Gambling/Betting Law in Nepal

Introduction to Gambling Law in Nepal

Gambling is an activity where Individuals tend to risk their money or other valuables in an unpredictable outcome or consequence with the expectation of earning more than the risked money.

In the context of Nepal, the National Penal Code has defined Gambling as the participation in a game or activity that involves betting with the possibility of gaining, losing, or winning Property or other valuables solely on Chance.

It has also incorporated bets or wagers made by Individuals who aren’t personally involved in Gambling but stand to gain or lose property based on the outcome of others.

However, the following aren’t considered Gambling in Nepal:

The Act has defined “One who Causes anyone to Gamble” as an Individual or an Entity who facilitates gambling by knowingly providing a venue, room, space, or vehicle under their ownership possession, or use or by providing tools or equipment for Gambling Purposes.

1. Games that are approved by the Government of Nepal and held for Entertainment purposes during Public Events such as festivals, Exhibitions, and other gatherings. However, the amount of Property won or lost should be minor.
2. Lotteries that are authorized and Regulated by the relevant regulatory Body.

Gambling Law in Nepal

Section 125 Sub-Section 1 of the Penal Code has prohibited Gambling and no person can gamble or cause gambling in Nepal. All the instruments, tools, and devices used for gambling including Movable and Immovable Properties that are earned from Gambling need to be forfeited.

The Punishment prescribed by the Penal Code for gambling are as follows: If the Individuals who have committed Gambling have been convicted for the First Time, they are liable to a term of Imprisonment not exceeding three months or a fine of up to NPR 30,000 for either gambling or causing someone to gamble.

However, if the Individual has repeated gambling and has been convicted twice, they can be imprisoned for up to one year and fined for up to NPR 50,000. If they repeatedly violate the law against Gambling, they can be imprisoned additionally for a term of up to Three Months and a fine of up to NPR 10,000.

Betting Law in Nepal

National Penal Code Section 125 Sub-Section 4 to 7 has provisions related to Betting in Nepal. Sub-Section 4 has stated that betting or encouraging betting has been prohibited in Nepal.

Betting is placing a wager where an Individual stands to either gain or lose movable, immovable property and or other forms of considerations involving Money.

This form of betting is usually triggered by the outcome of a specific party winning or losing in any game. Therefore, if one engages in activities such as betting in such a way that it is considered to be a violation of the law, it constitutes the Crime of Betting.

If an Individual is convicted for the offense of betting, the offender is liable to a sentence of a term of imprisonment for a term not exceeding one year and a fine not exceeding NPR 10,000. In the condition of repeated offense, the Court considers such repetition.