Has the SC Demanded a Detailed Response from the Centre Regarding the Online Gaming Act, 2025?
Synopsis
Key Takeaways
- The Supreme Court is reviewing the constitutional validity of the Online Gaming Act, 2025.
- The Act has faced strong opposition from various gaming companies.
- Petitioners argue that the Act has significantly disrupted their operations.
- Severe penalties are outlined for violations under the Act.
- The next hearing is set for November 26, 2023.
New Delhi, Nov 4 (NationPress) The Supreme Court has instructed the Union government to submit a detailed affidavit addressing a series of petitions that contest the constitutional legitimacy of the Promotion and Regulation of Online Gaming Act, 2025.
This legislation imposes a comprehensive ban on online money games and limits banking, advertising, and related services, which has sparked considerable backlash from various online gaming firms.
During the proceedings, a bench comprising Justices J.B. Pardiwala and K.V. Viswanathan heard from the petitioner gaming companies that their business activities have effectively been stalled for over a month.
Senior advocate C.A. Sundaram, representing the petitioners, stated that the gaming firms were compelled to halt real-money contests due to the law's constraints, which also inhibit banking, advertisements, and promotions linked to online money games.
Recognizing the submissions, the Justice Pardiwala-led Bench mandated the Union government to provide a comprehensive response to the petitions contesting the new law.
The next hearing is scheduled for November 26.
The apex court also acknowledged a petition from a chess player who expressed how the law has interfered with his ability to compete in online tournaments, which serve as his primary income source.
“India is a peculiar country. You are a player. You want to play. It is your sole source of income, hence, you seek to join the proceedings,” the bench commented.
In addition to the petitions challenging the Online Gaming Act, 2025, the Supreme Court is also considering another petition aimed at taking action against online gambling platforms that supposedly operate under the guise of social and e-sports games.
The Justice Pardiwala-led Bench has scheduled this petition for hearing on November 26 as well.
Previously, in September, the apex court had taken over multiple petitions pending before the Delhi, Karnataka, and Madhya Pradesh High Courts that contest the constitutional validity of the Online Gaming Act.
The Union government sought this transfer to prevent multiple proceedings across various courts. Several online gaming companies, including Dream11, Pokerbazi, and Rummy Circle, have already stopped their real-money contests following the implementation of the new law.
Under this Act, offering or promoting such games incurs severe penalties — including fines reaching up to Rs 1 crore and imprisonment for up to three years.
During the Monsoon Session, Union Electronics and IT Minister Ashwini Vaishnaw introduced the Bill, which passed the Lok Sabha in just seven minutes and the Rajya Sabha in merely 26 minutes.
Prime Minister Narendra Modi has asserted that this legislation aims to safeguard society from the detrimental effects of online money games.