The Lok Sabha on Wednesday passed the ‘Promotion and Regulation of Online Gaming Bill’, which seeks to regulate the fast-growing digital gaming sector while imposing a blanket ban on online money games. Union IT Minister Ashwini Vaishnaw said the legislation categorises online gaming into three segments — e-sports, online social games, and online money games.
“E-sports are rapidly gaining prominence and will now receive legal recognition. Online social games like Solitaire, Chess or Sudoku, played without monetary stakes, will also be promoted for family and friendly interaction,” Vaishnaw said.
The minister, however, flagged concerns over money games. “They have become a major societal concern due to addiction and financial losses, leading even to suicides. Algorithms are opaque, and families are being devastated. Terror financing and money are also linked,” he said.
The Bill proposes to prohibit offering, operating, advertising or facilitating money games, whether based on skill, chance, or both. Players will not face punishment, but service providers, advertisers, promoters and financiers will.
Penalties include imprisonment of up to three years and/or fines of up to ₹1 crore for operating such games. Advertising them may invite up to two years in jail and fines of up to ₹50 lakh. Repeat offences could attract up to five years’ imprisonment and fines of up to ₹2 crore. Offences will be cognisable and non-bailable.
The legislation aims to promote e-sports as a legitimate form of competitive sport, with the Ministry of Youth Affairs and Sports tasked with creating a framework.
Despite protests and slogans from Opposition benches, the Bill was passed by a voice vote.
ANI