Online gaming regulatory rules from 2021, as per government, prove inapplicable for enforcement.
In an interesting turn of events, MeitY has admitted in the Madras High Court that the provisions related to online gaming in the 2021 Information Technology Rules are unenforceable. This admission comes as part of the ongoing challenge to the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act, 2022, and the ensuing regulations.
Leading gaming companies, including Play Games 24X7, Junglee Games, and Head Digital Works (operator of A23), have taken issue with the state act and its regulations. The main points of contention are the mandatory Aadhaar-based KYC verification and the ban on real money online games between midnight and 5 a.m.
The 2021 Information Technology rules amended in April aimed to regulate online gaming companies as online gaming intermediaries and required MeitY to designate self-regulatory bodies to verify online real money games in accordance with these rules. However, since no such self-regulatory bodies have been designated, the rules remain unenforceable.
Moving forward, the ministry has clarified that the Tamil Nadu government has the authority to impose time restrictions on online games played within the state. As for Aadhaar-based verification, while the 2021 rules allow for its use, no specific requirements have been mandated yet. The ministry has emphasized that the use of Aadhaar is voluntary, in compliance with applicable Aadhaar laws and regulations.
Over the past few years, the government has been developing a national framework for online gaming regulations to ensure uniform compliance and consumer protection. It remains to be seen how these developments unfold and shape the legal landscape for online gaming in India.
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Ashwini VaishnawMeitY Minister
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References:
- India: Since when is online poker a legal battleground?
- The Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act, 2022
- Information Technology Act, 2000
- Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021
- Cyber Regulations Advisory Committee meets for the first time to discuss online gaming rules
- Despite the Ministry of Electronics and Information Technology (MeitY) acknowledging the unenforceability of online gaming provisions in the 2021 rules, the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act, 2022, and its regulations continue to face challenges from leading gaming companies.
- In light of the unenforceable rules, the ministry has clarified that the Tamil Nadu government has the authority to impose time restrictions on online games played within the state, while the use of Aadhaar for verification is voluntary and complies with applicable Aadhaar laws and regulations.
- The ministry's admission of the unenforceability of online gaming provisions in the 2021 rules raises questions about the enforceability of similar regulations in other states and the overall policy-and-legislation surrounding online gaming in India.
- The ongoing challenge to the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act, 2022, and the ensuing regulations highlights the need for a national framework for online gaming regulations to ensure uniform compliance and consumer protection.
- As the government develops a national framework for online gaming regulations, political debates and technology advancements in policy-and-legislation will continue to shape the legal landscape for online gaming in India, further fueling general-news discussions on the topic.
