LI NETWORK
The High Court of Kerala has quashed the rules imposed by the state government to monitor the sale of other-state lotteries.
Future Gaming and Hotel services – the petitioner, dealing in the sale of lottery tickets issued by Nagaland and Kerala state governments, challenged the amendment made to Kerala Paper Lotteries (Regulation) Rules, 2005.
The amendment was done on April 28, 2018, vide government order.
The amendments were related to regulating the lotteries which are conducted and promoted by other State governments.
A single bench of Justice A Muhamed Mustaque pronounced that no state can use its authority by creating Rules in such a way to change upon the authority of other States to organize and conduct a lottery as this power is given only to the Central government under Section 6.
The Court stated:
“Any Rules, therefore, has to be tested against three essential elements of authority conferred upon the State Government. If the Rules are framed in such a way to interfere in the authority of other States to organize, conduct and promote (except the sale of lottery tickets) that would amount to usurping the power of the Central Government.”
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