TC_212

THE ONLINE GAMING AND GAMBLING

(REGULATION) ACT, 2025

MS. PREETI PANDEY, AUTHOR (STUDENT)

MS. KANISHKA RAJEEV SINGH, AUTHOR (STUDENT)
 THE ONLINE GAMING AND GAMBLING (REGULATION) ACT, 2025
(XX of 2025)
[dd/mm/yyyy]
An Act to make provision for the regulation of online gaming and gambling, to establish
authorities for licensing and oversight, to ensure consumer protection, to prevent unlawful
activities related to online gaming and gambling, to provide for grievance redressal mechanism
and financial compliance, and for matters connected therewith or incidental thereto.
WHEREAS it is expedient to provide a comprehensive legal framework for the regulation of
online gaming and gambling in the territory of India;
AND WHEREAS it is pertinent to ensure transparency, accountability, and fairness in the
operation of online gaming and gambling platforms;
AND WHEREAS it is imperative to safeguard the consumers, prevent gambling addiction, and
implement responsible gaming measures to protect vulnerable users such as minors;
AND WHEREAS it is necessary to prevent these platforms of online gaming and gambling from
being used as instruments of fraud, money laundering, and other illicit activities;
AND WHEREAS it is expedient to establish regulatory authorities for licensing, oversight, and
enforcement to ensure the compliance of this Act;
BE it enacted by Parliament in the Seventy-sixth Year of the Republic of India as follows:––

CHAPTER I
PRELIMINARY
1. Short title, extent, and commencement.–– (1) This Act may be called the Online Gaming and
Gambling (Regulation) Act 2025.
(2) It extends to the whole of India.
(3) It shall come into force on such date as the Central Government may, by notification in the
Official Gazette, appoint.
2. Interpretation.–– In this Act, unless the context otherwise requires,––
(a) “Central Authority” means Central Gaming and Gambling Authority as established under
section 3.

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(b) “consumer” means any person who participates in, accesses, or avails online gaming or
gambling services for entertainment, recreational, or other personal purposes, whether for a
monetary stake or otherwise, but does not include––
(i) a person engaged in providing online gaming or gambling services;
(ii) an operator, licensee, or any entity managing, promoting, or facilitating online gaming
or gambling platforms;
(iii) an agent, affiliate, or any person acting on behalf of an operator or licensee in a
professional or commercial capacity.
(c) “gambling” for the purpose of this Act means any activity, platform, or transaction conducted
through digital or electronic networks in which participants wager money or money-equivalent
items on an uncertain outcome, primarily determined by chance, with the intent of winning
monetary rewards, goods, or other benefits. Gambling includes betting, wagering, lotteries, and
other chance-based games, regardless of whether skill elements are minimally involved.
(d) “Grievance Redressal Mechanism” means the mechanism established under sub-section (1) of
section 22 of this Act.
(e) “Grievance Redressal Officer” means an officer appointed under sub-section (3) of section 22
of this Act.
(f) “intermediary” as used in this section has the same meaning as assigned under clause (w) of
sub-section (1) of section 2 of the Information Technology Act, 2000 (21 of 2000).
(f) “Inspecting Officer” means a person or persons appointed under section 10.
(g) “license” means a valid authorization granted by the State Authority under this Act, permitting
an Operator to conduct, manage, or offer online gaming or gambling services, subject to
compliance with the provisions of this Act and the rules made thereunder and includes a license
issued in the electronic form.
Explanation.–– For the purpose of this Act, a “license” shall include but not be limited to:
(i) A general license for operating online gaming and gambling platforms;
(ii) A specific license for hosting or offering certain categories of games as prescribed
by the Central Government;
(iii) A conditional or temporary license issued for a specified period or event-based
gaming activity;

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 (iv) Any other form of authorization as may be prescribed by the component authority
under this Act.
(h) “online gaming” means any platform, application, or system that facilitates interactive games,
competitions, or activities conducted over digital or electronic networks, where participants engage
individually or collectively for entertainment, skill development, or monetary rewards. It includes
games of skill, games of chance, or hybrid models involving any form of monetary transactions,
wagering, or virtual rewards convertible to monetary value."
(i) “Operator” means any person, company, partnership, or other legal entity that conducts,
manages, operates, or offers any online gaming or gambling services, including but not limited to:
(i) Providing an online platform or website for hosting games of skill, games of chance,
or a combination thereof;
(ii) Facilitating financial transactions related to online gaming or gambling activities,
including deposits, wagers, or withdrawals;
(iii) Developing, maintaining, or controlling software, algorithms, or technologies used in
the operation of online gaming or gambling services;
(iv) Acting as an intermediary between players and online gaming platforms, including
through third-party applications or aggregator services, or
(v) Advertising, promoting, or otherwise enabling access to online gaming or gambling
services within the jurisdiction of this act.
Explanation.–– for the purposes of this Act, “Operator” shall include any entity conducting
such activities within the territory of India or targeting Indian consumers from outside the
country through digital or electronic means.
(j) “person” shall have the same meaning as assigned under sub-section (26) of section 2 of the
Bharatiya Nyaya Sanhita, 2023 (45 of 2023).
(k) “prescribed” means prescribed by the rules made under this Act;
(l) “Regulatory Authority” refers to the Central Authority or State Authority as the case may be.
(m) “State Authority” means State Gaming and Gambling Authority as established under section
7.
(n) “user” means a consumer as defined under sub-section (b) of section 2 of this Act.

