IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
AMIT RAWAL, J.
Shri. Varun Gumber – Petitioner
Vs.
Union Territory of Chandigarh and others – Respondents
CWP No.7559 of 2017
Decided On : 18-04-2017
Public Gambling Act, 1867 - Fantasy Sports Games - Sections 11, 12 - The court held that the fantasy sports games offered by the respondent company constitute a game of 'mere skill' and do not fall within the activity of gambling for the invocation of the Public Gambling Act, 1867. The court exempted the respondent company from the application of the provisions, including the penal provisions, in view of Section 18 of the 1867 Act.
Fact of the Case:
The petitioner sought directions for setting criminal law into motion against the respondent company, claiming to be a victim of alleged illegal gambling activities carried out through their website. The petitioner participated in fantasy sports games offered by the respondent company and lost money, alleging that the activities were not based on skill but were purely a game of chance.
Finding of the Court:
The court found that the fantasy sports games offered by the respondent company involve virtual teams that require considerable skill, judgment, and discretion. The court held that the element of skill has a predominant influence on the outcome of the games, exempting the respondent company from the application of the Public Gambling Act, 1867.
Issues: The preliminary issues involved in the case were whether the provisions of the Public Gambling Act, 1867 were applicable to the fantasy sports games offered by the respondent company and whether any direction to set the case in motion should be granted.
Ratio Decidendi: The court held that the fantasy sports games offered by the respondent company constitute a game of 'mere skill' and do not fall within the activity of gambling for the invocation of the Public Gambling Act, 1867. The court exempted the respondent company from the application of the provisions, including the penal provisions, in view of Section 18 of the 1867 Act.
Final Decision: The court dismissed the writ petition and held in favor of the respondent company, stating that no direction against the respondents to set the criminal law into motion was necessary.
AMIT RAWAL, J.
1. In the instant petition directions for setting criminal law into motion against Respondent Company are sought, by an Advocate residing in the jurisdiction of this Court, claiming himself to be a victim of such alleged illegal gambling activities of the Respondent Company carried out by them through their website https://fantasycricket.dream11.com.in which according to the petitioner renders them liable for criminal prosecution and punishment under the penal provisions of Public Gambling Act, 1867.
2. The petitioner tried to persuade me for issuing directions for investigations or initiating criminal prosecution against the Respondent Company. The learned Counsel appearing for the Respondent Company, who is on caveat, and the Learned Counsel appearing for UT, Chandigarh opposed grant of any relief in the instant petition. All parties were heard. I have carefully perused by records.
3. It is contention of the petitioner that-
On 09.03.2017, he registered himself on the said website by using his email id. after being satisfied with the claim of the Respondent Company on their website that their operations were legitimate not amounting to gambling under the Public Gambling Act, 1867.
On 10.03.2017, the petitioner transferred by his credit card an amount of Rs.50,000/- in his own account opened on the said website for participating in the various leagues created on the said website.
4. The petitioner created a virtual team for the cricket match between Ireland and Afghanistan as illustrated and instructed on the said website, by himself choosing 11 players, out of total players, who were to play for Ireland and Afghanistan collectively.
5. After forming a virtual team of 11 players as per his own selection, the Petitioner joined various leagues and from the available deposit of Rs.50,000/- he used Rs.24,000/- approx. for playing in the leagues. The petitioner submits that at the end of the match, he lost Rs.24,000/-, the entire money, which he had betted on his virtual team while playing in the various leagues.
6. Again, on 11.03.2017 the petitioner created a virtual team this time for the football match being played between Manchester City and Middleborough. Thereafter, he betted on his virtual team for Rs.26,000/ in similar fashion, and ended up losing the said amount of Rs. 26,000/-.
7. Thus, he was ultimately left with a balance of only Rs.3 out of Rs.50,000/- in a short span of 2 days.
8. It is claim of the petitioner that only after losing the money in the above manner, he realized by the nature of the activities offered on the said website that they were not based on any skill, but were purely a game of chance and thus they clearly amount to gambling prohibited under the Public Gambling Act, 1867.
9. The petitioner submits that it is falsely claimed that the activities are skill-based games.
10. The Petitioner, before filing the writ petition, had given a legal notice, dated 14.03.2017 to the Respondent Company for suo-moto blocking of their website, to stop the illegal gambling activities and to refund of the amount paid by the petitioner.
11. A detailed response denying all the allegations in the said notice, had been given by the Respondent Company, who are on caveat, which has also been placed on record before the Court. Respondent Company had claimed in their response to the Notice that their activities do not amount to 'gambling' punishable under the provisions of Public Gambling Act, 1867.
12. The petitioner however submits that the said response is devoid of any merits and is misleading. From the peculiar facts, a clear case of violation of the provisions of Public Gambling Act, 1867 is made out.
13. The learned Counsel for the Respondent Company submits that to the legal notice issued by the petitioner, detailed reply explaining therein following broad points-
Introduction of Dream11:
(a) Dream11 is one of the world's leading platforms for online fantasy sports games and offer fantasy cricket, fantasy kab
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