Karnataka Set to Allow Online Horse Racing Betting Amidst Federal Row
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The Karnataka government is gearing up to introduce a bill that would legalize licensed online betting on horse racing events, as part of a broader effort to align the state with emerging trends in the industry. Scheduled for introduction during the winter session starting December 8, the legislation amends the 1952 Karnataka Race Courses Licensing Act. The move follows the lead of neighboring states Tamil Nadu, Telangana, Maharashtra, and West Bengal, which have already permitted online betting in their respective racing clubs. Officials argue that horse racing is distinct from other forms of online gaming, citing judicial observations that describe wagering on racing as an activity driven by skill and knowledge. The Finance department views the change as a potential source of additional state revenue by expanding regulated participation in online racing. However, the move comes as Karnataka prepares to challenge the federal government's Prohibition of Online Gambling Act (PROGA) before the Supreme Court. State officials argue that betting and gambling fall under state jurisdiction and that the Centre has overstepped its constitutional authority by imposing a blanket ban. They contend that digital transmission does not automatically convert a state subject into a Union subject, and that the Centre's move is a 'colourable exercise of power' that risks upsetting the federal balance. The proposed bill is one of 31 measures expected to be taken up during the winter session, which also includes revised versions of several other bills, including those aimed at regulating misinformation, hate speech, and caste-based boycotts.
