AS INTRODUCED IN LOK SABHA
Bill No. 110 of 2025
THE PROMOTION AND REGULATION OF ONLINE GAMING
BILL, 2025
A
BILL
to promote and regulate the online gaming sector including e-sports, educational
games and social gaming; to provide for the appointment of an Authority for
coordinated policy support, strategic development and regulatory oversight
of the sector; to prohibit the offering, operation, facilitation, advertisement,
promotion and participation in online money games through any computer
resource, mobile device or the internet, particularly where such activities
operate across State borders or from foreign jurisdictions; to protect
individuals, especially youth and vulnerable populations, from the adverse
social, economic, psychological and privacy-related impacts of such games;
to ensure the responsible use of digital technologies; to maintain public order
and protect public health; to safeguard the integrity of financial systems and
the security and sovereignty of the State; to establish a uniform, national-level
legal framework in the public interest; and for matters connected therewith or
incidental thereto.
WHEREAS the online gaming sector has rapidly evolved into one of the most
dynamic and fastest-growing segments of the digital and creative economy, offering
significant opportunities for innovation, cognitive development, employment
generation, technological advancement and global competitiveness;
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Short title,
extent and
commencement.
AND WHEREAS India possesses a large and growing pool of young
professionals with technological capabilities and rapidly expanding domestic
market, which together enable the country to assume a leadership role in the global
online gaming value chain;
AND WHEREAS the online gaming ecosystem comprises diverse segments,
including e-sports, casual and social games educational games and online money
games, and is currently operating in the absence of a dedicated institutional and legal
framework necessary for strategic coordination, capacity building, common
infrastructure, research and responsible innovation;
AND WHEREAS the lack of a coherent and enabling legal framework has
hindered the sector’s structured development and the promotion of responsible
gaming practices, requiring urgent policy intervention and support mechanisms;
AND WHEREAS the parallel proliferation of online money games accessible
through mobile phones, computers and the internet, and offering monetary returns
against user deposits has led to serious social, financial, psychological and public
health harms, particularly among young individuals and economically
disadvantaged groups;
AND WHEREAS such games often use manipulative design features, addictive
algorithms, bots and undisclosed agents, undermining fairness, transparency and
user protection, while promoting compulsive behaviour leading to financial ruin;
AND WHEREAS platforms offering online gaming system are often aggressively
marketed through pervasive advertising campaigns, including celebrity and
influencer endorsements, thereby amplifying their reach and impact especially
among the youth and vulnerable groups;
AND WHEREAS the unchecked expansion of online money gaming services has
been linked to unlawful activities including financial fraud, money-laundering, tax
evasion, and in some cases, the financing of terrorism, thereby posing threats to
national security, public order and the integrity of the State;
AND WHEREAS considering the deleterious and negative impact of online
money games on the individuals, families, society and the nation and given the
technical aspects including the very nature of the electronic medium used for online
money games, the algorithms applied and the national and transnational networks
involved therein;
AND WHEREAS many such services operate from offshore jurisdictions,
bypassing domestic laws, undermining state-level regulations, and presenting
significant enforcement challenges in terms of extra-territorial jurisdiction and
inter-State inconsistencies;
AND WHEREAS it is expedient in the public interest for the Union Government
to assume legislative competence over the online gaming sector to ensure the
creation of a secure, structured and innovation-friendly digital environment, while
addressing the associated risks to public health, consumer safety, public morality
and financial sovereignty;
AND WHEREAS it is necessary to clearly delineate and categorise the various
forms of online games and to provide a tailored legal framework to govern each
sub-sector of the industry appropriately;
BE it enacted by Parliament in the Seventy-sixth Year of the Republic of India
as follows:––
CHAPTER I
PRELIMINARY
- (1) This Act may be called the Promotion and Regulation of Online Gaming
Act, 2025.
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(2) It extends to the whole of India and also applies to online money gaming
service offered within the territory of India or operated from outside the territory of
India.
