As INTRODUCED IN LOK SABHA

Bill No. 259 of 2018

THE SPORTS (ONLINE GAMING AND PREVENTION OF FRAUD)

BILL, 2018
By
DR. SHASHI THAROOR, M.P.
——————
ARRANGEMENT OF CLAUSES
——————
CHAPTER I
PRELIMINARY
CLAUSES
1. Short title, extent and commencement.
2. Definitions.
CHAPTER II
PREVENTION OF SPORTS FRAUD
3. Offence of Sports Fraud.
4. Duty to Inform.
5. Investigation of Sports Fraud.
6. Punishment for Sporting Fraud in Relation to a Sporting Event.
7. Abetment of Sports Fraud.
8. Offences by Companies.
9. Cognizance of Offences.
10. Cognizable and Non-bailable Offences.
CHAPTER III
REGULATION OF ONLINE SPORTS BETTING
11. The Online Sports Gaming Commission.
12. Composition of the Online Sports Gaming Commission.
13. Functions of the Commission.
14. Ambit of Online Sports Gaming.
15. License for an Online Gaming Server or an Online Gaming Website.
16. Cancellation or Surrender of the License.
17. Fee for the License.
18. Non-assignment of the License.
19. Renewal of the License.
20. Suspension or Cancellation of the License.
 (ii)

CLAUSES
21. Maintenance of Accounts relating to Online Sports Gaming by the License.
22. Conditions of the License.
23. Request by the Commission for Investigation.
24. Foreign Direct Investment in Online Sports Gaming.
25. Rule-making Powers of the Commission.
CHAPTER IV
MISCELLANEOUS
26. Overriding Effect.
27. Power to Remove Difficulties.
28. Laying Period for Rules made under this Act.
 1

As INTRODUCED IN LOK SABHA

Bill No. 259 of 2018

THE SPORTS (ONLINE GAMING AND PREVENTION OF FRAUD)

BILL, 2018
By
DR. SHASHI THAROOR, M.P.
A

BILL
to establish an effective regime to maintain the integrity of Sports in India by preventing
and penalizing Sports Fraud, regulation of Online Sports Gaming; and for matters
connected therewith or incidental thereto.
BE it enacted by Parliament in the Sixty-ninth Year of the Republic of India as
follows:—
CHAPTER I
PRELIMINARY
5 1. (1) This Act may be called the Sports (Online Gaming and Prevention of Fraud) Short title,
Act, 2018. extent and
commencement.
(2) It extends to the whole of India, except the State of Jammu and Kashmir.
 2

(3) It shall come into force on such date as the Central Government may, by notification
in the Official Gazette, appoint.
Definitions. 2. In this Act, unless the context otherwise requires,—
(a) "appropriate authority" means a person or organization designated as such
by the Central Government; 5

(b) "bet" with all its grammatical variations means any money or a valuable
security or a thing staked by a person on behalf of himself or through an agent or any
person procured or employed, acting for or on his behalf, to be lost or won on the
happening or determination of an unascertained thing, event or contingency of or in
relation to a game or sport and shall include acceptance of a bet; 10

(c) "Commission" means the Online Sports Gaming Commission constituted

under section 13;
(d) "domestic sporting event" means any domestic, national or international
sporting event or segment thereof, sanctioned or recognized by a National Sports
Federation or a State Sports Federation, held or to be held in India; 15

(e) "inside information" means any information not in the public domain and
includes information—
(i) not already published or is a matter of record, about a sporting event
including information concerning the condition of the field of play or strategy or
any injury or any other factor affecting the sporting event, and 20

(ii) specifically, within the knowledge of a member by virtue of his position,

participation or any other form of involvement in the sporting event;
(f) "international sporting event" means any international sporting event
recognized by a National Sports Federation or by an International Sports Federation,
held outside India in which the Indian team or a member from India participates; 25

