The rapid growth of the online gambling industry in India has prompted increased scrutiny from regulatory bodies. In November 2024, the Competition Commission of India (CCI) initiated an investigation into Google’s policies regarding real-money gaming apps. The probe was launched following a complaint that Google’s Play Store policies were discriminatory, allowing certain real-money games like fantasy sports and rummy while excluding others. This investigation underscores the ongoing challenges and debates surrounding the regulation of online gambling platforms in India. Indian courts and state governments distinguish between games of skill and games of chance.

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• Section 4 of the Information Technology Act provides legal recognition to electronic records and transactions, establishing the legal validity of online contracts and agreements.
• The TN Act has also set up a Tamil Nadu Online Gaming Authority (“TNOGA”) for implementing some of its provisions.
• Except in the states of Sikkim and Nagaland, which regulate skill gaming through a licensing regime, the skill variants of poker are not expressly prohibited under any other State Gaming Law.
• The lack of clear legislation concerning online gambling has led to various interpretations and court rulings that have shaped the legal landscape.
• In addition to the content in the corresponding cell, states such as Punjab, Kerala, Maharashtra, et al. allow only physical lotteries.

The term “person” has been defined under the ITA to include, inter alia, an individual, foreign company, etc. The states of Telangana and Andhra Pradesh in the recent past amended their respective State Gaming Laws by either diluting or removing the express exemption provided to skill games and imposed a blanket prohibition on all games played for stakes, including skill games and online games. Legal challenges to the amendments done to the Andhra Pradesh Gaming Act, 1974 (“Andhra Pradesh Act”)vii and the Telangana Gaming Act, 1974 (“Telangana Act”)viii are pending before the regional High Court and the Supreme Court, respectively.

Games of Skill vs. Games of Chance: Key to Understanding If Online Gambling is Legal in India

Conversely, states like Tamil Nadu, Andhra Pradesh, and Telangana have imposed blanket bans on online gambling, including games of skill when played for money. These bans have led to several court battles, with the gaming industry arguing for constitutional protections and classification under skill games. As India continues to grapple with the challenges and opportunities posed by online gambling, there is a pressing need for comprehensive regulation that balances consumer protection with economic considerations.

Under this law, online gambling operators can obtain licenses to offer various games, including casino games, to players within the state. Separate to VDAs, digital currencies may also include currencies that are recognised by central banks and financial institutions of different countries that are considered legal tender. India has been in the process of introducing its own digital currency as well in the form of the Central Bank Digital Currency, which has been given the moniker of “Digital Rupee”. While certain State Gaming Laws/courts in certain states have specifically recognised poker as a game of skill, a few others have designated it as a “game of chance”. For instance, the West Bengal Gambling and Prize Competitions Act, 1957 specifically excludes poker from the definition of “gaming or gambling”. Judicial pronouncements of the local High Court have also asserted that playing poker cannot attract penalisation or harassment by the police.

Games of skill, where the outcome is based more on a player’s abilities than on luck, are generally legal. Popular examples include rummy, fantasy sports, and poker though not all states agree on this. On the other hand, games of pure chance like roulette, online slots, and dice games often fall under the definition of illegal gambling. In fantasy sports cases, courts like the Supreme Court and various High Courts have held that these games require analytical thinking and knowledge, qualifying them as games of skill. A significant distinction in Indian gambling law is between ‘games of skill’ and ‘games of chance’. Games that are predominantly based on skill are generally exempt from gambling prohibitions.

Meanwhile, the All India Gaming Federation (AIGF) has been actively advocating for a uniform regulatory framework for online gaming. The organization argues that a standardized approach would ensure better compliance, protect consumers, and boost the growth of the industry. In case of the BNS or the IRWA, the offences may be related to content of the games or its advertisements or violation of any prohibitions imposed by the BNS (such as the one on private lotteries). The content in the corresponding cell applies except the point on Nagaland, which would only apply to online games. Significant changes occurred in 1976 when Goa legalized land-based casinos under the Goa, Daman, and Diu Public Gambling Act, later amended in 1992 to allow electronic games in five-star hotels.

