Yashpalsinh Rajendrasinh Chudasama v. State of Gujarat
2020-09-22
RAJENDRA M.SAREEN
body2020
DigiLaw.ai
ORDER : 1. Heard Mr. Ashish Dagli, learned advocate for the petitioner and Mr. J.K. Shah, learned APP for the respondents, through video conference. 2. Present petition has been filed by the petitioner - proprietor of Honest Online Marketing, under Article 226 of the Constitution of India, praying for the following main relief:- “(26)(A). YOUR LORDSHIPS may be pleased to issue a writ of mandamus or a writ in the nature of mandamus or any other appropriate writ, order or directions directing the respondent authorities not to enter and obstruct the business of the petitioner and his franchises and also direct them not to consider the business activities of the petitioner and its franchisees as a “gambling activities.” 3. As per the case of the petitioner, the petitioner is the proprietor of Honest Online Marketing, having its registered office at Vadodara. The petitioner is having business of selling, marking and or tread into the product popularly known as “Vastu Pooja Yantra” and business activity of selling of the aforesaid product of the petitioner is that the retail outlet of the petitioner would sell the Vastu Pooja Yantra. Online system has been devised to ensure that a Yantra could be sold to an individual customer along with coupon carrying a gift of silver coin and in the event if the coin is not available, the customer could be given a cash amount worth Rs. 100/-. As a part of the sponsored activity, the online draw would be condu cted at a retail outlet in each city and accordingly, the coupon can be offered to a customer haing a purchase of Yantra. In lieu of silver coin, the company has also arranged to offer an equivalent cash amount i.e. Rs. 100/- in the event if the customer wishes to have case amount in place of silver coin. Meaning thereby, the entire online draw in relation to an activity of selling Yantra Does not in any way involve an element of gambling and that it is a pure marketing scheme to Promote the sale of the product i.e. Yantra. 4. The learned advocate for the petitioner has further submitted that the respondents Authorities visited the place of the petitioner and they are creating obstructions in running their business and they are also threatening present petitioner and also to the customers of the petitioner.
4. The learned advocate for the petitioner has further submitted that the respondents Authorities visited the place of the petitioner and they are creating obstructions in running their business and they are also threatening present petitioner and also to the customers of the petitioner. Therefore, the present petition is filed by the petitioner seeking direction upon the respondents Authorities not to enter and obstruct the business of the petitioner. 5. Learned advocate for the petitioner submitted that the petitioner and its Franchises’ are not doing any activity, which can be said as illegal and not permissible as the Bombay Prevention Gambling Act or Bombay Police Act. He further submitted that the business activities of the petitioner are run by way of online lucky draw scheme and same is permissible under the law. The petitioner is only offering Silver Coin worth Rs. 100/- to the purchaser, whose ID is selected in the online lucky draw as an incentive on their purchase and if the Silver Con is out of stock then the cash amount of Rs. 100/- (equal to the price of Silver Con) is given. This incentive scheme is only available to the purchaser of the products of the petitioner and therefore, such activities cannot be considered at all Gambling activity under the law. There are numbers of consumers product available in market which is marketed on Television also and online draw and computer draw are made and same are not considered as Gambling. He further submitted that the petitioner is not doing any activity which is violative of public good and public purpose or which can be said as an offence under the Bombay Prevention Gambling Act and the Bombay Police Act or any other law. 6.
He further submitted that the petitioner is not doing any activity which is violative of public good and public purpose or which can be said as an offence under the Bombay Prevention Gambling Act and the Bombay Police Act or any other law. 6. The learned advocate for the petitioner has further submitted that this Court in the writ petition being Special Civil Application No. 2244 of 2013 by way of passing judgment and order dated 04.03.2013 had come to a conclusion that the element of wagering and betting were totally absent in online draw for the promotion activity for sale of Yantra and, therefore, the business activity like the petitioner could not be classified as “gambling activity.” Having discussed the “gaming activity” as defined under the dictionary, this Court had categorically held that the petitioner therein had an outlet for running the business of kind of product and services through e-biding, e-selling throughout India for selling of Yantra, Pooja product, religious artifact and allied products and promotion activities. 7. Learned AGP Mr. J.K. Shah for the respondents submitted that the activities in form of business made by the petitioner is covered under the meaning of the gambling. He has further submitted that the respondents have right to enter into the business premise of the petitioner. Therefore, he submitted that the petition is required to be dismissed. 8. Perused the petition and documents and considered the submissions made by the parties. First question that arises is as to whether the business activities of the petitioner can be considered as gambling or not. 9. The elements of “gambling” consists of wagering or betting. Perusal of the definition of gambling would clearly show that there should be an element of wagering or betting to call it gambling. As per the dictionary meaning of gambling also the essential element is wagering or betting. In the well-known show telecasting on Television namely “Kaun Banega Crorpati” both these elements wagering and betting are totally missing and, therefore, it can be said that in the game of gambling, said two elements are necessary to prove the gambling and nothing are at stake of the participant.
