The statute in question is a British colonial-era law outlawing "carnal intercourse against the order of nature." Conviction carried a fine and a maximum 10-year jail sentence. Although prosecutions were rare, gay activists said police used the law to harass and intimidate members of their community. The High Court ruling was made on a petition brought by the Naz Foundation, a gay advocacy group fighting for equal rights and AIDS awareness.

While the ruling is non-binding outside the Indian capital, lawyers supporting the petition said it set a precedent that effectively decriminalized consensual gay sex nationwide.

The petition had been staunchly opposed by religious groups, particularly leaders of India's Muslim and Christian communities who argued that all homosexual acts were "unnatural' and should therefore be banned.

Gay sex has long been a taboo subject in conservative India, where many still regard homosexuality as an illness.

In recent years, however, the country's largely closeted homosexual community has raised its profile, organizing gay pride marches in major cities such as New Delhi and Mumbai.

"I feel very proud to be an Indian today. This was a very just ruling," said openly gay fashion designer Wendell Rodericks.

"The entire legal community was in favor, I think, of the act being declared legal if it was between consenting adults," Rodericks said.

The Indian government has offered mixed messages on its policy regarding the decriminalization of gay sex, with some ministers speaking out in favor of the petition, only to be contradicted by others in the cabinet.

"The government can't ignore this," Naz Foundation executive director Anjali Gopalan told reporters after the ruling was announced.