Are Online Casino Games Legal In India

However, opponents of legalization cite concerns about the potential for increased gambling addiction and its social repercussions. Striking a balance between regulation and prohibition remains a key challenge for policymakers. Discussions have taken place regarding the possibility of enacting comprehensive federal legislation to regulate various aspects of online gambling in India. Moreover, the lack of clear regulations can also give rise to issues related to player protection, responsible gaming, and prevention of underage gambling. Without adequate jeetwin india regulatory oversight, vulnerable individuals may be at risk of exploitation or harm. xxvii     It is to be noted that the State Gaming Laws of Haryana and Chhattisgarh that have been amended and extend to online gambling prescribe higher monetary penalties than that of State Gaming Laws that have not been amended/remain more relevant to pre-internet statutes.

Legal Framework in India

Under its Seventh Schedule, the Constitution grants each state (province) of the country the exclusive power to enact its own laws on “betting and gambling” for its own territory. The Public Gambling Act, 1867 (“Public Gambling Act”), a colonial-era statute still in force, has been adopted by several states including Uttar Pradesh, Madhya Pradesh, and Punjab, with some states making their state amendments to it too. Other states have enacted their own pieces of legislation to regulate gaming/gambling activities within their territories under their State Gaming Laws. Most of these are broadly modelled on the Public Gambling Act, albeit with suitable modifications. Though there can be different formats in which bingo is played, each of these formats (whether played online or land-based) would fall either in the category of lotteries or games of chance.

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While the Madras High Court upheld the constitutional validity of the TN Act, it struck down the Schedule that classified rummy and poker as games of chance, noting that the Supreme Court had previously recognised rummy as a game of skill. Currently, the State of Tamil Nadu has filed a special leave petition before the Supreme Court challenging this portion of the judgment, which remains pending adjudication. Subsequently, Tamil Nadu notified the Tamil Nadu Online Gaming Authority (Real Money Games) Regulations, 2025 (“TN Regulations”) to operationalise parts of the TN Act. The TN Regulations govern the operation of real-money online gaming and include provisions such as prohibiting access by minors, adopting mandatory know-your-customer procedures, and displaying cautionary pop-up messages when users play continuously beyond prescribed time limits.

In the absence of specific legislation addressing online gambling, the Information Technology Act of 2000 assumes significance in the context of online casino games. This act regulates various aspects of online activities, including electronic commerce and digital transactions. While land-based casinos are legal in states like Goa, Sikkim, and Daman, online casino gambling is prohibited across the country. The introduction of 2023 online gaming rules is a step toward regulation, but the overall situation remains unclear for most online gambling forms.

While the Information Technology (IT) Act, 2000, doesn’t mention gambling explicitly, it becomes important in regulating online content. The Indian government uses Section 69A of the IT Act to block websites or apps that promote illegal betting or violate local laws. xv As mentioned above in endnote 4 above, online social games are exempted from any prohibitions under the New Act.

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These changes were introduced in 2023 to bring uniformity and increase transparency in the industry. The future of online gambling regulations in India is characterized by ongoing debates, legislative initiatives, and enforcement efforts. Clear and comprehensive regulation, coupled with effective enforcement mechanisms, can promote responsible gaming practices and support the growth of the industry. The legal ambiguity poses challenges for both players and operators, including uncertainty about the legality of participation, regulatory inconsistencies, and issues related to player protection and responsible gaming.

In 2021, the state government of Tamil Nadu passed legislation banning online gambling, including games like rummy and poker. However, other states like Andhra Pradesh and Telangana have also introduced bills aimed at regulating online gambling and imposing restrictions on operators. In recent years, there have been instances of enforcement actions against online gambling operators in India. Law enforcement agencies have occasionally cracked down on illegal gambling websites, citing violations of the Public Gambling Act and other relevant laws. Similarly, Goa and Daman permit the operation of land-based casinos, but the legal status of online gambling in these states remains unclear due to the absence of specific regulations. For instance, Sikkim became the first state to legalize online gambling in 2009, passing the Sikkim Online Gaming (Regulation) Act.