SUPREME COURT QUESTIONS THE GOVERNMENT: CAN ONLINE GAMING BE COMPLETELY BANNED?

Introduction: The Apex Court Steps In

The Supreme Court of India has raised a critical question — can online gaming and betting platforms be completely banned in India?
This came after a Public Interest Litigation (PIL) filed by the Centre for Accountability and Systemic Change (CASC) alleged that several betting websites and gambling platforms continue to operate under the garb of “e-sports” or “social gaming.”

The bench, comprising Justice J.B. Pardiwala and Justice K.V. Viswanathan, directed the Union Government to assist the court in determining the legality and practicality of a nationwide ban on online gaming.

Background of the Case

The PIL, filed by advocate Vishal Arun Mishra on behalf of CASC, calls for a complete prohibition of online betting and gambling. It further seeks clarity on the Promotion and Regulation of Online Gaming Act, 2025, which was enacted to regulate the online gaming ecosystem.

The court asked CASC to share its entire case file with V.C. Bharathi, the panel counsel for the Union government, and scheduled the matter for hearing after two weeks.

The bench’s brief order stated:

“We request Mr. Bharathi to look into the petition and assist us on the next date of hearing.”

This marks the first direct intervention by the Supreme Court into whether the Central Government can impose a total ban on online gaming and betting.

The Petitioner’s Arguments

The petitioner, CASC, contends that unregulated online gaming has become a national crisis.
Key points raised include:

  • Illegal Gambling Disguised as Gaming: Many platforms, while presenting themselves as e-sports or skill-based games, are effectively operating as betting sites.

  • Addiction and Mental Health Issues: Continuous gaming and betting have led to financial distress, depression, and suicides among youth.

  • Massive Financial Scale: Over 65 crore Indians are estimated to participate in online money games, generating business exceeding ₹1.8 lakh crore annually.

  • Celebrity Endorsements: The petition criticises the promotion of gambling apps by cricketers and film stars, claiming such endorsements mislead users and normalise addictive behaviour.

Demand for Action: Regulation, Blocking, and Tax Recovery

The PIL calls for the Supreme Court to direct the government to:

  1. Block all unlawful betting and gambling websites under Section 69A of the Information Technology Act, 2000.

  2. Instruct the RBI, NPCI, and UPI platforms to stop processing transactions linked to offshore or unregistered gaming companies.

  3. Recover over ₹2 lakh crore in unpaid taxes from these operators via ED, CBI, and Interpol investigations.

  4. Ensure protection of children’s data and restrict app stores (Google Play, Apple App Store) to list only licensed and approved gaming apps.

Legal Framework: Promotion and Regulation of Online Gaming Act, 2025

The Promotion and Regulation of Online Gaming Act, 2025, enacted by Parliament, is the first national framework to govern online gaming in India.

Key Provisions:

  • Distinction Between Skill and Chance: It differentiates between legitimate e-sports/casual games and real-money gambling.

  • Ban on Real-Money Games: Prohibits all real-money betting and advertising.

  • Penalties:

    • Up to 3 years’ imprisonment and ₹1 crore fine for service providers.

    • Up to 2 years’ imprisonment and ₹50 lakh fine for advertisers or promoters.

  • Regulatory Oversight: The Online Gaming Regulatory Authority (OGRA) ensures compliance and licensing.

Relevant Statutes

  1. Article 19(1)(g) of the Constitution – Protects the right to carry on trade or business but allows reasonable restrictions in the interest of morality and public order.

  2. Article 21 – Guarantees the right to life, which includes mental well-being; gambling addiction threatens this right.

  3. Article 47 – Directs the State to prohibit intoxicating and harmful activities.

  4. Section 69A, IT Act (2000) – Empowers the government to block websites promoting illegal betting.

  5. Indian Penal Code (Bharatiya Nyaya Sanhita) – Sections related to cheating, fraud, and abetment may apply to operators and endorsers.

Judicial Precedents

  • Dr. K.R. Lakshmanan v. State of Tamil Nadu (1996) – The Supreme Court distinguished between games of skill (permissible) and games of chance (gambling).

  • State of Andhra Pradesh v. K. Satyanarayana (1968) – Upheld rummy as a game of skill, not gambling.

  • All India Gaming Federation v. State of Karnataka (2022) – The Karnataka High Court struck down a blanket ban on online gaming, stating that skill-based games cannot be equated with gambling.

  • State of Tamil Nadu v. Junglee Games (2021) – The Madras High Court also quashed a similar prohibition law as unconstitutional.

These rulings underline that while gambling can be banned, skill-based games deserve legal recognition — a key point the Supreme Court must reconcile now.

Why Online Gaming is Under Fire

The growing social and financial toll of online gaming has sparked demands for stricter regulation or an outright ban:

  • Youth Addiction: Continuous gaming leads to behavioral and psychological issues.

  • Financial Exploitation: Real-money games drive players into debt traps.

  • Cybercrime and Fraud: Unregulated offshore platforms facilitate money laundering and illegal fund transfers.

  • Moral and Social Impact: Families face severe consequences — suicides, broken relationships, and financial ruin.

The Government’s Position

Represented by Solicitor General Tushar Mehta, the Union Government informed the court that similar petitions are pending before High Courts of Delhi, Karnataka, and Madhya Pradesh.

The Supreme Court has since transferred all cases to itself for uniform adjudication, noting that the 2025 Act has received Presidential assent, and thus its enforcement is a constitutional function.

Constitutional Dilemma: Freedom vs. Protection

The issue lies at the intersection of constitutional freedom and social welfare.
While gaming companies argue protection under Article 19(1)(g) (freedom of trade), the State invokes Article 47 to curb activities detrimental to public health and morality.

The court’s verdict will define the future of the ₹1.8 lakh crore online gaming industry and determine whether India takes the route of complete prohibition or regulated licensing.

Conclusion: Between Innovation and Addiction

India stands at a crossroads — between technological innovation and social protection.
While online gaming offers entertainment and economic growth, its darker underbelly of addiction, fraud, and exploitation cannot be ignored.

The Supreme Court’s ruling on this PIL will be a landmark judgment, deciding whether India embraces strict regulation or opts for an outright ban to safeguard its citizens.


Location: Pune, Maharashtra, India

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