Online Gaming Act
On Monday, September 8, 2025, the Supreme Court will consider a petition contesting the Online Gaming Act. In order to hear the petitions contesting the Promotion and Regulation of Online Gaming Act 2025, which deals with online gaming, the Central Government went to the Supreme Court. A bench headed by Chief Justice BR Gavai of the Supreme Court heard the case on September 4. On September 8, the court had mandated that it be scheduled for hearing. According to the institute, the legal situation could become more complicated if hearings are held in multiple High Courts because there may be competing rulings. Actual-moneya games—those played with actual money—are strictly prohibited under this regulation. The Karnataka, Delhi, and Madhya Pradesh High Courts have received petitions challenging this. To prevent disparate rulings, the central government has asked the Supreme Court to transfer these petitions all to the Supreme Court or to a single High Court.
High Court Challenges to Online Gaming Law
Three businesses have challenged this law in petitions submitted to various High Courts:
Madhya Pradesh High Court: This law has being contested in the MP High Court by Clubbom 11 Sports and Entertainment. Boom11 is an online fantasy sports platform run by this business.
Karnataka High Court: Head Digital Works has petitioned the Karnataka High Court to overturn this rule. The court’s hearing regarding its plea for interim relief is set for September 8. A23 Rummy is an online rummy platform run by Head Digital Works.
Delhi High Court: The Delhi High Court has received a petition against this law from the online carrom platform Bagheera Carrom.
Karnataka High Court Requests Central Government Reaction
During the August 30 hearing, the Karnataka High Court requested that the central government reply to the online gaming company A23’s suit contesting the Online Gaming Act 2025. The new law that outlaws internet gambling with real money in India was contested in this petition.
If the industry closes down unexpectedly, there will be catastrophic consequences.
While hearing the matter, Justice B.M. Shyam Prasad issued a notice to the center and permitted the petitioners to present their arguments on the request for interim relief. The main counsel for the petitioners contended that, notwithstanding the President’s consent, this measure has not yet been notified. On August 28, the plea was presented to the bench of Justice B.M. Shyam Prasad.
The lawyer warned that if this industry abruptly closes down, there will be catastrophic consequences. The government should either stop the notification or provide at least a week’s notice so that we can go to court. Meanwhile,
On August 22, the President approved the Online Gaming Bill.
On August 22, the President approved the Online Gaming Bill 2025. It is now a law. The Promotion and Regulation of Online Gaming Bill 2025 was adopted by the Lok Sabha the day before and by the Rajya Sabha on August 21. Ashwini Vaishnaw, the Minister of Electronics & Information Technology, introduced this bill.
According to A23, the new law infringes against fundamental rights.
According to Head Digital Works, the parent firm of A23, this rule also prohibits skill-based games like poker and rummy. In India, the Supreme Court and a number of High Courts have seen skill-based games as distinct from gambling for the past 70 years. A23 contends
The real money format accounted for 86% of the online gaming market’s income.
At now, the Indian online gaming sector is valued at approximately ₹320 billion. The real money format accounts for 86% of this revenue. By 2029, it was anticipated to have grown to over ₹800 billion. However, the government has recently banned games that use real money.
According to industry insiders, this government action may jeopardize two lakh jobs. Additionally, the government might lose about ₹20,000 in taxes annually.
