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Informist, Tuesday, Nov. 4, 2025

 

NEW DELHI – The Supreme Court Tuesday sought the government's reply to petitions against the Centre's "complete ban" on online money gaming in India and listed the case for hearing on Nov. 26. In September, the apex court had transferred to itself multiple petitions filed in the Karnataka High Court, Madhya Pradesh High Court, and the Delhi High Court against The Promotion and Regulation of Online Gaming Act, 2025.

 

On Tuesday, Advocate C. Aryama Sundaram, appearing for Head Digital Works Pvt. Ltd., said that the online gaming sector had been "shut for over a month" even though the law has not yet been notified. "Our businesses are shut for more than one month now and the law has not been notified. We request the court to hear the matter and give relief," said Sundaram.

 

Head Digital Works, which operates India's marquee gaming brand 'A23', had moved the Karnataka High Court against the government's ban on online money gaming in India. Further, Bagheera Carrom (OPC) Pvt. Ltd. had challenged the Act in the Delhi High Court, which, according to the company, was promulgated in haste, without consultation with stakeholders and in violation of the fundamental rights, due process of law, federal principles and the doctrine of separation of powers.

 

In addition, Clubroom 11 Sports and Entertainment had moved the Madhya Pradesh High Court challenging the 2025 Act. Therein, the petitioner argued that fantasy sports was a distinct category of online gaming that has already been upheld in several judicial pronouncements and, therefore, the government ought to regulate the sector rather than prohibit it outright.

 

The complete ban on online money games through the 2025 Act applies to games of chance, games of skill, and those that combine both. The Act prohibits advertising and promotion of such games and financial transactions related to these platforms cannot be processed by banks or payment systems. Further, the authorities will also be empowered to block access to unlawful platforms under the Information Technology Act, 2000.

 

Under the Act, strict punishments have been introduced, such as imprisonment of up to three years and a fine of up to INR 10 million for offering or facilitating online money games. Further, financial transactions linked to these games are also punishable with similar penalties. Advertising such games can attract a jail term of up to two years and a fine of up to INR 5 million under the Act. Repeat offenders face harsher punishments, including imprisonment of up to five years and fines of up to INR 20 million. Offences under key provisions will be cognisable and non-bailable, which means police can arrest without a warrant and bail is not a right.

 

The petitioners have argued that the ban was against Article 19(1)(g) of the Constitution, which grants all citizens the fundamental right to practice any profession, occupation, trade, or business. Further, the petitioners have argued that the ban on online money games was against the Right to Equality under Article 14 as it was being given discriminatory treatment, where similar physical format games were untouched. The petitioner said that the ban would cause a potential loss of over 200,000 jobs, INR 310 billion in annual revenues and over INR 200 billion in tax contributions.  End

 

Reported by Surya Tripathi

Edited by Tanima Banerjee

 

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