

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