Central Govt may form a panel to regulate online gaming: ET Report

The government is considering establishing a Group of Ministers (GoM) to examine the regulatory framework for the gaming industry in India.

“The work on creating an SRO (self-regulatory organisation) is going on. We are talking to the industry stakeholders but the overall consensus is to form a GoM to look into all the aspects of the online gaming sector”, a senior government official informed ET.

The GoM will tackle issues related to online gaming including laundering money, tax evasion and lack of data. They will be assisted by senior officials from the department of revenue, income tax and department for promotion of industry and internal trade (DPIIT).

On April 6, 2023, the government issued a notice for online gaming rules, asking gaming companies and industry bodies to establish a self-regulatory organisation (SRO) within three months, following the guidelines provided by the ministry of electronics and information technology (MeitY).

The industries have already submitted draft proposals, recommending automatic account blocking upon reaching a threshold, measures to prevent Foreign Exchange Management Act (FEMA) violations, and rigorous user reporting. It also includes maintaining a comprehensive player database and monitoring illegal betting sites. The organisation is yet to be set up.