(g) "International Sport Federation" means a federation recognised by the

International Olympic Committee in respect of an Olympic sport or any federation
which regulates a non-Olympic sport at the international level;
(h) "license" means a license granted by the Commission under the provisions
of the Act for the purpose of facilitating online sports gaming; 30

(i) "licensee" means any person who has been granted a license to install and
operate Online Gaming Server, and any other activity to facilitate Online Sports Gaming';
(j) "member" means a participant of the National or State or domestic sports team
or sporting event and includes support personnel, umpires, match officials and any
other person deriving commercial benefit from the team or event; 35
(k) "National Sports Federation" means an autonomous body which regulates a
sport at the national level and recognized by the Central Government, and includes
any body designated by the Central Government as a National Sports Federation for
the purposes of the Act;
(l) "Online Gaming Server" means any main frame computer or set of computers, 40
installed or maintained by the Licensee, that accepts, processes, stores and validates
transactions arising out of Online Sports Gaming, and which manages, monitors and
controls the entire system of Online Sports Gaming;
(m) "Online Gaming Website" means the internet domain registration or URL
address of the Licensee through which Online Sports Gaming is conducted; 45

(n) "Online Sports Gaming" means games involving the prediction of the results
of a sporting event and placing a bet on the outcome, in part or in whole, of such
sporting event, by means of a telecommunication device;
 3

(o) "prescribed" means prescribed by rules made under this Act;

(p) "Sports Fraud" has the meaning assigned to it in section 3;
(q) "sporting event" means any domestic sporting event or international sporting
event;
5 (r) "State Sports Federation" means an autonomous body which regulates a
sport at the State level and recognized by National Sports Federation in relation to
such sport or recognized by the State Government; and
(s) "sport personnel" means any manager, coach, trainer, selector, team official,
agent, doctor, therapist or any other, person employed by, representing or otherwise
10 affiliated to a playing or touring team or squad that is chosen to represent a National
Sports Federation or a State Sports Federation or its affiliates in a sporting event.
CHAPTER II
PREVENTION OF SPORTS FRAUD
3. (1) A person is said to commit the offence of Sports Fraud in relation to a domestic Offence of
15 sporting event if— Sports Fraud.

(i) a Member accepts or obtains or agrees to accept or attempts to obtain from

any person for himself or for any other person, any gratification, other than legal
remuneration, as a motive or reward for doing or forbearing to do an act—
(a) to manipulate sports result, including the simulation or pre-determined
20 sequence of events or manipulation of outcomes within any act or period of play
based on an agreement, irrespective of whether the outcome is actually altered
or not, or
(b) to cause an irregular alteration of the field of play or the result of a
sporting event including its incidental events, or
25 (c) to deliberately misapply the rules of the sport;
(ii) a member being in possession of inside information, discloses such
information to any person before or during a sporting event, for any gratification,
other than legal remuneration, for himself or for any other person, as a motive or reward
for doing such act;
30 (iii) a person provides, or attempts to provide, or facilitates the provision of any
gratification, other than legal remuneration, as described under clauses (i) and (ii);
(iv) a person omits to perform the duty imposed on him under section 4;
(v) a participant of a domestic sporting event, or any other person on his or her
behalf, wilfully misrepresents the age or any other qualifications of the participant, as
35 required for such event.
(2) A person is said to commit the offence of Sports Fraud in relation to an international
sporting event, if—
(i) a member, who is a citizen of India, accepts or obtains or agrees to accept or
attempts to obtain from any person, for himself or for any other person, any gratification,
40 other than legal remuneration, as a motive or reward for doing or forbearing to do an
act—
(a) to manipulate sports result, including the simulation of pre-agreed
sequence of events or manipulation of outcomes within any act or period of play
based on an agreement, irrespective of whether the outcome is actually altered
45 or not; or
(b) to cause an irregular alteration of the field of play or the result of a
sporting event including its incidental events; or
 4