In the well-known show telecasting on Television namely “Kaun Banega Crorpati” both these elements wagering and betting are totally missing and, therefore, it can be said that in the game of gambling, said two elements are necessary to prove the gambling and nothing are at stake of the participant. It is only skill game and if the person is successful in answering, the payment is incidental to that and if the answer is wrong, the person is eased out from the competition with whatever money he has earned by answering correct questions. The game of dart is a game of skill. The person who is actually playing the dart game is playing game of skill but the persons who are side betting, for them the game will not be game of skill but it will be game of chance. So the game of dart is not gambling and is not covered by the gambling and is not covered by the Gambling Act. 10. There is no element of betting or wagering in the business conducted by the petitioner. The definition of gaming, therefore, does not get attracted to his business. It is not a “common gaming house” as defined under the respective Acts. The essential requirement to bring any game within the definition of gaming as defined under the Act is completely lacking. 11. “Gaming place” means any place, room, building, vehicle, vessel, tent or location which is used for any of the following: Making and settling bets; receiving, holding, recording or forwarding bets or offers to bet; conducting lotteries or policy games; playing games of chance for money or other property or playing gambling devices. ‘Game’ includes a contrivance which has for its object to furnish sport, recreation, or amusement. 12. ‘Gaming’ has been defined as: to play any game, whether of skill or chance for money or money’s worth; and the act is not less gaming because the game played is not in itself unlawful and whether it is involved or did not involve skill. Gaming, therefore, is an inclusive definition which includes a game of chance and skill combined or a pretended game of chance or of chance and skill combined. Gaming house would mean any house, room, tent etc.
Gaming, therefore, is an inclusive definition which includes a game of chance and skill combined or a pretended game of chance or of chance and skill combined. Gaming house would mean any house, room, tent etc. whether enclosed or open or any place whatsoever in which the instruments of gaming are kept or used for profits or gain by the person occupying, using or keeping such house, room, tent etc. whether by way of charge or otherwise. The instrument of gaming would include any article used or intended to be used as a subject of means of gaming, any document used or intended to be used as a register or record or evidence of gaming, the profits of any gaming or any winnings or prizes in money or otherwise distributed or intended to be distributed or money's worth in gaming. Place would include building or a tent etc. whether permanent or temporary or any area whether enclosed or open. Place of public amusement means any place where any gain or means of carrying on the gain is provided in which the public are admitted and includes a road or a street or a way whether a thoroughfare or not and a landing place in which the public are granted access or have a right to resort or over which they have a right to pass. The elements of gaming are the presence of prizes or consideration, chance and prizes are reward and games includes a contrivance which has for its object to furnish sport, recreation or amusement. Amusement would mean diversion, pastime or enjoyment or a pleasurable occupation of the senses, or that which furnished it. A common gaming house is a place or public place kept or used for playing therein any game of chance, or any mixed game of chance and skill, in which the organizer keeps one or more of the players. It is also a place in which any game is played, the chances of which are not favourable alike to all the players. Gaming is to play any game whether of skill or chance for money or money’s worth and the act is not less gaming because the game played is not in itself unlawful and whether it involved or did not involve skill. 13.
