Experts Call for Clear Appeals Process in Wake of Goa’s Tougher Casino Penalties

Why the Crackdown?

The new rules come after recent incidents of illegal live gaming at land-based casinos, triggering criticism from lawmakers and the public. The tipping point was a covert video presented in the state assembly by Goa Forward Party MLA Vijai Sardesai, showing active live gaming at an onshore casino — a clear violation of current laws.

This prompted a police raid at Puppy’s Casino Gold in Candolim in early August 2025. Authorities arrested 11 individuals, including staff and patrons, and seized gambling paraphernalia worth approximately ₹3.5 million (~$42,000), including poker tables, cards, chips, screens, and shufflers. The incident led to formal charges under the Goa, Daman and Diu Public Gambling Act of 1976, highlighting the urgent need for stronger enforcement mechanisms.

Legal Reforms and Enforcement

The revised rules now empower the Goa government to impose substantial fines ranging from ₹2.5 million to ₹7.5 million for license violations — a significant update to a law that previously only allowed suspension or cancellation of licenses, but not monetary penalties.

These measures reflect the government’s intent to balance Goa’s economic dependence on tourism and gaming with responsible governance and legal compliance.

Legal Expert Insights

In an interview with SiGMA News, legal expert Srinivas Kotni weighed in on the implications of the regulatory changes:

SiGMA News: How do these amendments reshape the legal landscape for Indian casino operators?

Kotni: These fines represent a sharp escalation in regulatory enforcement. They introduce an economic disincentive strong enough to compel casino operators toward robust compliance. Operators will now need to:

• Proactively audit operations — from customer onboarding to gameplay compliance
• Incorporate regulatory risk into financial planning, including potential insurance
• Prepare for more frequent and aggressive government inspections

SiGMA News: What challenges do small operators face under the new regime?

Kotni: For smaller players, fines of up to ₹7.5 million can be disproportionately damaging. They should advocate for:

• Proportional penalties based on offense severity
• Tiered fine structures to avoid one-size-fits-all punishments
• Financial hardship considerations to protect viability
• Incentives for voluntary compliance, such as fine waivers for self-reporting and remediation

SiGMA News: What procedural safeguards should accompany these new penalties?

Kotni: Fair and transparent enforcement is essential. Recommended safeguards include:

• Formal notice and hearing process, with clear violation evidence and time for rebuttal
• Right to appeal, with a clearly defined escalation process
• Independent adjudication by a regulator or gaming commissioner, not direct enforcement bodies
• Public penalty guidelines to reduce subjectivity
• Relief for otherwise-compliant operators, such as fine reductions

Legislative Context and Industry Impact

The Goa, Daman and Diu Public Gambling Act of 1976 remains the core legal framework for casino regulation. While most legal casinos in Goa operate aboard anchored ships on the Mandovi River, select land-based venues function under special licenses. The updated law seeks to close enforcement loopholes and provide a legal basis for financial penalties, previously absent.