Content Writer: Janice Chew • Monday, 25/10/2025 - 13:59:50 - PM
India has recently moved to formalize its prohibition of online money-gambling via the draft rules under the Promotion and Regulation of Online Gaming (PROG) Act, 2025, published by the Ministry of Electronics and Information Technology (MeitY). The draft defines “online money games” as those involving user deposits, stakes or wagers in expectation of monetary return, and bars both offering and advertising such platforms. To enforce this, violations would be non-bailable offences, authorized officers would have powers for warrantless searches, and companies can face stringent penalties both criminal and financial.
A key institutional change proposed is creation of an Online Gaming Authority of India, to function as a statutory regulator for classifying, registering, and overseeing permitted social games and e-sports, while maintaining a national registry of banned money games. The Authority would also have powers to suspend or cancel registration, direct banks and payment systems to block offending games, and enforce compliance with grievance redressal mechanisms. MeitY is inviting public comments on the draft rules until October 31, 2025, indicating some openness to stakeholder feedback before finalization.
The industry and legal commentators have begun weighing both opportunities and risks. On one hand, the ban has already forced operators to retrench — for instance, Flutter shut down its Indian real-money gaming operations following the law’s passage. Some esports and non-monetary gaming firms argue that with clearer rules, the sector can pivot toward legitimate gaming and attract investment. On the other hand, legal critics warn the draft may blur the distinction between games of skill and chance, raise state vs central legislative conflicts, and invite constitutional challenges over freedom of trade and speech.