Online lottery games can be banned in Maharashtra. It is explained by the fact that the local government did not investigate an online lottery scam in 2008.
It was reported last week that the government covered up a fraud occurred eight years ago.
Anand Kulkarni, an ex-member of the Maharashtra government, informed journalists that Jayant Patil, a former minister, and Kavita Gupta, IAS officer, had reported about illegal activities of some private gambling operators.
In 2007, the underground online lotteries were found in Maharashtra. Such illegal facilities broke the regulations and rules concerning the fixed number of available draws. It was recommended to close online lotteries in Maharashtra. However, the local authorities did not have enough courage to do this.
Four online lottery operators in the India’s State of Maharashtra evaded paying 10 billion Indian rupees (approximately 150 million dollars) as taxes during 2001-2008.
According to The Indian Express, the profit from this scam was really impressive.
As for the situation with gambling activities in other regions of the country, we can say that online lotteries are either completely prohibited or limited in 17 states. It is interesting to note that gambling is not banned only in Kerala. However, revenues from it are used to develop the local social infrastructure. To be sure, only the local lottery is available in Kerala. As for the online lotteries of other states, they are banned.
Governments of three states (Sikkim, Meghalaya, and Nagaland) filed a lawsuit in order to provide lottery services in Kerala. However, the result was negative for these states. According to the decision of the Supreme Court, prohibition of foreign online lotteries in Kerala supports local public interests.