" Quoting from the Raj Committee they said, "Conventional Chits and Prize Chits are different categories with different financial features and different damaging effects." Again the Court, while pointing out that in its pith and substance the legislation was not aimed at banning lotteries which the State legislature had jurisdiction to do but was aimed at banning a 'special specie of contracts with sinister feature ' while the Parlia ment was competent to do, further observed. "So viewed, it is easy to accept the submission of the Union of India that Parliament wanted to restrict and prohibit certain types of contracts because of the noxtious element of gambling and lottery implicit therein and apt to entice the credulous and uncautious." So, the Court was of the view that the was designed to fight the baser human instinct of gambling aroused by the prize element involved in the banned transactions The Court concluded that it was the prize element that brought it within the mischief of the Act and that without the prize element it would be no different from a Conventional Chit, considered harmless by the Parliament.