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3. Extra-territorial application of this Act.–– (1) Every person shall be liable to be punished
under this Act and not otherwise for every act or omission contrary to the provisions thereof, of
which they shall be guilty within the territory of India.
(2) The provision of this Act shall also apply to any offense committed by––
(a) any citizen of India in any place outside and within India, in relation to online gaming or
gambling services regulated under his Act;
(b) any person in any place outside and beyond India who commits an offence under this Act
that targets, affects, or involves a gaming or gambling platform user, or computer resource
located in India.

CHAPTER II
AUTHORITIES, AND THEIR POWERS AND FUNCTIONS
4. Establishment of the Central Gaming and Gambling Regulatory Authority.–– (1) The
Central Government shall, by notification in the Official Gazette, establish a body known as the
Central Gaming and Gambling Regulatory Authority to oversee and regulate online gaming and
gambling activities at the national level.
(2) The Central Authority shall consist of not less than fifteen members and not more than twenty
members, who shall be appointed by the Central Government.
Provided that at least three of the members appointed by the Central Government shall be
women.
(3) The Central Government shall, among the members, appoint one of them to be the Chairperson
of the Central Authority.
(4) No person shall be qualified for appointment under sub-section (2), unless––
(a) he is a citizen of India,
(b) he has attained at least thirty years of age and is not more than sixty-five years old at the
time of appointment,
(c) he has not been declared insolvent,
(d) he has not been convicted of any offense involving moral turpitude,
(e) he does not hold any office of trust or profit and if he does, then unless he has resigned
from such office,

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 (f) he has no direct or indirect financial interest in any entity engaged in online gaming or
gambling that could lead to a conflict of interest,
(g) he is not carrying on any business and if he does, then unless has severed his complete
connection with the business,
(h) he is not practicing any profession and if he does, then unless he ceases to practice such
profession.
(i) Possesses expertise or experience of not less than ten years in one or more of the following
fields, namely,
(i) Law, with specialization in regulatory or gaming law.
(ii) Public administration or governance.
(iii) Information technology or cybersecurity.
(iv) Finance, economics, or accountancy, particularly in the context of gaming or
gambling industries.
(v) Consumer rights and protection.
(j) he meets any other additional qualifications as may be prescribed by the Central
government, by general or special order in writing, on this behalf.
(5) The Central Authority shall be headquartered at such place as the Central Government may, by
notification, specify in the Official Gazette.
5. Powers of the Central Authority.–– The Central Authority shall have the following powers
under this Act, namely––
(1) Direct the State Authorities to take action on specific violations or complaints under this
Act.
(2) Supervise and review the functioning of the State Authorities to ensure compliance with
the provisions of this Act.
(3) Intervene in cases of non-compliance by State Authorities or gaming operators.
(4) Suspend or revoke licenses granted by the State Authorities in the public interest.
(5) Impose penalties for non-compliance with the provisions of this Act.
(6) Direct Inspecting Officers or State Authorities to investigate cases of fraud, violations, or
other complaints.

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6. Power of the Central Authority to act as a Court of Appeal.–– (1)The Central Authority
shall act as a Court of Appeal in case a person is aggrieved by the decision of a State Authority in
matters including:
(a) Refusal to grant a license for online gaming or gambling.
(b) Suspension, cancellation, or revocation of a license.
(c) Any other matter incidental to the functioning of State Authorities under this Act.
(2) While acting as a Court of Appeal against any decision of a State Authority, the Central
Authority shall exercise the same powers as are vested in an appellate court under the Code of
Civil Procedure, 1908 (5 of 1908).
(3) Without prejudice to the generality of the foregoing, the Central Authority shall have the power
to:
(a) Summon and enforce the attendance of any person and examine them on oath.
(b) Require the discovery and production of documents or other evidence.
(c) Receive evidence on affidavits.
(d) Hear the parties, review evidence, and pass such orders, including interim orders, as it
deems fit.
(e) Remand the matter to the State Authority for reconsideration with specific directions.
(f) Pass final orders or directions that shall be binding on all parties.
Provided that the decisions or orders passed by the Central Authority in its appellate
jurisdiction shall be final and binding, subject to the provisions for appeal or judicial
review by the State High Court.
7. Functions of the Central Authority.–– The Central Authority may have the following
functions under this Act, namely––
(1) Supervise and oversee the functioning of all the State Authorities under this Act.
(2) Frame policies, rules, and guidelines for uniform regulation of online gaming and gambling
across states.
(3) Maintain a national register of licensed operators and ensure transparency in the licensing
processes of the State Authority.
(4) Handle inter-state disputes and complaints related to online gaming and gambling activities.
(5) Promote research and development for responsible gaming policies and technological
advancements.

