PRADEEP Vs. STATE OF KERALA

JUDGEMENT

(1.) PETITIONERS are lottery agents in Kasaragod District. They allege that they sell the lottery tickets conducted by the State of Arunachal Pradesh and Nagaland on commission basis. It is alleged that, the petitioners are eking out their livelihood from the 4% commission they receive by way of selling the lottery tickets. The petitioners allege that the police authorities of the State unnecessarily interfere with the lawful business conducted by the petitioners and because of this interference, the petitioners are not able to sell the lottery tickets organised by the State of Arunachal Pradesh and Nagaland. It is contended by the petitioners that vide order dated 6-1-1990 the State of Kerala has banned the sale of lottery tickets which are not directly conducted by the Government of other States. According to the petitioners, the lottery organised by the State of Arunachal Pradesh and Nagaland cannot be banned in view of the constitutional provision, and that the Supreme Court has held that lottery tickets organised by one State Government cannot be banned by other States. PETITIONERS therefore prays that there shall be an appropriate direction to quash Ext. P1 and also to direct that the police officers shall not interfere with the sale of the lottery tickets.

(2.) I heard the petitioners counsel and the Government Pleader. The counsel for the petitioners contended that the petitioners are selling the lottery tickets organised by the State of Arunachal Pradesh and Nagaland and there is no prohibition against the selling of such tickets and therefore the police shall not interfere with the selling of these tickets. Pursuant to the direction of this court, the Govt. Pleader has got instruction and it is submitted that the government has no proposal to ban the official lotteries organised by various State Governments. In Ext. P1 it is specifically stated that the ban is in respect of lottery tickets which are not directly conducted by the Government of State or by the. Administration of a Union Territory or by the Government of India. The Supreme Court also Examined this matter in the State of Haryana v. Suman Enterprises and others (1994 (4) SCC 217) and various guidelines have been issued and it is specifically observed by the Supreme Court that the tickets must bear the statement to the effect that it was directly conducted by the State Government and its authenticity and genuineness must be ensured by the Government. It is also stated that the Government must sell the tickets through the sole distributors or sole agent under the terms and conditions regulated by agreements reached between the parties. The sale proceeds of the tickets sold in wholesale or retail shall be credited to the funds of the Government, and the draws for selecting the prize winning tickets must be conducted by the State itself irrespective of the prize money, and if prize money is unclaimed it must go to the revenue of the State. Petitioners allege that the State of Arunachal Pradesh and Nagaland are conducting lotteries in accordance with the guidelines issued by the Supreme Court and therefore the petitioners are entitled to sell these tickets.