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Online Gaming Law: Rs 2 lakh crore online gaming industry flags 3 concerns as Centre tables new Bill

Published on 20/08/2025 01:34 PM

Online Gaming Bill introduced in Lok Sabha: The Lok Sabha witnessed a turbulent start on Wednesday as Union Minister Ashwini Vaishnaw introduced the Promotion and Regulation of Online Gaming Bill, 2025.  The move drew sharp criticism from the online gaming industry, which cautioned that a blanket ban on real-money games could devastate the sector.

The proposed legislation seeks to establish a national framework for regulating the fast-growing online gaming sector, encompassing e-sports, educational games, and social gaming.

The Bill states, "No person shall offer, aid, abet, induce or otherwise indulge or engage in the offering of online money game and online money gaming service."

Also Read:Breaking: Online Gaming Bill introduced in Lok Sabha

Persistent commotion from Opposition benches forced the House to adjourn within minutes of the Bill’s introduction, resuming only at 2 pm. The Bill aims to create a dedicated Authority to oversee strategic development, policy coordination, and regulatory compliance across the gaming ecosystem.

It proposes a blanket prohibition on online money games that operate across state borders or from foreign jurisdictions, citing concerns over addiction, fraud, and privacy violations. The legislation also emphasises safeguarding youth and vulnerable populations, maintaining public order, and protecting the integrity of financial systems and national sovereignty.

Union Minister Kiran Rijiju, reacting to the disruptions, expressed dismay over the Opposition's conduct, stating that even schoolchildren now question the decorum of Parliamentarians. “They don't allow the House to discuss achievements in space. The public is watching,” he said, urging members to engage constructively, IANS reported.

Also Read:Online Gaming Bill: From money game definition to provisions for up to Rs 1 crore penalty or even jail—What to expect?

Despite repeated appeals from the Chair, the protests continued, leading to adjournment until 2 pm When the House reconvened, PC Mohan presided over proceedings, beginning with the laying of papers and ministerial statements.

Notices for adjournment motions on various subjects were received but disallowed by the Speaker. Statements were presented by Dr. Jitendra Singh (Personnel), Prataprao Jadhav (Health), Pankaj Chaudhary (Finance), BL Verma and Nimuben Jayantibhai Bambhaniya (Consumer Affairs), among others. Committee reports were tabled on agriculture, chemicals, housing, fisheries, cybercrime, education, and civil aviation.

Notably, Satish Kumar Gautam laid the 254th Report on cybercrime, while Vishweshwar Hegde Kageri presented the 380th Report on aviation safety. The session underscored the growing tension between legislative urgency and political discord, with the Online Gaming Bill now poised for detailed scrutiny amid calls for responsible governance and digital reform.

The online gaming industry has sounded alarm over the Bill’s proposal to ban all real-money games, including those based on skill, warning of massive job losses and company closures.Industry bodies have written to Home Minister Amit Shah urging urgent intervention to protect responsible Indian gaming platforms.

In a joint letter, the All India Gaming Federation (AIGF), E-Gaming Federation (EGF) and the Federation of India Fantasy Sports (FIFS) said that the Bill, if passed, would "destroy over 2 lakh jobs, result in over 400 companies shutting down, and weaken India's position as a digital innovator," according to an ANI report.

The bodies stressed that the move would strike a "death knell" for a legitimate, fast-growing sector that has been contributing significantly to the economy.

The industry highlighted that online skill gaming is a sunrise sector with an enterprise valuation of over Rs 2 lakh crore, generating Rs 31,000 crore in annual revenue and contributing more than Rs 20,000 crore in taxes.

(With inputs from agencies)

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