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(6) Ensure compliance with international treaties and obligations related to gaming and gambling.
(7) Issue recommendations to the Central Government on amendments to this Act or related
policies.
8. Establishment of the State Gaming and Gambling Regulatory Authority.–– (1) The State
Government of each State shall, by notification in the Official Gazette, establish a body known as
the State Gaming and Gambling Regulatory Authority for the purpose of regulating online gaming
and gambling activities within the respective state.
(2) The State Authority shall consist of not less than seven members and not more than fifteen
members, who shall be appointed by the State Government.
Provided that at least one of the members appointed by the State Government shall be a woman.
(3) The State Government shall, among the members, appoint one of them to be the Chairperson
of the State Authority.
(4) No person shall be qualified for appointment under sub-section (2), unless––
(a) he is a citizen of India,
(b) he has attained at least twenty-five years of age and is not more than sixty-two years old at
the time of appointment,
(c) he has not been declared insolvent,
(d) he has not been convicted of any offense involving moral turpitude,
(e) he does not hold any office of trust or profit and if he does, then unless he has resigned
from such office,
(f) he has no direct or indirect financial interest in any entity engaged in online gaming or
gambling that could lead to a conflict of interest,
(g) he is not carrying on any business and if he does, then unless has severed his complete
connection with the business,
(h) he is not practicing any profession and if he does, then unless he ceases to practice such
profession.
(i) Possesses expertise or experience of not less than five years in one or more of the following
fields, namely,
(i) Law, with specialization in regulatory or gaming law.
(ii) Public administration or governance.
(iii) Information technology or cybersecurity.

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 (iv) Finance, economics, or accountancy, particularly in the context of gaming or
gambling industries.
(v) Consumer rights and protection.
(j) he meets any other additional qualifications as may be prescribed by the Central
government, by general or special order in writing, on this behalf.
(5) The State Authority shall be headquartered at such place as the State Government may, by
notification, specify in the Official Gazette.
9. Powers of the State Authority.–– The State Authority shall have the following powers under
this Act, namely––
(1) Issue guidelines, orders, and directions for the effective regulation of online gaming and
gambling.
(2) Grant licenses for online gaming and gambling.
(3) Suspend or revoke licenses for breach of any provision under this act or terms and conditions
under which the license has been granted.
(4) Conduct hearings and adjudicate matters within its jurisdiction regarding grant of licenses.
(5) For the purpose of any hearing under the act, it shall exercise the same powers as are vested in
an appellate court under the Code of Civil Procedure, 1908 (5 of 1908) to:
(a) Summon and enforce the attendance of any person and examine them on oath.
(b) Require the discovery and production of documents or other evidence.
(c) Receive evidence on affidavits.
(d) Issue Commission for examination of a witness
(e) Seize any documents, electronic records, or any property related to violations of this Act.
(f) Any other power as may be prescribed by the State Government.
10. Functions of the State Authority.–– The State Authority may have the following functions
under this Act, namely––
(a) Issue, renew, suspend, or revoke licenses for online gaming and gambling platforms
operating within the state.
(b) Monitor and ensure compliance with this Act by gaming and gambling platforms.
(c) Promote awareness regarding responsible gaming practices and risks of gambling
addiction.
(d) Addresses consumer grievances and ensures the protection of players’ rights.

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 (e) Maintain a state-wide register of licensed operators, complaints received, and violations
penalized.
(f) Appoint Inspecting Officers to carry out inspections, investigations, and enforcement of
the provisions of this Act.
(g) Perform such other functions as may be assigned by the Central Gaming and Gambling
Regulatory Authority.
11. Appointment of Inspecting Officers.–– (1) The State Government may, by notification in the
Official Gazette, appoint such persons as possess the prescribed qualifications to be Inspecting
Officers for the purpose of this Act and may assign to them such local limits as it may think fit.
(2) The State Government may, by notification in the Official Gazette, appoint any person to be a
Chief Inspecting Officer who shall, exercise the powers of an Inspector throughout the State.
(3) The State Government may, by notification in the Official Gazette, appoint as many Additional
Chief Inspecting Officers and Deputy Chief Inspecting Officers and as many other officers as it
thinks fit to assist the Chief Inspecting Officer and to exercise the powers of Inspector throughout
the State.
(4) Every District Magistrate shall be an Inspecting Officer for his district.
(5) The State Government may also, by notification as aforesaid, appoint such public officers as it
thinks fit to be Additional Inspecting Officers for all or any of the purposes of this Act, within such
local limits as it may assign to them respectively.
(6) No person shall be appointed under sub-section (1), sub-section (2), or sub-section (3), or
having been so appointed, shall continue to hold office, who is or becomes directly or indirectly
interested in any online gaming or gambling platform or directly or indirectly becomes financially
interested in any entity engaged in online gaming or gambling that could lead to a conflict of
interest.
(7) Every Chief Inspecting Officer, Additional Chief Inspecting Officer, Deputy Chief Inspecting
Officer, Inspecting Officer, and every other officer appointed under this section, shall be deemed
to be a public servant within the meaning of the Bharatiya Nyaya Sanhita, 2023 (45 of 2023) and
shall be officially subordinate to such authority as the State Government may specify in this behalf.
12. Powers of Inspecting Officer.–– (1) The Inspecting Officers shall have the following powers
with respect to monitoring, investigating, and enforcing compliance with the provisions of this
Act, namely––