(3) It shall come into force on such date as the Central Government may, by
notification in the Official Gazette, appoint. - (1) In this Act, unless the context otherwise requires,––
(a) “advertisement” shall have the meaning as assigned to it in the
Consumer Protection Act, 2019;
(b) “Authority” means an Authority constituted under section 8;
(c) “e-sport” means an online game which––
(i) is played as part of multi-sports events;
(ii) involves organised competitive events between individuals or
teams, conducted in multiplayer formats governed by predefined rules;
(iii) is duly recognised under the National Sports Governance
Act, 2025, and registered with the Authority or agency under section 3;
(iv) has outcome determined solely by factors such as physical
dexterity, mental agility, strategic thinking or other similar skills of users
as players;
(v) may include payment of registration or participation fees solely
for the purpose of entering the competition or covering administrative
costs and may include performance-based prize money by the
player; and
(vi)shall not involve the placing of bets, wagers or any other stakes
by any person, whether or not such person is a participant, including any
winning out of such bets, wagers or any other stakes;
(d) “internet” means the combination of computer facilities and
electromagnetic transmission media, and related equipment and software,
comprising the interconnected worldwide network of computer networks that
transmits information based on a protocol for controlling such transmission;
(e) “notification” means a notification published in the Official Gazette
and the term “notify” shall be construed accordingly;
(f) “online game” means any game, which is played on an electronic or
a digital device and is managed and operated as a software through the internet
or any other kind of technology facilitating electronic communication;
(g) “online money game” means an online game, irrespective of whether
such game is based on skill, chance, or both, played by a user by paying fees,
depositing money or other stakes in expectation of winning which entails
monetary and other enrichment in return of money or other stakes; but shall
not include any e-sports;
(h) “online money gaming service” means a service offered by a person
for entering or playing the online money game;
(i) “online social game” means an online game which—
(i) does not involve staking of money or other stakes or
participation with the expectation of winning by way of monetary gain
in return of money or other stakes;
Definitions.
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Recognition and
promotion of
e-sport.
(ii) may allow access through payment of a subscription fee or
one-time access fee, provided that such payment is not in the nature of a
stake or wager;
(iii) is offered solely for entertainment, recreation or
skill-development purposes; and
(iv) is not an online money game or e-sport;
(j) “other stakes” means anything recognised as equivalent or
convertible to money and includes credits, coins, token or objects or any other
similar thing, by whatever name called and whether it is real or virtual, which
is purchased by paying money directly or by indirect means or as part of, or in
relation to, an online game;
(k) “person” includes—
(i) an individual;
(ii) a Hindu undivided family;
(iii) a company;
(iv) a firm;
(v) an association of persons or a body of individuals, whether
incorporated or not;
(vi) the State; and
(vii) every artificial juristic person, not falling within any of the
preceding sub-clauses;
(l) “prescribed” means prescribed by rules made under this Act;
(m) “user” means any person who accesses or avails online game.
(2) Words and expressions used but not defined in this Act but defined in the
Information Technology Act, 2000 and rules made thereunder shall have the same
meaning as respectively assigned to them in that Act and the said rules.
CHAPTER II
DEVELOPMENT AND RECOGNITION - (1) The Central Government shall take steps as it considers necessary to
recognise and register e-sports with the Authority or agency, as the case may be, as
a legitimate form of competitive sport in India and to promote and develop e-sports.
(2) Without prejudice to the generality of sub-section (1), such steps may
include—
(a) formation of guidelines and standards for the organisation and
conduct of e-sports events;
(b) establishment of training academies, research centres and other
institutions dedicated to advancement of e-sports;
(c) introduction of incentive schemes, awareness campaigns and public
outreach programmes to encourage innovation and establishment of new
enterprises to create e-sport technology platforms;
(d) coordination with State Governments and recognised sporting
federations for integration of e-sports within broader sporting policy
initiatives; and
(e) such other measures which are necessary to promote the sector, as
may be prescribed.
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21 of 2000.
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45 - (1) The Central Government shall take steps as it considers necessary to
recognise, categorise and register online social games with the Authority or agency,
as the case may be, and facilitate the development and availability of online social
games for recreational and educational purposes.
(2) Without prejudice to the generality of sub-section (1), such steps may
include—
(a) creation of mechanism for the registration of online social games;
(b) creation of platforms or programmes to support the development and
distribution of online social games;
(c) supporting initiatives aimed at increasing public access to safe and
age-appropriate social gaming content;
(d) undertaking awareness programmes to highlight the positive use of
social games for recreation, skill-development and digital literacy;
(e) coordination with State Governments and educational or recreational
institutions for promotion of social gaming as part of broader digital
engagement strategies; and
(f) such other measures which are necessary to promote the sector, as
may be prescribed.
