The Kerala High Court has restrained the State government from interfering with the marketing and sale of lottery tickets of the State of Nagaland.
Justice A. Muhamed Mustaque passed the order after declaring ultra vires the amended Kerala Paper Lotteries (Regulation) Rules that controlled the lotteries organised by other States.
The court held that the Central government had framed Lotteries (Regulation) Rules, 2010. These rules provided a mechanism to redress the grievances of other States as against organising States and their agents. These rules conferred authority on the Union government to decide on such complaints and grievances. Therefore, the State was not authorised to make rules to regulate or control lotteries of other States.
The court observed that the Union government alone had the power to interfere with the organising, conduct, and promotion of lotteries and the State government did not have such power.
The court passed the verdict while allowing a writ petition filed by a private company engaged in marketing and sale of lottery tickets organised by the State of Nagaland. The petitioner contended that the amended rules interfered with the power of other States to organise, conduct, and promote their State lottery tickets in Kerala.
