Supreme Court Declares Rummy for Stakes as a Game of Skill, not Gambling
04 Sep, 2015, 04:30 BST
MUMBAI, September 4, 2015 /PRNewswire/ --
Supreme Court verdict on August 18th comes as a boon to avid rummy players. The court did not see any reason to interfere with the well settled legal principle the playing skill games for stakes does not amount to gambling. In 1957, a constitutional bench of the Supreme Court clearly articulated this distinction between chance and skill-based activities. The distinction was reaffirmed in a later Tamil Nadu case relating to horse racing where it reaffirmed this distinction and the constitutional protection to games of skill. Interestingly, even the Madras High Court decision challenged by the Club stated that rummy is a game of skill.
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A bench comprising Justices Madan B. Lokur and S.A. Bobde held that Madras High Court's view that playing card-game rummy for stakes was illegal, does not survive as those accused in the case have been acquitted.
Mahalakshmi Cultural Association, a Chennai-based city club, had challenged a March 2012 judgment of a divisional bench of the Madras high court that ruled that playing rummy with stakes amounts to gambling. Many online rummy companies including Play Games24x7 Private Ltd (which runs http://www.rummycircle.com) had joined this plea claiming that their business would be affected by the ruling.
Bhavin Pandya, CEO of RummyCircle welcomed the judgment. "We are very satisfied by the decision of the Supreme Court, which effectively sustained the earlier legal position with respect to the legality of games of skill for stakes."
Here's a quick timeline of the case:
- The origin of this litigation was an adverse order passed by the Madras High Court on 22nd March 2012 against Mahalaxmi Cultural Association (the "Club"). The High Court declared that organising and playing the game of rummy for stakes is illegal under the Chennai City Police Act 1888.
- The club filed an SLP (Special leave petition) against this decision of the Madras High Court. The Supreme Court stayed the operation of this order on 11th May 2012.
- On 8th August 2012, the Supreme Court permitted online rummy companies, to join the litigation on the ground that they were materially interested in the subject matter of this litigation.
- All petitions stated above came up for hearing on the 12th and 13th of August 2015 before the Supreme Court.
- On 13th August 2015, the court disposed off the petitions of the online rummy companies with the observation that the proceedings do not apply to online rummy. The counsel for the club submitted that the trial court had already acquitted the accused in the trial proceedings and wanted time to file a copy of the acquittal order. The matter was posted for further hearing on 18th August 2015.
- The Supreme Court disposed off the petitions of the club and other the clubs on the ground that an acquittal order has been passed in favour of the club in the proceedings before the trial court. Counsel for the petitioner Dr. Abhishek Manu Singhvi stated that in the absence of the court setting aside the division bench order of the Madras High Court, parties could still be prosecuted for playing rummy for stakes. The court, in response, stated in its order that in view of the acquittal order, the division bench decision of the Madras High Court does not survive.
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