Karnataka High Court prohibits horse racing and betting at Bangalore Turf Club for now   

A division bench of the High Court of Karnataka on June 22 prohibited horse racing and betting activities at Bangalore Turf Club till the petition filed by the BTC and others are finally adjudicated before a single judge bench.

The division bench comprising Chief Justice N.V. Anjaria and Justice K.V. Aravind passed the order while staying the June 18 interim order passed by a single judge bench. The State government had filed appeal against the single judge interim order, who had stayed the June 6 order of the Government refusing permission for horse race and betting.

The BTC had prepared for holding racing activities on June 22 and 23 following a permission granted by the single judge and races were scheduled to start from 1.30 pm on June 22 (Saturday).

Single judge’s interim order

While holding that the Government “prima facie acted in an irrational, illegal, arbitrary and unreasonable manner” in refusing to grant licence, the single judge had permitted the racing and betting activities to continue as per the conditions imposed by the Government in the licences granted till March 2024 for these activities. While giving liberty to the Government to monitor, supervise and regulate these activities, the single judge had said that this interim order would be subject to final outcome on the petition filed by BTC.

Government’s appeal

However, before the division bench, the Government contended that it would consider granting permission after August as the further investigation into the illegalities like benami transactions, non-deposit of collection of money in cash, and non-deposit of GST from punters allegedly committed by the bookmakers, against some of whom the charge sheet was filed.

However, BTC has contended that is not an accused party in the criminal proceeding, and the government had not sought any details from BTC on illegalities even after the initiation of criminal proceedings against punters.

The BTC had also contended that denial of permission was one of the attempts being made by the government to pressurise the BTC to vacate its present land at the centre of the city and move to the outskirts as proposed by the government. He also pointed out that the issue of land on which the race course is located is pending before the apex court.

On evasion of GST remittance by the bookmakers, it was argued on behalf of the BTC, the Racehorse Owners Association, and the Trainers and Jockeys Association that the bookmakers are now liable to remit deducted GST directly to the Government and that the BTC has no role in paying in this regard under GST law. GST law has repealed the earlier Betting Tax Act, under which the BTC had the responsibility of remitting betting tax to the authorities.