In a relief to the Bangalore Turf Club (BTC), the High Court of Karnataka on Tuesday (June 18) stayed the Karnataka government’s decision of refusing to grant licence for the BTC to conduct horse racing as per the fixtures for June-August racing season.
The Court also permitted the BTC to conduct on-course and off-course racing and betting activities as per the schedule of racing submitted to the government along with its application seeking licence, and by adhering to the provisions of the law and the conditions imposed on it by the government in its earlier licence granted for the races conducted in March this year.
Justice S.R. Krishna Kumar passed the interim order on the petition filed by the BTC, questioning the June 6 order passed by the government in rejecting the applications filed by the BTC seeking licence for racing fixtures of the year 2024-25.
The competent authorities of the government had rejected the applications for the reason that there was violation of the condition of licence, applicable Rules and Statutes, and illegal betting, constituting criminal activity on the premises of BTC. The competent authorities had also cited the chargesheet filed against certain book makers for evading payment of tax and illegally collecting betting amount in the premises of BTC and further investigation being carried by the Central Crime Branch, Bengaluru in this regard.
Background
Initially, the BTC had moved the Court on May 20 complaining non-consideration of its applications for licence by the government. The BTC had said that though the CCB was conducting investigation since January, 2024, the government had granted licence till the end of March 2024 and thereafter did not act on the applications for the racing reasons beginning from April 1, 2024.
Following this, the Court on May 23 directed the government to take a decision by June 6 on the applications filed by the BTC. The Finance Department and the Home Department, in their separate orders passed on June 6, had rejected the applications citing criminal case. This action resulted in the BTC amending its petition, with court’s permission, challenging the legality of the rejection.
It was argued on behalf of the BTC that the government could not have denied licence due to mere filling of chargesheet against some bookmakers and a few other persons as the BTC has not been arraigned as an accused in the chargesheet.
Impact on livelihood
Pointing out that livelihood of the employees of BTC, horse trainers and others was impacted due to the sudden denial of permission for racing and betting activities, which have been allowed for decades, the BTC has said that the loss is also being caused to the State exchequer by way of GST due to halting of racing activity. The race horse owners’ association claimed that all race horses, which are in the city, are idle as the racing activity is being held only in Bengaluru during this season.
Government’s nominees
The BTC had also told the Court that the government was aware of the activities at the club as four members of the BTC’s 10-member board are nominated by the State Government, including the Secretary, Finance Department, and the Bengaluru City Police Commissioner in their ex-officio capacity.
However, the government had opposed the BTC’s petition on the ground that investigation is continuing and it was the prerogative of the government to either grant or reject the licence for racing and betting activities as per the Mysore Race Course Licensing Rules, 1952, without assigning any reason, and the BTC has no right to claim licence under the law.
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