CHAPTER III
PROHIBITION - No person shall offer, aid, abet, induce or otherwise indulge or engage in
the offering of online money game and online money gaming service. - No person shall make, cause to be made, aid, abet, induce, or otherwise be
involved in the making or causing to be made any advertisement, in any media
including electronic means of communication, which directly or indirectly promotes
or induces any person to play any online money game or indulge in any activity
promoting online money gaming. - No bank, financial institution, or any other person facilitating financial
transactions or authorisation of funds shall engage in, permit, aid, abet, induce or
otherwise facilitate any transaction or authorisation of funds towards payment for
any online money gaming service.
CHAPTER IV
AUTHORITY ON ONLINE GAMING - (1) The Central Government may, by notification, constitute an Authority
consisting of a Chairperson and such number of other Members or designate any
existing Authority or Authorities or any agency to assist it in performing any of the
functions under this Act.
(2) The Central Government may vest the Authority or agency, as the case
may be, with all or any of the following powers, namely:––
(a) to determine, on the receipt of an application from any person
offering an online game or on suo motu basis, whether a particular online game
is an online money game or otherwise, after making such inquiry as it deems
necessary;
(b) to recognise, categorise and register online games in such manner as
may be prescribed; and
(c) such other powers and functions as may be prescribed.
Recognition and
development of
online social
games.
Prohibition of
online money
game and online
money gaming
service.
Prohibition of
advertisement
related to online
money game.
Prohibition of
transfer of fund.
Establishment of
an Authority
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Penalty for
contravention.
(3) Every person offering, organising or facilitating any online game shall
comply with the directions, orders, guidelines or codes of practice issued by the
Central Government or the Authority or agency in discharge of their functions under
this Act.
(4) The Central Government may prescribe the following, namely:––
(a) composition and qualification for appointment of Chairperson and
Members;
(b) salary, allowances payable to them and their term of office;
(c) disqualification for appointment and continuation as Chairperson and
Members;
(d) resignation by Members and filling of vacancy;
(e) proceedings of the Authority;
(f) officers and employees of the Authority;
(g) powers to be exercised by the Chairperson;
(h) handling of complaints and grievances related to online games
including manner of inquiry; and
(i) any other matter to further the objective of this Act.
(5) The Authority or agency, as the case may be, may respond to the
complaints relating to online games which are prejudicial to the interests of users,
forwarded either in writing or in electronic mode.
CHAPTER V
OFFENCES AND PENALTIES - (1) Any person who offers online money gaming service in contravention
of section 5 shall be punished with imprisonment for a term which may extend to
three years or with fine which may extend to one crore rupees or with both.
(2) Any person who makes or causes to make advertisement in any media, in
contravention of section 6, shall be punished with imprisonment for a term which
may extend to two years or with fine which may extend to fifty lakh rupees or with
both.
(3) Any person who engages in any transaction or authorisation of funds in
contravention of section 7 shall be punished with imprisonment for a term which
may extend to three years or with fine which may extend to one crore rupees or with
both.
(4) If any person convicted of an offence under sub-section (1) or
sub-section (3) is again convicted of an offence under the same provision, he shall
be punished with imprisonment for the second and for every subsequent offence for
a term which shall not be less than three years, but may extend to five years and
shall also be liable to fine which shall not be less than one crore rupees, but may
extend to two crore rupees.
(5) If any person convicted of an offence under sub-section (2) is again
convicted of an offence under the same provision, he shall be punished with
imprisonment for the second and for every subsequent offence for a term which
shall not be less than two years, but may extend to three years and shall also be liable
to fine which shall not be less than fifty lakh rupees, but may extend to one crore
rupees.
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45 - Notwithstanding anything contained in the Bharatiya Nagarik Suraksha
Sanhita, 2023, offences under section 5 and section 7 shall be cognizable and
non-bailable. - (1) Where an offence has been committed by a company, every person
who, at the time the offence was committed was in charge of, and was responsible
to, the company for the conduct of that part of the business of the company as well
as the company, shall be liable to be proceeded against and punished accordingly.
