A New Delhi high court legalized gay sex between consenting adults, saying an Indian law making such acts a criminal offense violated fundamental rights.

However, the Press Trust of India reported the court Thursday let stand a section of the Indian Penal Code criminalizing homosexuality in non-consensual sex. That would include pedophilia.

The colonial era law was enacted in 1860, other reports said.

"We declare section 377 of IPC in so far as it criminalizes consensual sexual acts of adults in private" violates the Constitution, a two-judge bench of Chief Justice A P Shah and Justice S. Murlidhar said in their landmark ruling.

The decision, while applying only to New Delhi, is a victory for basic rights to privacy, non-discrimination, and liberty, Human Rights Watch in New York said, noting it is the first time a senior court in India has issued a decision on the law. The group said the ruling is likely to influence the legal establishment across the nation.

"No one can label us as criminals now,'' a gay rights activist told the Times of India. "The thought that we can't be harassed on the pretext of law is a big relief."

There were similar celebrations in other major cities of the country, the report said, adding several gay activists said the ruling would allow many gays to come out of the closet.

"It cannot be forgotten that discrimination is antithesis of equality and that it is the recognition of equality which will foster the dignity of every individual,'' the ruling said.