INDIAN GAMING MIB issues third advisory against online betting ads
In a fresh advisory, the Ministry of Information & Broadcasting (MIB) has today advised media entities, media platforms and the online advertisement intermediaries to refrain from carrying advertisements/promotional content of betting platforms. This comes on a day the government has notified rules regulating online games. MIB has taken strong exception to the recent
instances of mainstream English and Hindi newspapers carrying advertisements and promotional content of betting websites. Without specifically naming the newspapers, the MIB has given examples of violations. The Advisory has been issued to all media
formats, including newspapers, television channels, and online news publishers, and
showed specific examples where such advertisements have appeared in the media in recent times. This is the third instance of MIB issuing such an advisory. The first such advisory came in June 2022. IPL is a peak season for betting and gambling
brands. MIB has also objected to the promotion by a specific betting platform encouraging the audience to watch a sports league on its website, which prima facie appears to be in violation of the Copyright Act, 1957. While emphasizing on the legal obligation as
well as the moral duty of the media, the Advisory refers to provisions of the Norms of Journalistic Conduct of the Press Council which, interalia, mentions that “newspapers should not publish an advertisement containing anything which is
Online gaming companies seek clarification on amended rules during meeting with MeitY
The Ministry of Electronics and Information Technology (MeitY) held a meeting on Friday, April 7 with the gaming sector stakeholders headed by Minister of State for MeitY, Rajeev Chandrasekhar at Electronics Niketan in New Delhi. The meeting included representatives from
Dream11, Nazara Technologies, InMobi, Gameskraft, WinZo Games, Mobile Premier League (MPL). Industry bodies like Federation of Indian Fantasy Sports (FIFS), along with E-gaming Federation (EGF) and All India Gaming Federation (AIGF) were also present in the meeting. During the meeting, many gaming companies also sought clarification on different state laws regarding online gaming and gambling, along with definition. They also asked the for plans in case any state government refuses to abide by the amendments for the online gaming rules. “We now have guidelines for online gaming.
However, in all probability, different states can still interpret gambling and wagering as per their own definitions of the act,” said chief executive officer of JetSynthesys, Rajan Navani. A senior official who was present at the
meeting told Economic Times, “The rules are self-explanatory. We have heard their concerns and will issue any clarifications as needed.” While many of the gaming industry leaders and legal experts lauded the new rules by
26 MAY 2023
MeitY, many of them believe that the ministry should have set out the regulations more clearly. Abhishek, A Rastogi from law firm Rastogi Chambers, said, “Gambling and betting are state subjects under the Constitution. It will be interesting to see whether any state would deviate in its territorial jurisdiction.” “These are early days and the ambiguity
in this space will certainly be entangled over a period of time through pragmatic amendments,” he further added. Further, clarification regarding the
updated know-your-customer (KYC) for all real money gaming was also brought up, along with queries regarding SROs and whether the move for having multiple SROs is for each gaming genre having their own regulators. Ministry officials also clarified again what
was allowed and what was not. A person aware of the situation said, “The only things that are not permissible are real-money games where the person is betting on a third-party outcome. We were asked to talk to the states and explain our stand. They (IT ministry officials) told us that they would step in if there were gaps and if states sought more clarification and assurance on the subject.” The government currently plans to start
with three SROs and will add more depending on workload and industry demand. In order to remain registered as self-regulatory organizations, these SROs must adhere to the broad functioning principles set forth by the IT ministry.
unlawful or illegal…………”, and further that “The newspapers and periodicals should scrutinize the advertisement inputs from ethical as well as legal angles in view of the editor’s responsibility for all contents including advertisement, under Section 7 of PRB Act, 1867. Revenue generation alone cannot and should not be the sole aim of the Press, juxtaposed much larger public responsibility”. Direct or surrogate advertisements of such
activities falls foul of the Consumer Protection Act, 2019, the Press Council Act 1978, Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021, and other relevant statutes. Earlier, the Consumer Protection Authority issues notices to surrogate betting brands.
Celebrities face heat
Popular Bollywood actors like Nawazuddin Siddiqui, Urvashi Rautela and others associated with promotions of illegal gambling brand Lotus365 have received notices from the Central Consumer Protection Authority (CCPA) under the newly enacted rules that prohibit promotion of surrogate and illegal activities. In 2022, CCPA issued notices to betting and
gambling platforms but this is the first time well-known celebrities are issued a notice. Despite notice from CCPA, Urvashi Rautela continues promoting illegal betting site Lotus365 and a post is live on her Instagram account at the time of writing this. Before taking any action against the company or
the celebrities, the CCPA have first requested a response from these celebrities. According to reports, the CCPA took suo motu cognisance of the advertising that stated the company was “India’s most trusted sports exchange since 2015,” which was featured in newspapers and online platforms. As per report on Times of India, the celebrities
were requested to explain how they reached the conclusion that the company’s claims were true and to provide specifics of the evidence supporting their assertions. Similarly, the company was asked to provide details of its claims. As previously reported by G2G, these celebrities
were spotted promoting the illegal offshore betting website Lotus365 on various social and print platforms, claiming that the company was the first legally licensed and certified company despite betting being illegal in the country. If found guilty, these celebrities are liable for a
penalty of Rs 10–50 lakh for false and misleading advertisements under the Consumer Protection Act (CPA) 2019. Furthermore, the celebrity promoting these illegal brands can be barred from appearing in advertisements for a year.
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