Government proposes New Law to regulate Online Gaming and Betting

Prepend to the content

The Indian government is taking steps to introduce stricter regulations on online gaming, gambling, betting, and lotteries amid rising concerns. The Ministry of Home Affairs (MHA) has initiated discussions to assess the need for a central law to regulate these activities.

According to a report by News18, senior officials from the MHA recently held a meeting, which included representatives from various agencies such as the Intelligence Bureau. It was decided that the Indian Cyber Crime Coordination Centre (I4C) will compile a report evaluating the necessity of new legislation. The findings of this report will help determine future regulatory measures.

Currently, online gaming regulations fall under the Ministry of Electronics and Information Technology (MeitY) through the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021. These rules impose compliance obligations on gaming platforms, and failure to adhere to them can lead to the loss of exemption from liability for third-party content.

Government Raises Concerns Over Fraud and Cybersecurity in Online Gaming

Government officials have raised concerns over fraudulent practices, including manipulation of gaming outcomes, financial fraud, money laundering, and unauthorized data access. Several online gaming platforms are already under scrutiny for such activities. Celebrities endorsing illegal gambling platforms may also face accountability under potential new regulations.

The government has identified multiple risks linked to online gaming and gambling applications, such as financial losses, privacy breaches, addiction, and exposure to scams. Offshore gambling applications, in particular, are being reviewed for misleading advertisements and unauthorized financial transactions. Additionally, there is a lack of player protection measures, grievance redressal mechanisms, and age restrictions on certain platforms.

Authorities have also highlighted cybersecurity concerns, noting that some gaming applications request access to system files, posing a risk of hacking. Sharing personal information in gaming chats and forums further increases users’ vulnerability to scams. To mitigate these risks, the government is considering implementing strong legal safeguards to enhance data security and ensure user protection.

While there has been no official confirmation from the Union Home Ministry on the timeline for the proposed law, experts believe regulatory changes are imminent. The government aims to establish a comprehensive legal framework that ensures transparency and protects consumers engaging in online gaming and betting.

As deliberations continue, industry stakeholders and gaming companies await further clarity on the proposed regulations and their potential impact on the sector. The final decision will be based on the findings of the I4C report and subsequent government discussions.

The post Government proposes New Law to regulate Online Gaming and Betting appeared first on G2G News.