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Validity and procedure for sales promotion scheme through lucky draw?


29-Sep-2023 (In Startup Law)
Hi experts, I want to start a Lucky Draw system in Ambala City (Haryana) and want your legal advice. We are the manufacturer and trader of Electrical Home Appliances. For the promotion of our products such as 32” LED TV, Hand Blenders, Juicer mixer Grinders and Choppers, I want to organise a Lucky Draw system of 3000 people in which every person will give an instalment of Rs 1500/- every month for 12 months. Beside giving 5 LED TV every month plus any 3 products such as Activa, Bullet, Splender, CD Deluxe or Car which will also be given through draw every month. A total of 2955 LED TV and 12 HomeKits comprising 1 Geyser, 1 Washing Machine, 1 R.O., 1 Laptop, 1 JMG, 1 Hand Blenders,1 Choppers etc. 1 Car, 8 Enfield, 4 Pulser, 5 Splender, 13 Activa, 1 CD Deluxe and 1 Laptop will be given through draw to boost the scheme. Total 3000 prizes. Every one will get the product of Rs.18000/- or above. I had read about "Haryana Private Lotteries Prohibition Act, 1993" but not clear.
Answers (1)

Answer #1
561 votes
The Case is very complicated so it needs a closer review. It is necessary to review the matter as a part of the specific state law for sales promotion. The Promoter needs to registered as a shop establishment.

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