Centre Introduces Bill to Ban Online Money Gaming with Jail Term

Spread love

The Promotion and Regulation of Online Gaming Bill, 2025 seeks to prohibit money-based games, create a national authority for oversight

By TRH News Desk

NEW DELHI, August 20, 2025 — The Union Government on Tuesday introduced the Promotion and Regulation of Online Gaming Bill, 2025 in the Lok Sabha, seeking to create a comprehensive national-level framework for the fast-growing gaming industry while banning money-based online games.

Introduced by Electronics & IT Minister Ashwini Vaishnaw, the bill aims to promote e-sports, social and educational games while putting in place strong deterrents against online money games, which, the government says, have led to addiction, financial ruin, and even threats to national security.

The legislation proposes the setting up of a statutory Authority to regulate and categorise different forms of online gaming. The body will recognise and register e-sports and social games, lay down standards for events, support training academies, and ensure responsible innovation.

At the same time, the bill calls for a complete prohibition on online money games — defined as games involving deposits or stakes in expectation of monetary returns. Advertising, facilitating, or promoting such games will also be banned. Banks and payment systems will be barred from processing transactions linked to money gaming platforms.

Strict penalties have been prescribed:

Up to three years’ imprisonment or ₹1 crore fine for offering online money gaming services.
Up to two years’ imprisonment or ₹50 lakh fine for related advertisements.
Repeat offenders may face up to five years in jail and ₹2 crore fine.
Offences under the bill will be cognizable and non-bailable.

The bill cites rising concerns over youth addiction, manipulative algorithms, celebrity-driven advertising, financial fraud, money laundering, and links to illegal activities, especially as many platforms operate from foreign jurisdictions beyond Indian regulatory reach.

The government has justified the law as a measure to balance innovation and public interest, highlighting the potential of India to lead in the global gaming ecosystem while protecting vulnerable groups from exploitative practices.

If enacted, the bill will also empower the Centre to block access to violative online money gaming platforms and authorise enforcement agencies to investigate and conduct searches — even in digital spaces.

The bill carries an initial capital expenditure of ₹50 crore and an annual recurring cost of ₹20 crore to operationalise the new regulatory authority.

Follow The Raisina Hills on WhatsApp, Instagram, YouTube, Facebook, and LinkedIn