(c) to deliberately misapply the rules of the sport;

(ii) a member, who is a citizen of India, being in possession of inside information,
discloses such information to any person before or during any sporting event, for any
gratification, other than legal remuneration, for himself or for any other person, as a
motive or reward for doing such act; 5

(iii) a member accepts or attempts to accept or obtains or agrees to accept or

attempts to obtain from any person, for himself or for any other person, any gratification,
other than legal remuneration, to engage in any acts described in sub-clauses (a) to (c)
of clause (i) or clause (ii), within the territory of India;
(iv) a person, who is a citizen of India, provides, or attempts to provide, or 10
facilitates the provision of any gratification, other than legal remuneration, as described
in clauses (i), (ii) and (iii);
(v) a person who provides, or attempts to provide, or facilitates the provision of
any gratification, other than legal remuneration, as described in clauses (i), (ii) and (iii)
within the territory of India; 15

(vi) a person, who is a citizen of India, omits to perform the duty imposed on him
under section 4;
(vii) a participant of an international sporting event, who is a citizen of India, or
any person on his or her behalf, wilfully misrepresents the age or any other qualifications
of the participant, as required for such event; 20

Provided that any sporting event recognized or sanctioned by the Board of Control for
Cricket in India, held in India and outside India, shall be deemed to be a domestic sporting
event and an international sporting event, respectively, for the purposes of this act.
Explanation I.—For the purpose of this section, the expression "gratification" shall
have the same meaning as is assigned to it in section 7 of The Prevention of Corruption Act, 25
1988.
Explanation II.—For the purpose of this section, the expression "sports result" includes
the margin of victory or loss.
Duty to 4. Whoever gets any information as to the commission of any of the acts referred to in
Inform. clauses (i), (ii), (iii) and (v) of sub-section (1) of section 3, and in cluases (i), (ii), (iii), (iv), (v) and 30
(vii) of sub-section (2) of section 3, shall forthwith or within such time as may be prescribed,
give the information regarding the same to the appropriate Authority or to the police as the
case may be, or to the team management or the National Sports Federation, in writing:
Provided that the team management or National Sports Federation, shall inform the
appropriate authority or the police, as the case may be, within three working days of receiving 35
such information:
Provided further that for the purpose of this act, the Board of Control for Cricket in
India shall be deemed to be the National Sports Federation for the sport of cricket:
Provided also that for purpose of this act, the Indian Olympic Association shall be
deemed to be the National Sports Federation for an olympic sport. 40

Investigation 5. (1) Every Sports Fraud in relation to a domestic sporting event shall be investigated
of Sports by any officer in charge of a police station, having jurisdiction over the local area within the
Fraud.
limits of which such offence is said to have been committed, in accordance with provisions
of the Code of Criminal Procedure, 1973
(2) Every Sports Fraud in relation to an international sporting event shall be investigated 45
by the appropriate authority.
 5

(3) The appropriate authority shall, for the purposes of this Act, have the same powers
as are vested in a civil court under the Code of Civil Procedure, 1908 while trying a suit in
respect of the following matters, namely:—
(a) discovery and inspection;

5 (b) enforcing the attendance of any person, including any officer of a reporting
entity and examining him on oath;
(c) compelling the production of records;
(d) receiving evidence on affidavits;
(e) issuing commissions for examination of witnesses and documents; and
10 (f) any other matter which may be prescribed.
6. Whoever commits the offence of Sports Fraud shall be punishable— Punishment
for Sporting
(a) where such Sports Fraud relates to clauses (i), (ii), (iii) of sub-section (1) of Fraud in
section 3 or clauses (i), (ii), (iii), (iv), (v), (vii) of sub-section (2) of section, with Relation to a
imprisonment for a term which may extend to five years and with fine of ten lakhs or Sporting
Event.
15 five times the economic benefits derived by the person from sporting fraud, whichever
is greater;
(b) where such sports fraud relates to clauses (iv) of sub-section (1) of section 3
or clauses (vi) of sub-section (2) of section 3, with imprisonment for a term of not
exceeding three years and with fine of rupees five lakhs or three times the economic
20 benefits derived by the person from sporting fraud, whichever is greater;
(c) where such Sports Fraud relates to clauses (v) of sub section (1) of section 3
or clause (vii) section (2) of section 3, with imprisonment for a term not exceeding one
year and with fine of rupees two lakhs or three times the economic benefits derived by
the persons through such misrepresentation, whichever is greater;
25 7. A person who abets the commission of the offence of sporting fraud shall be Abetment of
punishable with the same punishment as provided for the offence. Sports Fraud.

