The matter concerns an original suit filed by the State of Meghalaya before the apex court, raising grievance against Section 5 of the Lotteries (Regulation) Act that authorises States to prohibit the sale of lottery tickets organised, conducted or promoted by other States.
Specifically, the Meghalaya government has sought a declaration that Sections 5, 6, 7, 8 and 9 of the Lotteries (Regulation) Act and Rule 5 of the Lotteries (Regulation) Rules, 2010 are ultra vires and unconstitutional.
It has also sought injunction against States prohibiting the sale of Meghalaya-based lottery tickets.
The Meghalaya government’s plea highlighted that regulation of lotteries organised by other States fall within the domain of the Central government and States should not be allowed to ban the same.
During earlier hearings, the top court had asked whether a State banning goods from another State was permissible in a federal structure.
The counsel for the Central government had then argued that as per precedent, lotteries are a form of gambling and could be prohibited by State legislatures as a matter of policy.
Source: Barandbench