(2) Nothing contained in sub-section (1) shall render any such person liable to
be proceeded against and punished accordingly under this Act, if he proves that the
offence was committed without his knowledge or that he had exercised all due
diligence to prevent the commission of such offence.
(3) Notwithstanding anything contained in sub-section (1), where an offence
under this Act has been committed by a company and it is proved that the offence
has been committed with the consent or connivance of, or is attributable to any
neglect on the part of any director, manager, secretary or other officer of the
company, such director, manager, secretary or other officer shall be deemed to be
guilty of the offence and shall be liable to be proceeded against and punished
accordingly:
Provided that nothing in this sub-section shall hold an independent director or
a non-executive director of a company who is not involved in the actual decision
making, liable for such offence.
Explanation.—For the purposes of this section, the expressions—
(a) “company” means a body corporate, and includes—
(i) a firm; and
(ii) an association of persons or a body of individuals whether
incorporated or not; and
(b) “director”, in relation to—
(i) a firm, means a partner in the firm;
(ii) any association of persons or a body of individuals, means any
member controlling its affairs thereof. - (1) Any person who fails to comply with any direction or order issued by
the Central Government or the Authority or agency under sub-section (3) of
section 8 shall be liable to penalty which may extend to ten lakh rupees or may
include suspension or cancellation of registration, and prohibition from offering,
facilitating or promoting such games for such period as may be determined by the
Central Government or the Authority.
(2) No action under sub-section (1) shall be taken without giving an
opportunity of being heard.
CHAPTER VI
MISCELLANEOUS - Every person shall comply with any direction issued by the Central
Government in relation to online money gaming services. - In case of failure to comply with the provisions of section 5, section 6 and
section 7, notwithstanding anything contained in this Act or in section 69A of the
Information Technology Act, 2000, any information generated, transmitted,
received or hosted in any computer resource in relation to online money gaming
service shall be liable to be blocked for access by the public in such manner as
provided in that Act.
Cognizance of
offences.
Offences by
companies.
Non-compliance
by any other
person.
Compliance with
direction of
Central
Government.
Blocking of
online money
gaming service.
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Power to
investigate
offences.
Search and
seizure of
property.
Protection of
action taken in
good faith.
Act not in
derogation of
any other law.
Power of Central
Government to
make rules. - Notwithstanding anything contained in this Act or in any other law for the
time being in force, the Central Government may, by notification, authorise any
officer or class of officers of the Central Government, Authority or State
Government to exercise the powers of investigation in respect of offences under
this Act. - (1) Notwithstanding anything contained in the Bharatiya Nagarik Suraksha
Sanhita, 2023, any officer authorised under section 15 may enter any place, whether
physical or digital, and search and arrest without warrant any person found therein
who is reasonably suspected of having committed or of committing or of being
about to commit any offence under this Act.
(2) Where any person is arrested under sub-section (1) by an officer other than
a police officer as referred to in sub-section (1), such officer shall, without
unnecessary delay, take or send the person arrested before a magistrate having
jurisdiction in the case or before the officer-in-charge of a police station.
(3) The provisions of the Bharatiya Nagarik Suraksha Sanhita, 2023 shall,
subject to the provisions of this section, apply, so far as may be, in relation to any
entry, search or arrest made under this section.
Explanation.—For the purposes of this section, “any place” shall include any
premises, building, vehicle, computer resource, virtual digital space, electronic
records or electronic storage device and the officer may, if necessary, gain access to
such computer resource, virtual digital space, electronic records or electronic
storage device by overriding any access control or security code, where such code
thereof is not available. - No suit, prosecution or other legal proceedings shall lie against the Central
Government or the Authority or any officer of the Central Government or any
member, officer or other employees of the Authority for anything which is done in
good faith or intended to be done under this Act or the rules made thereunder. - The provisions of this Act shall be in addition to, and not in derogation of
the provisions of any other law for the time being in force and in case of any
inconsistency of this Act with any other Act, the provisions of this Act shall, to the
extent of such inconsistency, have overriding effect over any such Act. - (1) The Central Government may, by notification, make rules to carry out
the provisions of this Act.