Explanation—For the purpose of this section, the expression "abets" shall have the
same meaning as is assigned to the expression "abetment of a thing" in section 107 of the
Indian Penal Code, 1860.
30 8. (1) Where any offence punishable under this Act has been committed by a company, Offences by
every person who, at the time the offence was committed was in charge of, and was responsible companies.
to, the company for the conduct of the business of the company, as well as the company,
shall be deemed to be guilty of the offence and shall to be proceeded against and punished
accordingly:
35 Provided that nothing contained in this sub-section shall render any such person
liable to any punishment, if he proves that the offence was committed without his knowledge
or that he had exercised all due diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub-section (1), where any offence
punishable under this Act has been committed by a company and it is proved that the
40 offence has been committed with the consent or connivance of, or is attributable to any
neglect on the part, of any director, manager, secretary of other officer of the company, such
director, manager, secretary or other officer shall also be deemed to be guilty of that offence
and shall be liable to be proceeded against and punished accordingly.
Explanation—For the purposes of this section,—
45 (a) "company" means any body corporate and includes a firm or other association
of individuals; and
(b) "director", in relation to a firm, means a partner in the firm.
 6

Cognizance of 9. (1) No court shall take cognizance of an offence under this Chapter except on—
offences.
(a) a complaint filed by a person from a National Sports Federation in-charge of
implementing its anti-corruption code or rule in such manner as may be prescribed;
(b) a complaint filed by a person after giving notice of not less than sixty days,
in such manner as may be prescribed, to the appropriate authority or to the police, as 5
the case may be, of the alleged offence and of his intention to make a complaint to the
court;
(c) a report of a police officer on completion of investigation under Section 173
of The Code of Criminal Procedure, 1973;
(d) a report filed by the appropriate authority on completion of investigation. 10

(2) No court inferior to that of a Metropolitan Magistrate or Judicial Magistrate of the

first class shall try any offence punishable under this Act.
Cognizable and 10. All offences under this Chapter shall be cognizable and non-bailable.
non-bailable
offences.

CHAPTER III
REGULATION OF ONLINE SPORTS BETTING 15

The Online 11. (1) The Central Government shall constitute a Commission, to be known as the
Sports Online Sports Gaming Commission, to exercise the powers conferred upon, and to perform
Gaming
the functions assigned to it, under this Act.
Commission.
(2) The Commission shall consist of a Chairperson, Vice Chairperson and five members
to be nominated by the Central Government, with at least one expert from the field of law, one 20
expert in the field of cyber technology and one person with experience in law enforcement.
(3) the Central Government shall provide the Commission with a Secretary and such
officers and employees as may be necessary for the efficient performance of the functions of
the Commission under this Act.
(4) The salaries and allowances payable to, and the other terms and conditions of 25
service of, the officers and other employees appointed for the purpose of the Commission
shall be such as may be prescribed by the Central Government.
Composition 12. (1) The Chairperson and every member of the Commission shall hold office for a
of the Online period of three years from the date such person assumes office.
Sports
Gaming (2) The Chairperson or a member may, by writing under his hand addressed to the 30
Commission. Central Government, resign from the office of Chairperson or as the case may be, of the
member at any time.
(3) The Central Government shall remove a person from the office of Chairperson, Vice
Chairperson or a member referred to in sub-section (2) if that person—
(a) becomes an undischarged insolvent; 35

(b) is convicted and sentenced to imprisonment;

(c) becomes of unsound mind and stands so declared by a competent court;
(d) refuses to act or becomes incapable of discharging his functions;
(e) has in the opinion of the Central Government, so abused his position as a
member, so as to render a person's continuance in office detrimental to public interest. 40

Functions of 13. The Commission shall,—

the
Commission. (a) oversight of the functioning of Online Gaming Websites;
(b) tracking illegal Online Sports Gaming;
 7

(c) tracking suspicious betting patterns of persons including, Licensees;

(d) co-ordinating with State and Central law enforcement agencies to curb illegal
Online Sports Gaming;
(e) make periodical or special reports to the Central Government on any matter
5 pertaining to Online Sports Gaming;
(f) suggest appropriate measures to control or curb illegal Online Sports Gaming;
(g) to issue, suspend and revoke Licenses and to determine fees for License
applications and License renewals;
(h) any other matter referred to it by the Central Government.
10 14. (1) No person shall engage in Online Sports Gaming except through an Online Ambit of
Gaming Website. Online Sports
Gaming.
(2) No person shall operate an Online Gaming Server or an Online Gaming Website
without a License granted under this Act.
(3) Any person who operates an Online Gaming Server or an Online Gaming Website
15 without a License granted under this Act, shall be punishable with imprisonment for a term of
not exceeding three years and with fine as may be prescribed.
(4) Any person who engages in Online Sports Gaming except through an Online
Gaming Website shall be punishable with imprisonment for a terms of not exceeding one year
and with fine as may be prescribed:
20 Provided that nothing in this section shall cover any person providing backend services
in India, including hosting and maintenance services, for any international betting website
based outside India.
Explanation.—For the purposes of this Act, the expression "Online Sports Gaming"
shall not include any form of wagering, betting, gaming or gambling in relation to events
25 which are not in relation to a sporting event.
15. (1) Any person desiring to obtain a License shall make an application in writing to License for
an Online
the Commission, in such form and manner as may be prescribed. Gaming
(2) On receipt of the such application the Commission may, after making such inquiry Server or an
Online
as it considers necessary, by order in writing, either grant the License or refuse to grant the Gaming
30 License, assigning reasons for its decision. Website.

16. (1) A License, unless it is cancelled or surrendered, shall remain in force for such Cancellation
period, not exceeding five years, as may be specified in it. or Surrender
of the
(2) A Licensee may surrender the License through a notice in writing to the Commission. License.

(3) The cancellation, surrender, or expiry of a License shall not affect any liability for
35 anything done or omitted to be done before the date on which it ceases to have effect.
17. An applicant for the License shall pay to the Commission such amount as may be Fee for the
prescribed as application fee for the grant of the License. License.

18. The License shall not be capable of being assigned in any form or in any manner. Non-
assignment of
the License.

19. The Commission may, on application made to it, renew the License granted under Renewal of
40 this Act, on payment of the fee prescribed for renewal of a License or refuse to renew any the License.
such License after assigning the reasons for refusal in written order.
 8

Suspension or 20. (1) The Commission may, at any time, after giving the Licensee a reasonable
Cancellation opportunity of being heard, suspend or cancel the License on any one or more of the
of the
License.
following grounds, namely:
(i) That there has been a breach of any of the conditions subject to which the
License was granted. 5

(ii) That the Licensee has contravened any of the provisions of this Act or rules
made thereunder.
(2) Whenever a License is suspended or cancelled, the Commission shall record the
reasons for such suspension or cancellation and furnish a copy thereof to the person whose
License has been cancelled or suspended. 10

(3) If the Licensee is found to have breached any of the conditions of the License,
then the Licensee be punished with such fine as may be prescribed.
Maintenance 21. The Licensee shall maintain accounts relating to Online Sports Gaming in such
of accounts manner and submit it to the Commission as may be prescribed.
relating to
Online Sports
Gaming by
the Licensee.

Conditions of 22. (1) If any person, other than the Licensee while engaging in Online Sports Gaming 15
the License. through Online Gaming Website, commits a breach of any of the conditions of the License as
exhibited or of the rules to be observed in playing such games, such person shall be punished
with fine as may be prescribed.
(2) The Licensee shall exhibit on the approved website, the conditions subject to
which the License was granted, and all rules governing the conduct of Online Sports Gaming. 20

Request by 23. (1) The Commission may request the police to investigate any acts of violations of
the
the sections under this Chapter.
Commission
for (2) It shall be lawful for any police officer, not below the rank of Deputy Superintendent
investigation.
of Police, to search premises and to seize materials in accordance with the provisions of the
Code of Criminal Procedure, 1973. 25

Cognizable 24. All offences under this chapter shall be cognizable and bailable.
and bailable
offences.

Foreign 25. The Central Government may, by notification permit Foreign Direct Investment
Direct
including technological collaboration in licensed Online Sports Gaming, subject to any
Investment in
Online Sports conditions or restrictions as may be prescribed.
Gaming.
Rule-making 26. (1) The Commission may, in consultation with the Central Government, make rules 30
powers of the for carrying out purposes of Chapter III of this Act.
commission.
(2) In particular and without prejudice to the generality of the foregoing power, the
Commission may provide rules for all or any of the following matters, namely—
(i) The form and manner of making an application for a License, the fees to be
paid for its grant or renewal, and the conditions subject to which it may be granted; 35

(ii) The manner of keeping accounts relating to Online Sports Gaming, the form
in which and the intervals at which they shall be submitted to the Commission;
(iii) The restrictions or conditions with regard to the age or other conditions of
the persons who may be employed for Online Sports Gaming or may be permitted to
play such games online or otherwise take part in the organization or exhibition of such 40
games;
 9

(iv) The restrictions or conditions with regard to the admission of participants

and the fees, if any, to be charged for their admission;
(v) The type of notices to be exhibited and the manner in which they are to be
exhibited on the Online Gaming Website;
5 (vi) The restrictions or conditions with regard to providing credit facilities by the
Licensee to participants of Online Sports Gaming and the prohibition or regulation of
participation by proxy in Online Sports Gaming;
(vii) The fine to be paid by persons for violating provisions under Chapter III of
the Act; and

10 (viii) Any other matter which is required to be or may be prescribed.

CHAPTER IV
MISCELLANEOUS
27. The provisions of this Act, shall be in addition to and not in derogation of the Overriding
provisions of any other law for the time being in force and, in case of any inconsistency, the effect.
15 provisions of this Act shall have overriding effect on the provisions of any such law to the
extent of the inconsistency.
28. If any difficulty arises in giving effect to the provisions of this Act, the Central Power to
Government may, by order, published in the Official Gazette, make such provisions not remove any
difficulty.
inconsistent with the provisions of this Act, as may appear to it to be necessary or expedient
20 for removal of the difficulty.
29. (1) The Central Government may, by notification published in the Official Gazette Laying period
make rules to carry out the provisions of this Chapter; for Rules
made under
(2) In particular and without prejudice to the generality of the foregoing power, such this Act.
rules may provide for all or any of the following matters, namely:—
25 (a) the time within which a person shall inform the appropriate authority or the
police as the case may be, or team management or National Sports Federation;
(b) manner in which the complaint is to be made under clause (a) of sub-section
(1) of section 9;
(c) manner in which the complaint is to be made under clause (b) of sub-section
30 (1) of section 9;
(d) any other matter which is required to be, or may be, prescribed.
(3) Every rule made under this Act shall be laid, as soon as may be after it is made,
before each House of Parliament, while it is in session, for a total period of thirty days which
may be comprised in one session or in two or more successive sessions, and if, before the
35 expiry of the session immediately following the session or the successive sessions aforesaid,
both Houses agree in making any modification in the rule or regulation or both Houses agree
that the rule or regulation should not be made, the rule or regulation shall thereafter have
effect only in such modified form or be of no effect, as the case may be, so however that any
such modification or annulment shall be without prejudice to the validity of anything previously
40 done under that rule or regulation.
 STATEMENT OF OBJECTS AND REASONS
India has a rich heritage with a diverse range of sports. Sports is not only an important
source of entertainment, but it also imparts values of hard-work, discipline and of co-
operation. It encourages social cohesion, and is an important catalyst in bringing societies
together. Sports contributes to national integration and is a significant component of a
country's soft power. The proliferation of sports also helps in creating employment, and
enables people to make a living using their mental and physical skills and talents.
The integrity of sports is essential to preserve its beneficial aspects. Sports integrity
is increasingly under threat due to unabated acts of sports fraud and corruption. The existing
legal framework has failed to address the specific problem of sports fraud, and prosecutions
involving allegations of manipulation of sports have collapsed due to statutory lacunas.
Therefore, legislative measures are required to act as a bulwark against any attempt to
manipulate a sporting event, and to stringently penalize any person involved in sports
fraud. The failure to report any information regarding the attempts to commit sports fraud
must also be penalized, as such as omissions facilitate criminal activities. The legal mandate
against sports fraud should also be applicable to citizens of India participating international
sporting events, even though it may be held outside the territory of India.
Sports is a major source of commerce and revenue for many entities, especially in the
field of betting or gaming in connection with sporting events. Studies estimate that the
market for online gaming in India will rise to $1 billion by 2021. The increasing commercial
nature of sports, increases the possibility of vested interests manipulating sporting events
in order to accrue financial gains. A complete prohibition on betting on sports has not been
a successful approach in many jurisdictions, rather it has driven the market further into the
black economy. The law must adopt a regulatory approach and establish a regulatory
framework, to effectively demarcate the lines of permissible conduct in the field of betting or
gaming in connection with a sporting event.
Betting and gambling are State Subjects however, the Parliament of India has the
legislative competence to enact a law to govern online betting and gambling in light of its
powers under Entry 31 of List 1 of the Seventh Schedule to the Constitution, as explained in
the 276th Report of the Law Commission of India. The need of the hour is a comprehensive
regulatory framework, overseen by a competent regulatory body, to check the flow of black
money in online sports gaming, and to curb any illegal activities in connection with it. Apart
from the check on criminal activities, the regulation of online sports gaming may encourage
investment in the sector, which in turn can lead to technological advancements as well as
revenue and employment generation.
Hence, this Bill.
NEW DELHI; SHASHI THAROOR
November 20, 2018

10
 FINANCIAL MEMORANDUM
Clause 11 of this Bill provides for establishment of the Online Sports Gaming
Commission. The Bill, therefore, if enacted, would involve expenditure from the Consolidated
Fund of India. It is estimated that a recurring expenditure of about one hundred crore per
annum from the Consolidated Fund of India.
No non-recurring expenditure is likely to be involved.

11
 MEMORANDUM REGARDING DELEGATED LEGISLATION
Clauses 11, 25 and 28 of the Bill empower the Central Government and the Online
Sports Gaming Commission, respectively to make rules for carrying out the purposes of this
Bill. As the rules will relate to matters of detail only, the delegation of legislative power is of
a normal character.

12
 LOK SABHA

————

BILL
to establish an effective regime to maintain the integrity of Sports in India by preventing
and penalizing Sports Fraud, regulation of Online Sports Gaming; and for matters
connected therewith or incidental thereto.

————

(Dr. Shashi Tharoor, M.P.)

MGIPMRND—2415LS(S3)—24-12-2018.