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(a) Enter and inspect premises where online gaming and gambling operations are conducted,
including virtual or electronic systems, upon reasonable belief of a contravention of this
Act or the rules made thereunder.
(b) Require the production of books, accounts, records, and other documents relating to the
activities of the Operators or any person involved in online gaming or gambling for
examination.
(c) Investigate or inquire into complaints and violations reported against any Operator or
individual under the provisions of this Act.
(d) Investigate any suspicious financial transactions or activities linked to online gaming or
gambling.
(e) Seize or take possession of any document, records, property, servers, or equipment that
are reasonably believed to be used in contravention of this Act, with prior approval from
the State Authority.
(f) Examining any person employed by or associated with the Operator or other relevant
parties, for the purpose of enforcing the provisions of this Act.
(g) in the case of electronic data, make copies, extracts, or downloads of such data for the
purpose of investigation.
(h) Take temporary custody of any property or asset obtained or used as proceeds of unlawful
gaming or gambling activities.
(i) Access and inspect any digital infrastructure, including websites, servers, or applications,
operated by the Operator or used to conduct gaming or gambling activities.
(j) Require the Operator to provide decryption assistance, passwords, or other credentials
necessary for accessing encrypted data or systems.
(k) Issue notices to Operators or individuals requiring them to furnish information,
documents, or explanations relevant to an investigation.
(l) Direct Operators to cease any activity that is in violation of the provisions of this Act,
pending further investigation.
(m) Collaborate with law enforcement agencies, cybersecurity bodies, or financial regulators
to conduct joint investigations where necessary.
(n) Exercise any such power as may, by general or special order, be prescribed by the State
Government or the Central Government.

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(2) The Inspecting Officers shall submit detailed regular reports to the State Authority on their
findings and actions.

CHAPTER III
LICENSE, ITS APPLICATION, GRANT AND EFFECT
13. Application for grant of license.–– (1) Any person intending to conduct, manage, operate,
offer promote, or provide online gaming or gambling services under this Act shall make an
application for the grant of license in writing under this Chapter to the State Authority which shall
be in such form, and in such manner, and shall be accompanied by such fee, as may be prescribed.
(2) Every application under sub-section (1) shall be filed with the State Authority within whose
territorial limits the principal place of business in India of the applicant is situated or from where
the applicant carries on his business himself.
(3) Subject to the provisions of this Act, the State Authority may refuse the application or may
accept it absolutely or subject to such amendment, modifications, conditions, or limitations, if any,
as the State Authority may think fit.
(4) In case of a refusal or conditional acceptance of an application, the State Authority shall record
in writing the grounds for such refusal or conditional acceptance and the materials used by him in
arriving at his decision.
14. Requirement for application for grant of license. –– (1) The application for a license shall
contain the following particulars––
(a) Ownership, Structure, and Operations:
(i) Name and address of the applicant, company registration, and principal place of
business;
(ii) Ownership structure details.
(iv) Certification of fairness in gaming algorithms and mechanisms;
(v) The proposed operation to be described by type of games offered, market conditions,
and geographic areas of interest.
(b) The Consumer Safety and Fraud Prevention Measures must be in compliance with the
following manner:
(i) Mechanisms through which verification of the age of consumers so that no person below
the age of eighteen years is allowed to access the platform.

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 (ii) Self-exclusion tools and mechanisms that allow consumers to set spending limits and
gaming restrictions.
(iii) Systems for the clear display of game rules, odds of winning, payout structures, and
disclaimers.
(2) The application shall be also accompanied by––
(a) The prescribed fee as determined by the State Authority;
(b) Documents proving the applicant’s financial capability, technical infrastructure, and
compliance with responsible gaming measures;
(c) Declaration confirming that the applicant has not been convicted of any offenses involving
fraud, money laundering, or illegal gambling activities;
(d) Any other information or document as may be required by the State Authority.
15. Acceptance of application.–– (1) Upon receipt of an application under Section 12, the State
Authority shall examine the application to ensure compliance with the requirements specified
under section 13 and any other conditions as may be prescribed.
(2) If the State Authority is satisfied that the application is complete in all respects and meets the
prescribed criteria, it may accept the application and notify the applicant in writing of such
acceptance.
(3) The acceptance of an application under this section shall not, by itself, confer any right upon
the applicant to commence online gaming or gambling operations unless and until a formal license
is granted under this Act.
(4) Upon acceptance of an application, the State Authority may––
(a) require the applicant to furnish additional documents, information, or declarations as may
be necessary for the due considerations of the license;
(b) conduct such inquiries, inspections, and background verifications as deemed necessary to
assess the credibility, financial capability, and technical competence of the applicant;
(c) prescribe conditions or compliance requirements that the applicant must fulfill before the
final issuance of the license.
(5) If the application is accepted with conditions, the applicant shall comply with such conditions
within the period prescribed by the State Authority, failing which the application may be rejected.

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(6) Any person aggrieved by the refusal of acceptance of an application under this section may
prefer an appeal before the Central Authority within such period and in such manner, accompanied
by such fees as may be prescribed.
16. Withdrawal of acceptance.–– Where, after the acceptance of an application for grant of
licenses but before its grant, the State Authority is satisfied––
(a) that the application has been accepted in error, or
(b) that in the circumstances of the case, the license should not be granted or should be granted
subject to conditions or limitations or to conditions additional to or different from the
conditions or limitations subject to which the application has been accepted,
the State Authority may, after hearing the applicant, withdraw the acceptance and proceed as if the
application has not been accepted.
17. Grant of License.–– (1) Upon acceptance of an application under section 14 and the
fulfillment of all prescribed conditions by the applicant, the State Authority shall grant a license
permitting the applicant to conduct, manage, operate, offer, promote, or provide online gaming or
gambling services, subject to such terms and conditions as may be prescribed.
(2) The license granted under this section shall––
(a) be in such form and manner as prescribed by the State Authority;
(b) specify the type or category of online gaming or gambling activities permitted;
(c) be valid for such period as may be prescribed, unless suspended, revoked, or canceled
earlier under the provisions of this Act;
(d) be subject to the payment of such fees and compliance with such regulatory requirements
as may be prescribed.
(3) The license shall, at all times, comply with the terms and conditions of the license, including
but not limited to––
(a) ensuring fair and transparent gaming operations;
(b) implementing responsible gaming measures as prescribed under this Act;
(c) preventing the use of its platform for illegal or fraudulent activities;
(d) submitting periodic reports and disclosures as required by the State Authority.
(4) The State Authority shall maintain a register of all licenses granted under this Act, which shall
be made available for public inspection in such manner and on payment of such fees as may be
prescribed.

