SAVITHRI B Vs. DIRECTOR OF STATE LOTTERIES

JUDGEMENT

(1.) The petitioner is the first prize winner or Kerala Soubhagya lottery which was drawn on 19/11/2005. As per the above draw, the first prize gone to the ticket bearing No. SJ 133652 of 537th draw which was taken by the petitioner. Though the petitioner had surrendered the said lottery ticket for collection through Punjab National Bank, Cherthala, the first respondent directed to release only an amount of Rs.11,94,120/- instead of the prize amount of Rs.20 lakhs being the first prize. According to the petitioner, on her enquiry, she realised that the first respondent deducted a sum of Rs.2 lakhs as agent's prize from the prize amount. Thus, the grievance of the petitioner is that without any authority, the 1st respondent had deducted a sum of Rs.2 lakhs as agent's prize from the first prize amount. Therefore, she approached this Court with a prayer to declare that R.22(2) of the Lotteries and On line Lotteries (Regulation) Rules, 2003, is violative of Art.14 and ultra vires to the Constitution of India to the extent that it permits the Government to deduct agent's price from the prize amount, it is also prayed for issuing a writ of mandamus or any other appropriate writ directing the respondents as Agents' prize can be paid only from Government fund and not from the prize winning lottery tickets' amount. The third prayer is to declare that 1st respondent has no manner of right to deduct agent's prize from prize winning lottery ticket. The consequential relief sought for is for the issuance of a writ of mandamus or any other appropriate writ directing the tot respondent to disburse Rs.2,00,000/-, which was deducted from petitioner's prize amount as deduction towards agent's prize, to the petitioner, without any further delay.

(2.) According to the petitioner, deduction of agent's commission from the petitioner's prize amount is arbitrary and unsustainable, for which the Government has no right. The petitioner, in this writ petition challenged the constitutional validity of R.22(2) of the Lotteries & On line Lotteries (Regulation) Rules, 2003.

(3.) The first respondent has filed a detailed counter affidavit. In the said counter affidavit, it is stated that, as per GO (P) No. 11/2006/TD dated 27/01/2005 published as SRO No.73/2005 in the Kerala Gazette extraordinary No. 169 dated 27/01/2005, the State of Kerala declared a Lottery free zone. Accordingly, the Kerala State Lotteries and On-line lotteries (Regulation) Rules, 2003 was repealed as per GO (P) No. 12/5/TD dated 27/01/2005 published as SRO No. 74/2005 in the Kerala Gazette extraordinary dated 27/01/2005. According to the 1st respondent, the conduct of Soubhagya 537th Lottery was based on Kerala Paper Lotteries (Regulation) Rules, 2005. As per this Rules, Government has ample power to deduct agent's prize as per R.9(2), of Kerala Paper Lotteries (Regulation) Rules, 2005 which states as follows: