We often read in the newspapers on how much money was at stake through bets, in a recently concluded cricket tournament. Albeit, the bets placed were illegal.
Let’s just say historically, betting has been one of our favourite types of recreation. And bets can be placed on anything under the sun, provided there are parties that mutually agree to the terms of the bet. People even bet on the outcome of reality shows, even on elections, like the recently held US Presidential elections. Bets are also placed on non-human recreational events like ‘animal fights’, animal racing’, etc.
At the moment, our focus is on betting on cricket. In spite of being declared illegal, betting in India is a huge industry. According to a news report in Hindustan Times, sources revealed that ₹25,000 crores (approx. US$ 3.7 billion) were at stake in T20 World Cup, earlier this year, in 2016. Another report published by India TV, there were reports of betting activity to the tune of ₹30,000 crores (approx US$ 4.5 billion) on just a single match, India vs Pakistan, in the 2015 ICC World Cup.
As far as the legality of betting is concerned, in a broader sense, gambling is illegal in India. Horse racing & lotteries are the only two activities in India, in which betting is regulated, albeit highly restricted. In spite of heavy restrictions, it has been nearly impossible for law enforcement agencies to stop bookies from taking illegal bets.
Critics raise concerns about a parallel economy thriving on the money generated from illegal betting, which is used by organised crime cartels for anti-social activities. Often these funds are used to sponsor terrorist attacks in the country.
However, if regulated, betting can become a huge source of revenue for the government. The states of Goa & Sikkim and the union territory of Daman & Diu allow operation of casinos. In the year 2013, Goa contributed ₹135 crores (approx US$ 20 million) to the state coffers.
The value of the gambling industry is India was estimated to be approximate US$ 60 billion in 2010, half of which was illegally bet.
Illegal betting, being a cash-only activity, has been hit hard with the recent demonetization drive by the prime minister. With the PM’s vision of moving towards a cashless economy, the time to regulate betting activities in India may be opportune. With digital payments leaving paper trails, it will become impossible to hide traces of illegally accumulated cash to fund anti-social activities.
Given India’s obsession with the game of cricket, it may be a win-win situation for government agencies & betting enthusiasts to operate in a regulated, legal environment.
Share