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(5) The State Authority may, at any time, review the compliance status of a licensee and direct
necessary corrective measures to be undertaken, failing which the appropriate action, including
suspense or revocation of the license, may be initiated under this Act.
(6) Any person aggrieved by the decision of the State Authority in granting, refusing, suspending,
or revoking a license may prefer an appeal before the Central Authority, within such period and in
such manner, accompanied by such fees as may be prescribed.
18. Publication of Granted License. –– (1) When the license has been granted under section 16,
the licensee may make a request in writing to the State Authority for the publication of the granted
license in the manner prescribed.
(2) On receiving such a request, the State Authority shall cause the details of the granted license
to be published in the Official Gazette of the respective State; the website or online portal
maintained by the State Authority; and any other medium as may be prescribed to ensure public
access to information regarding licensed operators.
(3) The publication shall include––
(a) the name and principal place of business of the licensee;
(b) the license number and date of issuance;
(c) the category or type of online gaming or gambling activities permitted under the license;
(d) the duration of validity of the license; and
(e) any specific conditions or restrictions imposed on the licensee, if applicable.
(4) The State Authority shall ensure that the published information remained updated and
accessible to the public, subject to any confidentiality requirements as may be prescribed.
(5) Any modifications, suspension, revocation, or renewal of a license shall also be published in
the manner prescribed under this section.
19. Types of Licenses.–– (1) Depending on the specific classification of gaming or gambling
activities, the different types of licenses shall be issued by the State Authority which may include
the following––
(a) Skill Competition Gaming License, for those games where the outcome is reliant upon
knowledge, skill, or strategy.
(b) Chance Competition Gaming License, for gambling activities that are predominantly
determined by chance, such as online casinos, lotteries, or betting.

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 (c) Hybrid Competition Gaming License, for operators that provide both skill-based and
chance-based games.
(d) B2B Gaming Services License, for companies that offer software, payment processing, or
technological infrastructure for gaming operators.
(2) Nothing under this Act shall prevent the State Authority or the Central Authority from
amending, modifying, and inserting provisions for the regulation of licenses under this Act.
20. Duration, Renewal, Suspension, and Revocation of License.–– (1) The license granted
under this Chapter shall be for a period of five years but may be renewed from time to time in
accordance with the provisions of this section.
(2) The State Authority, on an application made by the licensee in the prescribed manner and within
the prescribed period and subject to payment of the prescribed fee, renews the license of the
operator for a period of five years from the date of expiration of the original license or the last
renewal of license, as the case may be.
(3) At the prescribed time before the expiration of the last license, the State Authority shall send
notice in the prescribed manner to the licensee of the date of expiration and the conditions as to
payment of fees and otherwise upon which a renewal of a license may be obtained, and, if, at the
expiration of the time prescribed in that behalf, those conditions have not been duly complied with
the State Authority may revoke the license.
(4) The State Authority or the Central Authority, as the case may be, may suspend or revoke the
license of any operator if it is found to be in violation of the following conditions––
(a) The terms and conditions of the license;
(b) Consumer protection norms and responsible gaming policies;
(c) Anti-money laundering and tax evasion regulations;
(d) Any other provision prescribed under this Act.
21. Effect of Grant of License.–– (1) The grant of license under this Act shall authorize the
licensee to lawfully conduct, manage, operate, offer, promote, or provide online gaming or
gambling services in accordance with the terms and conditions specified in the license.
(2) The licensee shall, from the date of issuance of the license, be deemed to be a legally recognized
entity for the purpose of offering online gaming or gambling services, subject to compliance with
all applicable laws, rules, and regulations.

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(3) The license shall not be transferable or assignable to any other person, entity, or jurisdiction
without prior written approval from the State Authority and such approval shall be subject to the
prescribed conditions.
(4) The grant of license shall not absolve the licensee from obtaining any other regulatory
approvals or clearances that may be required under any other law for the time being in force.
(5) The grant of license under this Act shall not confer any immunity or exemption to the licensee
from liabilities arising under any other law in force, including civil and criminal liabilities related
to fraud, misrepresentation, or violation of consumer rights.
22. Duties of Licensee.–– The Licensee shall have the following functions under this Act,
namely,––
(a) The license shall, at all times, ensure compliance with:
(i) the provisions of this Act and the rules made thereunder;
(ii) the terms and conditions specified in the license;
(iii) any directives, guidelines, or notifications issued by the State Authority, or Central
Authority from time to time;
(iv) applicable taxation, anti-money laundering, and consumer protection laws;
(v) responsible gaming measures, fair play policy, and fraud prevention mechanisms as
prescribed.
(b) A licensee shall not engage in any fraudulent, misleading, or illegal activities, and nay breach
of the conditions specified under this section may lead to suspension, revocation, or cancellation
of the license as per the provisions of this Act.
(c) The licensee shall maintain proper records of its operations, including financial transactions,
consumer activity, and compliance measures, and shall make such records available for inspection
by the State Authority as and when required.
(d) The licensee shall, on an annual basis or at such intervals as prescribed, submit compliance
reports, financial statements, and any other disclosures required by the State Authority to ensure
regulatory oversight.

