Bihar's new anti-gambling law conflicts with central act, creating legal overlap

Bihar has become the first state in India to notify a new anti-gambling law following the central government's Promotion and Regulation of Online Gaming (PROG) Act coming into force on August 13. This development creates a direct overlap where both state and central laws apply, with the Centre asserting overriding authority.

The new Bihar Gambling (Prohibition) Act, 2026, repeals the 159-year-old Public Gambling Act and bans all forms of gambling, both offline and online, without exempting games of skill. Consequently, a constitutional challenge to the PROG Act is still pending before the Supreme Court of India.

Technology and gaming lawyer Jay Sayta explains that state laws have historically carved out exceptions for skill-based games, creating conflicts with central legislation. For instance, laws in Haryana and Chhattisgarh previously explicitly protected games of skill, unlike the approach now taken in Bihar.

Sayta suggests that the US model, where states regulate intrastate gaming and federal law only intervenes in interstate or international transactions, could be applicable in India. PROG Act could focus on cross-border cases, while states handle internal regulations.

The Supreme Court's recent judgment in the Junglee Games case affirmed that gambling is a state subject. This allows states to either ban all games played for money or create carve-outs for skill-based games, a choice Bihar has made by not creating any exceptions.