Amid allegation that certain clubs, registered under the Companies Act, and operating in State border areas have been promoting gambling in a big way, Home Minister Basavaraj Bommai on Thursday told the Legislative Council that the government was committed to taking action against such clubs. He also acknowledged that such clubs coming up now has become a problem in border areas.
“We will appeal to the court that has issued orders earlier to enable clubs to function but with a host of riders. Clubs are taking benefit of lacunae in the gambling Act. We need to strengthen the Act as well and we will do it,” he told the Council when question on operation of three clubs in Raichur came up for discussion. “The clubs are using tokens instead of money to circumvent the court order that strictly stipulated money should not be involved,” he added.
According to the Minister, while DVR Recreational Club was started in 2014, two clubs — Nandi Sports and Social Association Club — came up in 2018.
Congress member Basavaraj Patil Itagi, who raised the issue, said that despite best efforts, these clubs registered under the Companies Act were thriving. “As much as 25 acres has been taken on lease by one of the clubs just to enable parking space. Hundreds of cars ferry people from Hyderabad, Visakhapatnam, and Vijayawada. They are using corrupt means to continue their business,” he said.
Adding to the discussion, another member from Raichur, N.S. Boseraju said these clubs have mushroomed in border areas because Telengana has banned clubs, and most of those running these clubs are from Telengana and Tamil Nadu. “Licences have been issued to three more clubs. They need to be controlled.” He alleged that one of the clubs had even offered him protection money in the past.
In response, Mr. Bommai said the State government was committed to taking a decision to stop such activities.