India: Odisha scraps jail term for gambling offences, replaces it with fines

Indian state of Odisha has removed imprisonment for gambling offences and replaced it with monetary penalties under a new law passed by the state assembly, marking a shift toward financial deterrence for minor violations and aligning with national efforts to modernise criminal procedures.

The Odisha Jan Vishwas (Amendment of Provisions) Bill 2025, approved on Tuesday, eliminates jail time for all categories of gambling offences. The move follows the Union government’s Promotion and Regulation of Online Gaming Bill, 2025, which received presidential assent in August and seeks to promote e-sports and social gaming while banning money-based games and related transactions.

Under previous state law, anyone caught gambling could face a mandatory one month in jail and a ₹100 ($1.11) fine, with more serious cases attracting up to six months’ imprisonment and higher penalties. The amended law introduces a graded system of fines instead, starting at ₹5,000 ($55.63) for basic violations and rising to ₹75,000 for serious offences.

State officials said the overhaul is part of a wider push to update outdated laws and reduce the burden of short-term incarceration on citizens and the criminal justice system. They argue that financial penalties act as a stronger deterrent than brief jail terms and allow law enforcement to focus on more serious crimes. The reform also dovetails with national initiatives to simplify criminal procedures and reduce unnecessary jail time for minor infractions.

The decision drew criticism from opposition legislator Ranendra Pratap Swain, who warned that easing penalties could encourage gambling activity. He said the changes undermine earlier efforts to curb gambling and risk allowing offenders to “pay a fine and walk away,” reducing accountability at a time when the central government is tightening oversight of online gaming.

The ruling party rejected those concerns. Its leader Irasis Acharya called the opposition’s objections “politically motivated” and said the new framework would improve transparency and enforcement. The government aimed to create a modern legal environment that reflects current social and economic realities, he said, adding that higher fines would discourage violations without overloading courts and jails.

Odisha is among several Indian states reviewing legacy gambling laws as digital gaming expands and regulators seek clearer distinctions between games of skill and games of chance.