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Violating the Bill can lead to up to three years’ imprisonment and a Rs 1 crore fine for anyone offering online real money-based gaming services
The government emphasised that action will be taken against those who facilitate money gaming platforms and transactions. (Representative/News18 Hindi)
The Lok Sabha on Thursday passed the Online Gaming (Promotion and Regulation) Bill, 2025, seeking to ban real money-based online games. The government said over 450 million people lose nearly Rs 20,000 crore annually on such platforms, which will now be barred from app stores once the law takes effect.
The government has prioritised the welfare of society over revenue concerns, citing that the trend of money gaming poses a serious threat.
According to a Times of India report, a government source confirmed the annual losses of Rs 20,000 crore incurred by 450 million people due to these money games. The Bill not only bans money gaming but also promotes e-sports and online social gaming.
Gaming Authority To Be Set Up
According to the source, all Members of Parliament have expressed concern over the negative impacts of money-based online gaming. It has been reported that the government chose societal welfare over the one-third revenue generated from the industry. Furthermore, budgets, schemes, and promotional authorities will be developed to foster e-sports and social gaming, which are expected to cover two-thirds of the industry and create new employment opportunities in the online gaming sector.
Up To 3 Years Jail, Rs 1 Crore Fine
Under the Bill, state governments will be responsible for taking action against money-gaming platforms and services. Violations of the Bill could lead to imprisonment of up to three years and a fine of Rs 1 crore for those providing online money gaming services. Advertising against the rules could result in imprisonment of up to two years and/or a fine of Rs 50 lakh. Many real-money gaming platforms attempt to distinguish themselves from gambling by claiming they are “games of skill”.
The government emphasised that players will not be punished, but action will be taken against those who facilitate money gaming platforms and transactions.
Previous attempts to ban money gaming through GST were unsuccessful as players circumvented the regulations. A proposal for a regulatory body also failed due to conflicts of interest.
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