Rajya Sabha Clears Online Gaming Regulation Bill Amid Opposition Protests
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On 21 August 2025, the Rajya Sabha passed the Promotion and Regulation of Online Gaming Bill, 2025, by voice vote, despite persistent sloganeering and disruptions by the Opposition. The Bill, introduced by Union Minister Ashwini Vaishnaw, had already been approved by the Lok Sabha a day earlier. The Monsoon Session of Parliament was subsequently adjourned sine die, ending without further legislative business.
The legislation lays down a national regulatory framework aimed at classifying and licensing online gaming. It seeks to promote e-sports—granting them formal recognition as a competitive sport with support from the Sports Ministry—and encourage social and educational games through registration and government backing. At the same time, it enforces a full ban on online money games, covering both skill-based and chance-based platforms, their promotion, and financial facilitation.
The Bill proposes the establishment of a central regulatory authority (often referred to as an Online Gaming Authority) responsible for licensing, oversight, and enforcement. It also includes severe penalties for violations—up to three years in prison and/or fines reaching ₹1 crore, with harsher consequences for repeat offences. Enforcement powers include search and seizure capabilities, with some offences being non-bailable and cognisable.
Minister Vaishnaw justified the Bill by citing the public health crisis posed by online money gaming, pointing to estimations of 45 crore people affected and potential financial losses exceeding ₹30,000 crore. He also referenced the WHO’s recognition of gaming addiction as a disorder, and warned against misuse of gaming platforms for money laundering and terror funding.
Despite its passage, the Bill has already faced legal resistance. Mumbai-based technology lawyer Jay Sayta has petitioned President Draupadi Murmu to withhold assent and return it to Parliament, arguing that it violates the federal division of powers by encroaching upon state legislatures’ jurisdiction over betting and gambling.
In summary, the Bill marks a pivotal move toward formalizing and supervising India’s booming online gaming sector. While it promotes safe and competitive gaming, the sweeping prohibition on real-money formats is likely to have far-reaching implications—ranging from industry reconfiguration to legal challenges in the courts.