CHAPTER IV
OPERATORS GRIEVANCE AND FINANCIAL OPERATION

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23. Establishment of Grievance Redressal System.–– (1) All licensed online game or gambling
service providers shall promulgate a functional and comprehensive Grievance Redressal
Mechanism stratagems for wronged users at the service level, to address complaints and disputes
arising from users of their platform, the details of which shall be publicly available on the platform.
(2) The operators shall provide a helpline number to lodge complaints and for consumer support
on their respective platforms.
(3) The Operators shall appoint a Grievance Redressal Officer to look after the Grievance
Redressal System.
(4) The State Authority shall superintend and ensure the proper and efficient functioning of the
Grievance Redressal Mechanism in place for all licensed operators through its Inspecting Officers.
Explanation.–– For the purpose of this Act––
(a) “Grievance Redressal Mechanism” is an official complaint handling system set up by online
gaming and gambling platforms to address issues dealing with fraudulent behavior such as unfair
practices, unauthorized transactions, account issues, privacy violations, or irresponsible gaming
activities. This mechanism ensures that user grievances, such as violations of trust, are investigated
and resolved in a fair, timely, and transparent manner so as to comply with the existing
legal framework; and
(b) “Grievance Redressal Officer” is the point of contact for the clients onboard to ensure that
their accounts are not impacted by any unfair transactions or fraudulent activities, data privacy
breaches, or violations of gaming practices. Also, the gaming or gambling platform providers, in
turn, capture all complaints from the users and link them to the procedures compliant with the Act.
24. The Functions and Responsibilities of the Grievance Redressal Officer.–– The Grievance
Redressal Officer may have the following functions under this Act, namely––
(a) Ensuring that user grievances are attended to, acknowledged, and actioned within two days
from when the grievance is lodged.
(b) Ensuring that the response to the user’s complaint is provided in a maximum of fifteen days
after the grievance is received.
(c) Ensuring that the records of grievances redressed and pending, and the actions taken are
maintained for at least five years.

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25. Financial Regulation.–– (1) All transactions including the deposits, withdrawals, and
purchases made in online gaming or gambling will be carried out by a financial institution that is
duly registered and licensed to operate within the specified areas of India.
(2) Every registered online gaming or gambling platform undertakes to adopt complete anti-money
laundering measures under the Prevention of Money Laundering Act of 2002 (15 of 2003).
(3) Each licensee must keep accurate and complete financial records of every transaction on their
platforms for a minimum of five years from the date of the transaction. Such records shall be
available for inspection and audit by the Regulatory Authority or any other government-authorized
body without prior notice.
26. Penalties and Punishment for Fraud and Financial Misconduct.–– Operators engaged in
financial misconduct, including money laundering, shall be liable under the Prevention of Money
Laundering Act, 2002 (15 of 2003) in addition to any liability for violation of this provision under
this Act.

CHAPTER V
CONSUMER PROTECTION AND RESPONSIBLE GAMING
27. User Complaint Process.–– (1) Consumers may file complaints through the online portal and
helpline number provided by the operators.
(2) Operators must provide a system for users to track complaint status. The grievance, if not
resolved within fifteen days of filing the complaint, will confer upon the user the right to file the
complaint with the Grievance Redressal Officer.
(3) The consumer may file the complaint with the State Authority within 45 days after filing the
complaint with the Grievance Redressal Officer.
28. Consumer Safeguard.–– (1) Operators are responsible for providing accessibility and terms
regarding the rules and payout procedure and for disclosing the potential risk associated with their
platform.
(2) Operators shall provide the self-exclusion and spending limits available to users and
transactions to be encrypted and secure.
29. Limitations on Promotion and Marketing.–– Operators shall prevent advertisements that
misrepresent the possibility of winning or getting a reasonable return on investment and prohibit
advertisements targeting minors and other sensitive groups.

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 CHAPTER VI
OFFENCES, PENALTIES AND PROCEDURE
30. Meaning of fraudulent, deceptive, and manipulative gaming practices.–– A person shall
be deemed to engage in, promote, or allow any unfair gaming practices, who, including but not
limited to––
(a) misrepresent the nature of the game, its rules, or the chances of winning;
(b) rig or manipulate game outcomes to the detriment of players;
(c) use unauthorized software or bots that unfairly influence the result of a game;
(d) fail to ensure transparency in financial tractions related to gaming;
(e) induce users through misleading advertisements, including guaranteed wins or exaggerated
success claims.
31. Meaning of unauthorized advertising and promotions.–– (1) A person shall be deemed to
be engaged in unauthorized advertising, marketing, or promotional activities that,––
(a) misrepresent the likelihood of winning
(b) target persons below the age of eighteen years, vulnerable persons, or financially distressed
persons
(c) promote irresponsible gaming behavior or excessive gambling
(d) feature misleading or deceptive endorsements.
32. Penalty for fraudulent and manipulative gaming practices.–– (1) Any person found guilty
of fraudulent, deceptive, and manipulative gaming practices shall be punishable with
imprisonment for a term which shall not be less than two years but which may extend to three
years and a fine of not less than twenty lakh rupees but which may extend to righty lakh rupees,
and may face suspension, or revocation of the license.
(2) In addition to the penalties imposed, if fraudulent gaming practices result in any financial loss
or harm to the consumer or user, the operator responsible shall be liable to compensate the affected
consumer or user.
33. Penalty for unauthorized advertising and promotions.–– (1) Any person who advertises,
promotes, or does any marketing that is unauthorized shall be punishable with imprisonment for a
term which shall not be less than one year but which may extend to three years and a fine of not
less than thirty lakh rupees but which may extend to eighty lakh rupees.

