Online poker table on smartphone screen. Online gambling. Top view. Image collage | Photo credit: KersenJD
The government justified the introduction of the Online Gambling Promotion and Regulation Act to combat the rapid spread of online cash games, creating “serious risks to individuals, families and the nation.”
Companies and online platforms, represented by senior advocate CA Sundaram and advocate Rohini Musa, have urged the apex court to enforce the law.
However, the government argued that an estimated 45 crore people were adversely affected by online money games and suffered a loss of over ₹2,000 crore.
“There can be no right to engage in profession or trade at the expense of human lives, which online money gambling is taking up month after month across the country,” the Center stated. The right to trade and profession is a fundamental freedom under Article 19 of the Constitution.
The government said “systemic legal violations” associated with online money gaming (OMG) platforms include large-scale tax evasion, money laundering, cross-border illicit financial flows and “vulnerabilities” related to potential terror financing and other economic crimes.
The government affidavit said “money mule accounts” were identified by banks in which customer IDs linked to OMG websites were found.
“OMG has become increasingly popular post-COVID, coinciding with an increase in fraud cases related to online gaming, gambling and illegal lending apps,” the government noted.
Gaming-related suspicious transactions overlap with cybercrime and fraud, the affidavit said.
It was said that identity theft and compromise of personal data were a real danger on many OMG platforms. “Interactions with unknown players further expose users to intruders, predators, spyware, viruses and worms,” the government said.
Government data showed a sharp increase in outward remittances, especially during 2023-2024, where outflows exceeded ₹5,700 crore.
The government provided details of OMG-related deaths reported in states like Kerala, Tamil Nadu, Telangana and Andhra Pradesh, including that of a 13-year-old student from Indore reported in July 2025.
The affidavit states that Parliament, through law, adopted a reasonable classification by distinguishing between real money games, which are “pernicious and dangerous,” and e-sports.
“This classification between games involving money and expectations of enrichment and games not involving such expectations is in line with the vision of Parliament and has a rational connection with the objective to be achieved, namely the protection of youth, public health, the prevention of terrorist financing and money laundering,” the government reasoned.
Published on November 26, 2025
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