(2) Without prejudice to the generality of the foregoing powers, such rules
may provide for all or any of the following matters, namely:––
(a) such other measures as may be necessary to promote the sector
relating to e-sports under clause (e) of sub-section (2) of section 3;
(b) such other measures as may be necessary to promote the sector
relating to online social gaming under clause (f) of sub-section (2) of
section 4;
(c) the manner of recognising, categorising and registering online games
under clause (b) of sub-section (2) of section 8;
(d) such other powers and functions relating to powers of the Authority
or agency under clause (c) of sub-section (2) of section 8;
(e) any other matter which is required to be, or may be, prescribed, or in
respect of which provision is to be or may be made by rules.
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(3) Every rule made by the Central Government shall be laid, as soon as may
be after it is made, before each House of Parliament, while it is in session, for a total
period of thirty days which may be comprised in one session or in two or more
successive sessions, and if, before the expiry of the session immediately following
the session or the successive sessions aforesaid, both Houses agree in making any
modification in the rule, or both Houses agree that the rule should not be made, the
rule shall thereafter have effect only in such modified form or be of no effect, as the
case may be; so, however, that any such modification or annulment shall be without
prejudice to the validity of anything previously done under that rule. - (1) If any difficulty arises in giving effect to any provisions of this Act, the
Central Government may, by order published in the Official Gazette, make such
provisions not inconsistent with the provisions of this Act as may be necessary or
expedient for removing the difficulty.
(2) No order under sub-section (1) shall be made after the expiry of a period
of two years from the date of the commencement of this Act.
(3) Every order made under this section shall, as soon as may be after it is
made, be laid before each House of Parliament.
Power to remove
difficulties.
STATEMENT OF OBJECT AND REASONS
The unprecedented expansion of information and communication
technologies in recent years has resulted in the emergence of new forms of digital
entertainment and competitive participation, most prominently in the form of online
gaming. These activities have become an important means of engagement for the
youth of the country. - The online gaming sector has emerged as one of the fastest-growing
components of the creative economy, contributing significantly to innovation,
employment generation and export earnings. India possesses a large pool of skilled
young professionals, strong technological capabilities and a rapidly growing
domestic market, which together provide an opportunity for the country to assume
a leadership role in the global value chain of online gaming. - At present, the online gaming sector ecosystem has multiple segments.
These include e-sports; online social games including casual games; and education
games; and online money games. The sector operates without a dedicated
institutional mechanism for strategic support, co-ordination and capacity building.
The absence of an enabling legal framework has adversely impacted the sector’s
assured growth, development of common infrastructure, provision of specialised
training and research in emerging technologies in the sector. Therefore, there is an
urgent need to establish a structured mechanism for policy formulation, stakeholder
engagement and facilitation of development of the sector in a transparent and
coherent manner. - Parallelly, the unchecked and widespread proliferation of online money
games which readily accessible through mobile devices, computers, and the internet,
and offering monetary returns in exchange for deposited funds has led to grave
social, economic, and psychological consequences across the country. These
platforms often promote compulsive and addictive behaviour, resulting in financial
ruin, mental health disorders, and increasing incidents of fraud and exploitation. - A significant number of young persons and economically vulnerable
individuals have been adversely impacted by the seamless availability of these
games, driven by the low cost of internet access, the ubiquity of mobile and
computing devices, and the ease of app-based participation. This problem is further
exacerbated by aggressive promotional campaigns, including the use of celebrity
endorsements, which enhance the appeal and reach of such platforms. - The algorithms used in online money games are often opaque and may be
designed to manipulate user engagement surreptitiously. These games can also be
operated by bots or undisclosed agents, undermining fairness and transparency.
Reports and studies, both national and international, have highlighted the strong
association between such games and compulsive behaviours, psychological distress,
financial hardship, and the disruption of family and social life, thereby posing a
serious public health risk. - Beyond the individual, the proliferation of online money games had
deleterious affect on families, society, and the economy. In certain cases, these
platforms have been linked to illegal activities including money-laundering,
financial fraud, the financing of terrorism, and use as messaging platform for
terrorist and terrorist organisations, thereby affecting the security and sovereignty
of the State. - A plethora of online money gaming service providers operating from
offshore locations often circumvent state-specific regulations, evade taxation, and
create enforcement challenges pertaining to extra-territorial concerns for domestic
authorities and has raised complex challenges with respect to user safety, consumer
protection, cross-border operations, and inter-State regulatory inconsistencies.