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(2) In addition to the above-mentioned penalty, the State Authority may impose a ban on
advertising for a period of up to three years.
34. Penalty for unlicensed online gaming or gambling.–– (1) No person shall offer, facilitate,
advertise, or engage in online gaming or gambling activities without a valid license granted under
section 16 of the Act.
(2) Any person found conducting online gaming or gambling activities without a valid license shall
be punishable with imprisonment for a term which shall not be less than one year but which may
extend to three years or a fine of not less than twenty-five lakh rupees but which may extend to
eighty lakh rupees or both.
(3) If any Company is liable under this provision, it shall be liable to a penalty not less than eighty
lakh rupees but which may extend to two crore rupees, and its license, if any, may be suspended,
or revoked.
(4) The State Authority may also impose additional financial penalties that are proportionate to the
revenue generated by unauthorized online gaming or gambling activities.
35. Penalty for underage participation.–– (1) No person below the age of eighteen years shall
be allowed to participate in any online gaming or gambling activities.
(2) Operators shall implement strict age verification mechanisms to prevent access by persons
below the age of eighteen years.
(3) Any Operator permitting or failing to prevent underage participation shall be punished with
imprisonment for a term not less than three years but which may extend to five years, and a fine
of not less than ten lakh rupees but which may extend to fifty lakh rupees.
36. Prohibition of unauthorized third-party software and automation tools.–– (1) No Operator
shall allow the use of authorized third-party software, automation tools, or artificial intelligence
mechanisms that provide unfair advantages to users.
(2) Any operator engaged in facilitating or failing to prevent the use of such software shall be
punishable with imprisonment for a term not less than one year but which may extend to three
years and a fine of not less than ten lakh rupees but which extend to fifty lakh rupees.
(3) In addition to the above-mentioned penalty, the State Authority may impose a ban on
advertising for a period of up to three years.

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37. Prohibition of money laundering and illicit financial activities.–– (1) No person shall use
online gaming or gambling platforms for the purpose of money laundering illicit financial activities
or other financial misconduct.
(2) Every Operator shall comply with the anti-money laundering regulations under the Prevention
of Money Laundering Act, 2002 (15 of 2002) and report any suspicious transactions to the
appropriate regulatory authorities.
(3) Any person or Operator found guilty under this section shall be punished with imprisonment
for a term not less than five years but which may extend to seven years or a fine of not less than
one crore rupees but which extends to five crore rupees, and shall be liable to permanent revocation
of the license.
38. Failure to maintain the records maintained under this Act.–– Whoever fails to comply with
the provisions of record-keeping as provided under this Act shall be liable to a fine of not less than
fifty thousand rupees but which may extend to one lakh rupees.
39. Enhanced penalty on second or subsequent conviction.–– Whoever having already been
convicted of an offense under any provision of this Chapter is again convicted of any such offense
shall be punishable for the second and for every subsequent offense, with imprisonment for a term
which shall not be less than five years but which may extend to seven years and with fine which
shall not be less than one crore rupees but which may extend to five crore rupees:
Provided that the court may, for special reasons to be recorded in the judgment, impose a
sentence of imprisonment of less than five years or a fine of less than one crore rupees.
40. General penalties.–– Any person who is found guilty of contravening any provision of this
Act for which no specific penalty is provided shall be punished with imprisonment for a term of
not less than six months but which may extend to one year or a fine of not less than twenty-five
thousand rupees but which may extend to fifty thousand rupees or both.
41. Offences by Companies, et cetera.–– (1) If the person committing an offense under this Act
is a company, other body corporate, or an association of persons (whether incorporated or not),
every director, manager, secretary, agent or other officer or person concerned with management
thereof shall, unless it is proved that the offense was committed without their knowledge or consent
or that they exercised due diligence to prevent such violation of the provision, be deemed to be
guilty of such offense.

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(2) Unless the context otherwise requires, if the person committing the offense under this Act is
any person mentioned in sub-section (1), the punishment shall be imprisonment of not less than
three years but which may extend to five years and a fine of not less than fifty lakh rupees but
which may extend to five crore rupees.
42. Confiscation of proceeds of unlawful gaming.–– (1) Any revenue, asset, or proceeds earned
or derived from unlicensed or illegal online gaming or gambling activities shall be subject to
confiscation by the appropriate authority.
(2) Such amount confiscated shall be deposited in a government-designated fund to be sued for
public welfare and responsible gaming initiatives.
43. Compounding of offenses.–– (1) The Central Authority may allow compounding of certain
offenses under this Act, by notification in the Official Gazette, subject to payment of such fees as
may be prescribed, except in case of offenses involving money laundering.
(2) No offense punishable with imprisonment for a term exceeding three years shall be
compounded.
44. Cognizance of offenses and the powers of inspecting officers for search and seizure.–– (1)
No court shall take cognizance of an offense under this Chapter except on a complaint in writing
made by the Regulatory Authority or any other officer authorized by it in writing.
(2) No court inferior to that of a Judicial Magistrate of the first class shall try an offense under this
Act.
(3) The offenses under this chapter shall be cognizable.
(4) Every Inspecting Officer under this Act, may, if he is satisfied, for reasons to be recorded in
writing, that any offense under this Act, has been, is being, or is likely to be, committed, search
and seize any document, records, property, servers, or equipment that are reasonably believed to
be used in committing the offense, wherever found, and all the materials so seized shall, as soon
as practicable, be produced before the Judicial Magistrate of the first class.
Provided that the Inspecting Officer, before making any search and seizure, shall obtain the
opinion of the Regulatory Authority on facts involved in the offense provided under this Act and
shall abide by the opinion so obtained.
(5) Any person having an interest in any material seized under sub-section (4), may, within fifteen
days of such seizure, make an application to the Judicial Magistrate of the first class for such
material to be restored to him and the Magistrate, after hearing the applicant and the prosecution,

