The government has released the rules for the Online Gaming Bill and is seeking opinions from all stakeholders by October 31st.
The law aims to regulate online gaming and distinguish between social games and real-money games.
Establishment of Online Gaming Authority
A new Online Gaming Authority will be set up, comprising officials from multiple ministries and legal experts. The authority will:
Decide which games are social games and which are real-money games
Hold the powers of a civil court
Maintain a National Register of Recognized Games
Register and certify social games and e-sports
Determine whether a game is legal or gambling-based
The authority will be headquartered in Delhi-NCR. Members will include officials from:
Ministry of Information and Broadcasting
Ministry of Youth Affairs
Ministry of Financial Services
Legal experts
Registration and Compliance Rules
All e-sports must register with the authorities.
No social game can operate without registration.
Authorities must be informed before making any changes to a game.
Gaming companies must provide an undertaking to comply with the law.
Each company must establish a grievance committee.
Strict Stance Against Online Gambling
The central government is taking a strict position on online gambling. Games that involve cash bets, speculation, or prizes convertible to cash are banned nationwide.
Regulatory Oversight
According to the draft bill:
E-sports will be under the Ministry of Youth Affairs
Social games will be under the Ministry of Information and Broadcasting
Overall regulation will be handled by the Ministry of Electronics and IT (MeitY).