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Howzat? The clamour to legalise sports betting in India

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bet9ja.com
5 February 2016

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By Sameer Hashmi

Mumbai Business press reporter

It is the last over of the cricket match, with India requiring 17 runs to win against Australia.

In his two-bedroom house situated in main Mumbai, a middle-aged male is viewing the game, nervously. He's sitting on the edge of his grey colour couch with his mobile phone glued to his right hand.

He has made more than 10 calls in the last 30 minutes - not to go over the match but to keep modifying his bet.

Five minutes previously his cash was on Australia, today as the Indian batsman prepares to deal with the last over he's his mind.

"I think India is winning, make the change," he tells his bookmaker on the phone.

And a few minutes later his prediction comes to life, as India wins the match in a nail-biting finish.

"I have made $200 today," he says with a childlike glee.

For more than three decades he's been banking on cricket matches. We can't expose his name as what he's doing is illegal in India.

Other than horse racing, sports betting of any kind is not allowed India. Despite that, illegal wagering syndicates flourish in the country.

'Black cash'

According to the Doha-based International Centre for sports betting Security, India's unlawful sports betting wagering market deserves some $150bn a year. And much of that gambling money is directed towards cricket.

With no legal opportunity, punters put bets utilizing their phones by making calls to bookmakers. Gamblers can bet on anything associated to the cricket match, from who is winning to the highest individual run scorer.

The majority of these deals involve so-called "black money", which is cash not declared to the taxman.

The 1867 Public Gambling Act bars any sort of gaming in India, however unlike in the US which has a law restricting web gambling, there is absolutely nothing similar here.

And overseas sports betting companies are utilizing this loophole to entice Indians. Despite the fact that there are no online wagering operators based out of India, a lot individuals have actually signed up accounts with offshore firms.

"Legally you can escape [with this], as the law is unclear for online sports betting," states Mumbai- based legal representative HP Ranina.

But in spite of this, it is "offline sports betting", done through telephone call which dominate the marketplace.
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Require legalisation

The clamour to legalise sports betting in cricket has actually grown after a panel designated by India's Supreme Court proposed the concept, stating it would assist clamp down on corruption in the nation's preferred sport.

The Justice RM Lodha Commission was set up to recommend modifications in the performance of India's cricket regulatory body, the Board of Control for Cricket in India (BCCI), after the 2013 Indian Premier League sports betting scandal emerged.

Two franchises have been banned for two years after some gamers and team officials were found guilty of fixing parts of the match at the wish of bookies.

The panel likewise argues that legalised wagering will generate tax profits for the exchequer that could total up to $2bn a year.

Even bettors feel that legalising sports betting wagering is a move in the right instructions.

"I do not mind paying some money out my profits, as long as I can bet openly," states our cricket gambler.

It would also open a substantial company opportunity for certified bookmakers and international online sports betting business to establish operations in India.

And it would help limit match fixing in cricket and other sports betting, argue lots of, by helping make deals associated with sports betting more transparent.

"If you work alongside sports betting companies, you will have a very reliable technique of stamping out match repairing," states George Oborne, who runs a mock sports betting website, India Bet.

But many likewise believe, that the taxes imposed on the bettor and the bookmaker will have to be affordable to make it appealing enough for them to bet legally.

However, there are limitations.

"Definitely there will be illegal wagering due to the fact that (some) people wouldn't wish to leave an audit trail by entering the white market," states Mr Oborne.

He includes that people who utilize unaccounted money to put huge bets will never ever bet lawfully.

Approval question

For sports betting gambling to be legalised, parliamentary approval will be required to create a brand-new law, and politically this will be a tough idea to offer.

"Although many individuals are associated with some sort of gaming - it's still a questionable concern for lots of," states our unnamed punter.

And given that India has a federal structural - each state will need to likewise pass a separate law to legalise sports betting in their territory.

"The procedure is so long and difficult that it will take years," says Mr Ranina."That's why, we are negative about this coming true anytime quickly."

Yet with the idea having actually been endorsed by an official panel for the very first time, at least a dispute has fired up around a topic - which up until now was thought about a taboo.