The Supreme Court on Wednesday upheld the powers of states to regulate and ban online gaming involving betting and wagering, setting aside earlier judgments of the Madras and Karnataka High Courts that had quashed state laws restricting online rummy and poker played with stakes.A bench led by Justice J B Pardiwala said the high courts had committed an error in striking down the legislations enacted by the Tamil Nadu and Karnataka governments.Also Read: SC upholds govt retrospective 28% GST levy on online gaming companiesReading out the judgment, the Court observed that even games involving substantial skill could be regulated if they adversely affect public wellbeing.“If games of substantial skill create problems for the wellbeing of the masses, then states are empowered to legislate upon,” the bench said.The Court further held that betting and wagering activities are not entitled to constitutional protection even if they are linked to games of skill.“Betting, wagering not entitled to protection, even if games of skill,” the bench observed, adding that “tranquility of public is to be restored”.The apex court set aside the judgments of the Madras High Court and Karnataka High Court that had earlier struck down provisions banning online gaming with stakes in the two states.The Supreme Court also said online gaming operators are not merely facilitators or intermediaries, but suppliers of actionable claims that are amenable to Goods and Services Tax (GST).