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and for reasons to be recorded in writing, shall make such order on the application as he may deem
fit.
45. Costs of defense or prosecution.–– In any prosecution under this Act, the court may order
such costs to be paid by the accused to the complainant, or by the complainant to the accused, as
the court deems reasonable in the interest of justice, having regard to all the circumstances of the
case and the conduct of the parties and the costs so awarded shall be recoverable as if they were
fine.

CHAPTER VII
APPEALS
46. Appeals against the decision of the Magistrate.–– Any person aggrieved by the decision or
judgment passed by the Magistrate may, within thirty days of the date of such decision or judgment,
appeal to the court to which appeals from the court making the decision or judgment ordinarily lie.
47. Appeals against the decision of the State Authority.–– Any person aggrieved by the final
decision or order of the State Authority may, within one month from the date of such final decision
or order, appeal to the Central Authority against such final decision or order.
48. Appeals against the decision of the Central Authority.–– (1) Any person aggrieved by the
final decision or order of the Central Authority may, within three months from the date of such
final decision or order, appeal to the High Court against such final decision or order.
(2) Every such appeal shall be heard by a single Judge of the High Court:
Provided that any such judge may, if he so thinks fit, refer the appeal at any stage of the
proceeding to a Bench of the High Court.
(3) Where an appeal is heard by a single Judge, a further appeal shall lie to a Bench of the High
Court within three months from the date of the decision or order of the single Judge.
(4) In calculating the period of three months provided for an appeal under this section, the time
taken in granting a certified copy of the order or record of the decision appealed against shall be
excluded.
49. Procedure for appeals.–– The High Court may make rules consistent with this Act as to the
procedure to be followed in respect of appeals made to it under section 48.

CHAPTER VIII

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 MISCELLANEOUS
50. Protection of action taken in good faith.–– No legal proceedings shall lie against any person
in respect of action taken in good faith or intended to be done in pursuance of this Act.
51. Evidence before Regulatory Authority.–– In any proceeding under this Act before the Central
Authority or the State Authority, evidence shall be given by affidavit:
Provided that the Regulatory Authority may, if it thinks fits, take oral evidence in lieu of, or in
addition to, such evidence by affidavit.
52. Taxation and Revenue Sharing.–– (1) Every operator engaged in online gaming and
gambling activities under this Act shall comply with the provisions of the Goods and Services Tax
Act, 2017 (16 of 2017), the Income Tax Act, 1961 (43 of 1961), and any other applicable tax laws
as prescribed by the Central Government.
(2) A portion of the revenue generated from licensed online gaming and gambling activities, as
determined by the Central Government, shall be allocated towards:
(a) Public welfare initiatives, including sports development, digital literacy, and financial
awareness programs;
(b) Research and implementation of responsible gaming measures; and
(c) Establishment and operation of addiction recovery and rehabilitation programs for
individuals affected by gambling disorders.
53. Power of the Central Government to remove difficulties.–– (1) If any difficulty arises in
giving effect to the provisions of this Act, the Central Government may, by order published in the
Official Gazette, make such provisions not inconsistent with the provision of this Act as may
appear to be necessary for removing the difficulty.
(2) Every order made under this section shall, as soon as may be after it is made, be laid before
each house of Parliament.
54. Power to make rules.–– (1) The Central Government may, by notification in the Official
Gazette, make rules for carrying out the purposes of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, the Central
Government may make rules to provide for all or any of the following matters, namely––
(a) The procedure, conditions, and criteria for the grant, renewal, suspension, and revocation
of licenses for Operators under this Act;

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 (b) Consumer Protection measures, including grievance redressal mechanisms, fair play
requirements, and anti-fraud provisions;
(c) Penalty enforcement, including the manner of imposition, appeal, and recovery of fines
under this Act;
(d) Standards for responsible gaming practices and measures to prevent addiction and
excessive gaming;
(e) Data protection and security requirements for online gaming and gambling platforms;
(f) Any other matter that is necessary for the effective implementation of this Act.
(3) Every rule made under this section 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 the rule.
55. Repeals and Savings.–– (1) The Public Gambling Act, 1867 (3 of 1867), and any other law
relating to gaming, gambling, or betting in force in any State or Union Territory, shall stand
repealed to the extent that it is inconsistent with the provisions of this Act.
(2) Notwithstanding such repeal as aforesaid, anything done, any action taken, or any proceedings
initiated under the provisions of the Public Gambling Act, 1867 (3 of 1867), or any corresponding
law in force before the commencement of this Act shall, unless inconsistent with the provisions of
this Act, be deemed to have been done, taken, or initiated under this Act.

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