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11 - Considering the deleterious and negative impact of online money games on
the individuals, families, society and the nation as outlined in the foregoing
paragraphs and given the technical aspects including the very nature of the
electronic medium used for online money games, the algorithms applied and the
national and transnational networks involved, it is prudent and practical in the
interest of general public to completely prohibit the activity of online money
gaming, rather than attempts to regulation. - In light of the scope of the development of online gaming sector on one
hand, it requires support and facilitation for an upright growth and on the other hand
due to increasing social, financial, and regulatory risks posed to the interest of the
general public by the online money gaming sector, including those relating to
consumer protection, public health, public order, and national security, it is
expedient in the public interest for the Union Government to assume control over
this emerging industry. - There is a need to clearly delineate and categorise the different types of
online games that are being offered and also to ensure that an appropriate enabling
and legal framework is created to address the issues and concerns of each of the
sub-sectors of online gaming. - Accordingly, the Bill proposes to establish a robust legal framework, not
only prohibit online money gaming in the country but also to regulate, promote and
encourage the sector for innovation and economic growth and ensure a developed,
safe and responsible digital environment for all citizens.
NEW DELHI; ASHWINI VAISHNAW.
The 19th August, 2025.
PRESIDENT’S RECOMMENDATION UNDER ARTICLE 117 OF THE
CONSTITUTION OF INDIA
[Letter No. CLDG/13/2025-CL and DG dated 19 August, 2025 from
Shri Ashwini Vaishnaw, Minister of Railways, Information & Broadcasting
and Electronics & Information Technology to the Secretary General,
Lok Sabha]
The President, having been informed of the subject matter of “the Promotion
and Regulation of Online Gaming Bill, 2025”, recommends the introduction of the
Bill in Lok Sabha under article 117(1) of the Constitution and recommends to
Lok Sabha the consideration of the Bill under article 117(3) of the Constitution.
FINANCIAL MEMORANDUM
Clause 8 of the Bill provides for the establishment of an Authority to regulate
online gaming. The Bill if enacted would involve about fifty crore rupees towards
initial capital expenditure and twenty crore rupees annually towards recurring
expenditure from the Consolidated Fund of India. The expenditure is not
quantifiable at this stage as the structure of the Authority and other aspects are not
final.
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MEMORANDUM REGARDING DELEGATED LEGISLATION
Clause 19 of the Bill seeks to empower the Central Government to make rules
to carry out the provisions of the Bill. Sub-clause (2) of the said clause specifies the
matter in respect of which rules may be made. These matters include––(a) such other
measures as may be necessary to promote the sector relating to e-sports under
clause (e) of sub-section (2) of section 3; (b) such other measures as may be
necessary to promote the sector relating to online social gaming under clause (f) of
sub-section (2) of section 4; (c) the manner of recognising, categorising and
registering online games under clause (b) of sub-section (2) of section 8; (d) such
other powers and functions relating to powers of the Authority or agency under
clause (c) of sub-section (2) of section 8; and (e) any other matter which is required
to be, or may be, prescribed, or in respect of which provision is to be or may be
made by rules.
- The matters in respect of which the rules may be made are matters of
procedure and administrative details, and as such it is not practicable to provide for
the same in the Bill itself. The delegation of legislative power is, therefore, of a
normal character.
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LOK SABHA
————
A
BILL
to promote and regulate the online gaming sector including e-sports, educational
games and social gaming; to provide for the appointment of an Authority
for coordinated policy support, strategic development and regulatory
oversight of the sector; to prohibit the offering, operation, facilitation,
advertisement, promotion and participation in online money games through
any computer resource, mobile device or the internet, particularly where
such activities operate across State borders or from foreign jurisdictions; to
protect individuals, especially youth and vulnerable populations, from the
adverse social, economic, psychological and privacy-related impacts of such
games; to ensure the responsible use of digital technologies; to maintain
public order and protect public health; to safeguard the integrity of financial
systems and the security and sovereignty of the State; to establish a uniform,
national-level legal framework in the public interest; and for matters
connected therewith or incidental thereto.
————
(Shri Ashwini Vaishnaw, Minister of Railways, Information & Broadcasting and
Electronics & Information Technology)