The Supreme Court of India recently accepted a petition concerning the Maharashtra Casino Act of 1976, a case seen as a potential reassessment of the state's gambling regulatory policies, possibly reigniting legal debates over the legalization of casinos.
Case Review: After High Court Rejection, Petitioner Turns to Supreme Court
The case was initiated by Dyutbhumi Hotels and Resorts Pvt Ltd, formerly known as Mumbai Gambling Management Pvt Ltd. The petitioner seeks to operate legal casinos in Maharashtra and requests the court to restore the Maharashtra Casino Act enacted in 1976.
This act envisioned a licensing system for casinos within the state, explicitly prohibiting gambling activities in unlicensed venues, and stipulated that licensed casinos should pay no more than 25% in gambling taxes. However, this act was never formally implemented and was ultimately repealed by the Maharashtra government in 2023.
In a hearing in February this year, the Mumbai High Court dismissed the petition. The court noted that the act had never transformed into effective law and described it as "dusty," unable to be revived. The court considered the petitioner's claim to restore the act as an "unrealistic legal fantasy" that did not meet the basic standards of legal applicability.
Petition Reasoning: Was the Repeal an "Overreach"?
The petitioner argued that the decision to repeal the act in 2023 was an "overreach," allegedly violating the legal procedural safeguards granted by the Indian Constitution. However, the High Court ruled that there was no unconstitutional element in the case and emphasized that the three criteria for determining legislative "overreach" were not applicable in this case.
Additionally, the petitioner requested the court to direct the state government to reconsider their submitted casino operation license application. However, the High Court did not adopt this request and did not further advance the licensing issue.
Supreme Court Takes Over the Case, Postponed for Two Weeks
According to a notice issued by the Supreme Court of India on April 21, the case has been officially registered and postponed for two weeks. The court also clarified that the applicant need not submit a certified copy of the Mumbai High Court's ruling; the relevant documents can be obtained online.
It remains to be seen whether the case will enter a substantive hearing stage and whether the Supreme Court will reassess the legal status of the 1976 act.
Current Gambling Status in Maharashtra: Still Strictly Regulated
Currently, gambling activities in Maharashtra are still regulated by the Bombay Prevention of Gambling Act of 1887, which prohibits all forms of gambling, except for horse race betting and skill-based games.
In India, only three states allow the establishment of physical casinos: Goa, Daman, and Sikkim. These regions, relying on special zone policies and tourism development, have relatively open gambling regulations.
If Maharashtra wishes to push for the legalization of gambling, it still needs to promote new legislation at the state assembly level and gain broad consensus from both the central government and the public.
