An illegal gambling scheme known as “Kotukapeema” or box-cutting has emerged as a growing national concern, with officials warning that the practice has expanded from small-scale rural betting into a widespread and increasingly sophisticated operation.
An illegal gambling scheme known as “Kotukapeema” or box-cutting has emerged as a growing national concern, with officials warning that the practice has expanded from small-scale rural betting into a widespread and increasingly sophisticated operation.
The issue came to light during proceedings involving the National Lotteries Board, where officials highlighted the growing scale of the illegal gambling network and its potential impact on individuals, families and the country’s legal lottery industry.
According to officials, the scheme initially involved small wagers but has expanded significantly, with bets in some areas reportedly reaching hundreds of thousands of rupees. The social and economic damage caused by the activity has been compared to the effects of drug addiction.
The illegal operations reportedly use the results of legitimate lotteries while operating outside the legal lottery system. Organisers are said to use social media platforms and messaging groups to attract participants and conduct betting. Some operators reportedly make false claims that they possess “fixed” or predetermined winning numbers.
Officials have also raised concerns over weaknesses in the existing legal framework. Since the operations are increasingly conducted through digital platforms and make use of manipulated interpretations of legitimate lottery results, authorities face difficulties in taking effective legal action.
The National Lotteries Board has reportedly called for stronger intervention by the Ministry of Finance, as well as specialised anti-corruption and crime investigation authorities, to tackle the spread of the illegal gambling networks.
The scheme is also believed to be placing a serious financial burden on vulnerable families. Officials have received reports of people losing homes, land and savings after becoming involved in the illegal betting operations.
In some cases, money intended for food, household expenses and other essential needs is reportedly being used for gambling, further deepening financial hardship.
The National Lotteries Board has warned that continued expansion of these unregulated gambling operations could cause lasting damage to families while also undermining the credibility and revenue of the country’s legitimate state lottery institutions.
