Real-money online gambling may be coming to an end in India.
The country’s upper house of parliament passed a bill on Thursday after Prime Minister Narendra Modi’s administration deemed online gambling a public health risk.
The lower house passed the bill earlier in the week. The Promotion and Regulation of Online Gaming Bill prohibits poker and other online casino games in parts of the country.
The cricket-crazy country has seen fantasy sports competition catch on recently. However, that would end under the new law since it bans those platforms.
The bill moves “to prohibit the offering, operation, facilitation, advertisement, promotion and participation in online money games.”
Government Action Ruffles Industry Feathers
Government officials targeted online gaming as a threat to both Indian families and the finances of many in the country.
“There are addiction and withdrawal symptoms,” said Minister for Electronics and Information Technology Ashwini Vashnaw. “Many families have been destroyed.”
Vashnaw added that it was the government’s role to minimize the damage from gambling addiction.
“It is the duty of the government and the parliament to take strict action against social evils, which keep erupting time and again.”
Modi is expected to sign the bill into law, shocking the country’s online gaming industry. Venture Capital firms like Tiger Global and Peak XV Partners estimated the country’s online gaming industry would be worth $3.6 billion by 2029.
Affected companies have predicted major job losses. Consequently, gaming groups are considering challenging the law to the Supreme Court.
Punishment for violating the law could include fines and up to three years imprisonment. Repeated offenses could enhance the punishment.
Some argue for an online poker exemption, citing the game’s skill-based attributes.
The news comes just two years after the Madras High Court ruled against the government’s online poker ban. State officials hoped to ban all games of chance, including poker and rummy.
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