Govt units up on-line gaming regulator beneath IT ministry

The authorities has notified the formation of a brand new central regulator for on-line gaming, which can operate as a digital workplace and oversee the enforcement of the money-gaming ban.

Headquartered in Delhi-NCR, the Online Gaming Authority of India will wield the powers of a civil courtroom, starting from inspecting data to imposing penalties and directing monetary establishments.

It may even preserve a ‘National Registry of Online Social Games and E-sports’, publishing particulars of all registered video games in addition to these banned as cash video games. Approved video games will obtain a Certificate of Registration legitimate for as much as 5 years.

The authority will operate beneath the electronics and IT ministry (MeitY).

“The draft rules propose a granular framework for registration of social games and esports administered by a powerful authority, which has the ability to directly examine games (even without an application being made),” mentioned Arun Prabhu, associate and know-how head at legislation agency Cyril Amarchand Mangaldas.

“On first reading, the draft rules seem to have a more demanding regime for esports, requiring registration first of the sport, and then the format in question,” he mentioned.

MeitY, late on Thursday, notified the draft Promotion and Regulation of Online Gaming Rules, 2025, which can ban all wagering and betting-based “online money games,” whereas introducing a registration regime for social video games and esports, backed by the brand new central regulator.

The draft is open for public feedback until October 31.

Any on-line recreation involving stakes, wagers, or cash-convertible winnings will now be handled as an “online money game” and prohibited. Platforms discovered providing such video games face cancellation of registration, penalties, and restrictions on promoting and monetary transactions.

Banks and intermediaries might be directed to not facilitate funds for such video games.

The guidelines additionally present a 180-day transition interval for corporations to refund consumer funds collected earlier than the Act comes into power.

“The new authority is empowered to order instant takedowns, ban advertising, publish public blacklists, and cut off payment rails,” mentioned Alay Razvi, managing associate at legislation agency Accord Juris.

The regime has civil-court powers and may impose deterrent penalties to guard customers, he mentioned. “Esports require recognition and registration under the National Sports Governance Act,” he famous.

Kazim Rizvi, founding director of public coverage assume tank The Dialogue, mentioned, “The rules also bring much-needed clarity to service providers through a structured registration process, grievance redressal mechanisms, and accountability norms, including suspension or cancellation of registrations for non-compliance.”

The guidelines additionally cut up tasks throughout ministries. Esports might be promoted and recognised by the Ministry of Youth Affairs and Sports. Online social video games might be regulated by the Ministry of Information and Broadcasting, which may difficulty codes of apply to make sure secure, age-appropriate and academic content material.

However, the cut up might create potential ambiguities, primarily because of the overlapping nature of video games, specialists mentioned.

For occasion, a recreation that’s primarily an esport may also include ‘social game’ parts like chat options and in-game purchases for beauty objects, mentioned Rohit Jain, managing associate at Singhania & Co.

“Until the online gaming authority formally categorises a game, it may be unclear which ministry’s guidelines take precedence,” he mentioned.

Under the brand new guidelines, each registered gaming platform should set up a grievance redressal mechanism. Unresolved complaints might be escalated to the grievance appellate committee and additional to the gaming authority, each of that are mandated to resolve instances inside 30 days.

The authority can droop or cancel registrations, impose monetary penalties, or bar platforms from working. Repeat offenders face stricter motion. Penalties collected might be credited to the Consolidated Fund of India.