Gaming is to play any game whether of skill or chance for money or money’s worth and the act is not less gaming because the game played is not in itself unlawful and whether it involved or did not involve skill. 13. In certain games, certain operations are to be performed to enable the gamester to play the game, the persons taking part in such operations must be deemed to be ‘gaming’ or actually assisting in the gaming. “To game” therefore, is to play any game, whether of skill or chance, for money or money's worth. It is playing of the game for money or money’s worth whether the game be lawful or not. No game can be a game of skill alone. In any game in which even great skill is required, chance must play a certain part. Even a skilled player in a game of mere skill may be lucky or unlucky, so that even in a game of mere skill chance must play its part. But it is not necessary to decide in terms of mathematical precision the relative proportion of chance or skill when deciding whether a game is a game of mere skill. When in a game the element of chance strongly preponderates, it cannot be a game of mere skill. Therefore, it is not practicable to decide whether a particular video game is a game of skill or of mixed skill and chance. It depends upon the facts, in each case. 14. I have perused the decision in the case of State of Bombay vs. R.M.D. Chamarbaugwala, AIR 1957 SC 699 , wherein Hon’ble Supreme Court has observed as under: “A competition in order to avoid the stigma of gambling must depend to a substantial degree upon the exercise of skill. Therefore, a competition success wherein does not depend to a substantial degree upon the exercise of skill is not recognized to be of a gambling nature. Gambling activities from their very nature and in essence are extra commercial although the external forms, formalities and instruments of trade may be employed, and they are not protected either by Article 19(1)(g) or Article 300 of the Constitution.
Gambling activities from their very nature and in essence are extra commercial although the external forms, formalities and instruments of trade may be employed, and they are not protected either by Article 19(1)(g) or Article 300 of the Constitution. It is difficult to accept the contention that those activities which encourage a spirit reckless propensity for easy gain by lot or chance, which lead to the loss of hard the learned money of the undiscerning and improvident common man and thereby lower his standard of living and drive him into a chronic state of indebtedness and eventually disrupt the peace and happiness of his humble home could possibly have been intended by our Constitution makers to be raised to the status of trade, commerce or intercourse and to be made the subject matter of a fundamental right guaranteed by Article 19(1)(g) of the Constitution.” 15. Here in the present case, the petitioner is proprietory Company. The petitioner is having the selling outlet agreement for running the business of all kind of products, sales and service through e-bidding, e-selling throughout the India for selling of Yantras, Pooja Products, Vastu products, Religious Artifact, etc. related and allied products and promotion activities. Thereafter, for further growth of business, some promotional and gift schemes were to be implemented and on purchasing the items sold by the petitioner, the customer is given ID number on receipt of purchase and that ID is to be feed on the online website of the petitioner Company and if such ID number is selected in online draw then such person is given silver coin of Rs. 100/- as an incentive and in case of the coin is not available then a reward of Rs. 100/- is given to the purchaser. Therefore, looking to the nature of business, it is not established that there is element of wagering or betting and said elements are necessary to prove that the petitioner is engaged in such game connected to the gambling. Therefore, the petitioner is not doing any act which is opposed by public policy or illegal. One similarly situated person filed a Regular Civil Suit No. 7 of 2012 before the Civil Court, Gandhidham, wherein interim relief is granted by the Civil Court.
Therefore, the petitioner is not doing any act which is opposed by public policy or illegal. One similarly situated person filed a Regular Civil Suit No. 7 of 2012 before the Civil Court, Gandhidham, wherein interim relief is granted by the Civil Court. Therefore, I am of the opinion that the business of the petitioner is not attracting any kind of element or ingredients of gambling and therefore, it cannot be said to be gambling and by way of online draw the petitioner is only awarding Silver Coin of Rs. 100/- and in lieu of Silver Coin, Rs. 100/- is rewarded to the winner. 16. In the business, the petitioner has invested huge amount, which has been borrowed from his friend and relatives. Therefore, considering the nature of business and the investment made by the petitioner and especially, since there is no element of gambling as defined in the Act, following order is passed: (a) The respondents authorities are directed not to obstruct the business of the petitioner in any manner, except if it is found that any illegal activities being carried out. (b) It is, however, made clear that selling, marketing and trading of “Yantras, Pooja Products, Vastu Products, etc.” by online system in regular manner by the petitioner cannot be termed and/or cannot be considered as gambling. (c) Though the business activities of the petitioner, as aforesaid, cannot be considered as gambling, the respondent Authorities have right to enter into the business premises of the petitioner, in discharge of their duty in accordance with law, which shall not be in form of unnecessary harassment. 17. With these observations, directions and clarifications, present petition stands partly allowed. Rule is made absolute to the aforesaid extent. Direct service is permitted, to be served through e-mail.