In a decisive move to protect its citizens from the lure of illegal online gambling, the Indian government directed its focus towards celebrities and influencers, issuing a stern advisory against the promotion of offshore betting operations. The Ministry of Consumer Affairs made it clear that any form of promotion involving illegal gambling operators, especially those done in a surrogate manner, could lead to severe repercussions, including stringent examination and potential legal consequences.
This movement towards stricter enforcement comes amidst growing concerns about the socio-economic impact of online betting. The advisory pointed out the significant financial risks associated with such activities, and the government’s intent to curb the normalization of illegal gambling in Indian society.
In response to content that facilitates access to gambling services not permitted under law, the government has empowered itself to request social media platforms to retract such posts. Platforms that fail to comply could see a slew of notifications aimed at staunching the spread of illegal betting propaganda.
Additionally, celebs and digital influencers who have endorsed these offshore betting services could find themselves charged under the Consumer Protection Act of 2019. This could lead to severe penalties, including the possibility of having social media accounts suspended and facing further punitive measures under the applicable statutes.
This isn’t a novel skirmish for the Indian authorities. The government has been persistent, providing similar advisories to social media channels against hosting or promoting betting platforms that aren’t based on skill, adhering to the Public Gambling Act of 1867, which renders non-skill-based gambling illegal in most regions of India.
The Central Consumer Protection Authority (CCPA) escalated its efforts in stemming influencer marketing of non-permissible gambling earlier this month. This decision was influenced by the substantial rise in this mode of advertising, compelling the CCPA to reaffirm that celebrities who endorse illegal betting services in India inadvertently promote illegal activities and thereby become “equally liable” to be prosecuted for the offence.
In a bid to establish better regulation over online gambling, new rules were introduced by the government in January, decreeing that any online gaming service offered must comply with existing laws. There was also a proposition for self-regulatory bodies composed of online gaming enterprises responsible for rule-making. These bodies would oversee the prevention of harm to players, address addiction issues, deter financial crimes, and ensure children are shielded from such harmful activities.
Nevertheless, a report titled “Consumer Behaviour Analysis for Online Gambling Industry in India,” conducted by Ken Research, revealed that an overwhelmingly small fraction of online gamblers in India truly understood the industry regulations. Consequently, many gamblers are at risk of falling prey to unlicensed operators. The research also highlighted that over a quarter of online gamblers in India have faced significant challenges like identity theft and transactional problems.
In November, as part of its crackdown, the Indian government initiated blocking orders against 22 betting apps and websites that were deemed to be operating illegally within the country.
This robust approach adopted by the government underscores its commitment to battling unregulated gambling, a menace that poses a substantial threat to the financial stability and well-being of its citizens. As online gambling continues to evolve, the Indian government remains vigilant in enforcing laws and regulations to mitigate risks and ensure a safe environment for its populous.
