After President's assent, online gaming bill banning money games becomes law

President Droupadi Murmu on Friday gave her assent to the Promotion and Regulation of Online Gaming Bill, 2025, which was recently passed by Parliament.

The legislation aims to promote e-sports and online social games while prohibiting online money gaming services, advertisements, and related financial transactions.

The Bill, passed by the Lok Sabha on Wednesday and the Rajya Sabha on Thursday, seeks to completely ban offering, operating, or facilitating online money games.

Officials clarified that the law targets service providers, advertisers, promoters, and financial supporters of such games, and players themselves will not face penalties.

The government plans to establish a dedicated framework under the Ministry of Youth Affairs and Sports to support e-sports, which has been recognised as a legitimate form of competitive sport in India. Online social games will also be promoted under the legislation.

The Bill aims to address social harms linked to online money gaming, including



addiction, financial losses, and extreme consequences such as suicides. Reports of money laundering and terror financing associated with these games were also cited.

Offering or facilitating online money games may result in up to three years of imprisonment and/or a fine of up to Rs 1 crore.

Advertising such games can lead to imprisonment of up to two years and/or a fine of Rs 50 lakh.

Financial transactions related to money gaming can also attract imprisonment of up to three years and/or a fine of Rs 1 crore.

Repeat offences may carry enhanced penalties, including imprisonment of three to five years and fines up to Rs two crore. Certain offences under the law are cognisable and non-bailable.

The central government may authorise officers to investigate, search, and seize property linked to offences, with some powers of arrest without a warrant in suspected cases.

The government is expected to soon notify the date on which the legislation will come into effect.