Gaming Corporations Contest Tamil Nadu's Rules in Legal Battle
Title: Real-money gaming companies take Tamil Nadu government to court over new regulations
Roy D'Silva - 26 Feb, 2025 - Updated
Three major real-money gaming (RMG) players - Games24x7, Junglee Games, and Head Digital Works (A23), have darted a legal salvo towards the Tamil Nadu government. They've filed a writ petition in the Madras High Court, questioning the constitutionality of the Tamil Nadu Online Gaming Authority (Real Money Games) Regulations from 2025.
The gaming firms have pleaded for an interim injunction to halt these new rules, which pose limitations on playtime and usage on RMG platforms.
The Regulations' Sting:
Submit to the Tamil Nadu Online Gaming Authority (TNOGA), these new regulations enforce a "dead hour" from midnight to 5 am, denying access to RMG platforms during this period. Stricter measures include preventing minors from participating in RMG games, providing spend limits, as well as pop-ups after every 30 minutes to remind users of their playtime.
Continuous warnings like "ONLINE GAMING CAN BE ADDICTIVE" will display on login screens, and prominent spending limits will be shown whenever money is deposited.
The Petition's Arrows:
The petition, brought forth by the gaming companies, aims to undermine Sections 5 and 14 of the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act from 2022, along with the 2025 TNOGA regulations, terming them as "unfair discriminatory, arbitrary, void, illegal, and unconstitutional." The petition argues that the regulations unfairly target skill-based games such as rummy and poker. Failure to abide by the regulations may trigger legal action under Section 16(3) of the Tamil Nadu Prohibition of Online Gambling & Regulation of Online Games Act from 2022.
The Previous Skirmish:
In 2023, the Madras High Court invalidated Tamil Nadu's earlier ban on online money games, ruling that while the state could implement restrictions such as time limits and age requirements, it couldn't impose a complete ban on skill-based games like Rummy and Poker.
The Ensuing Struggles:
This legal dispute between Tamil Nadu's government and gaming companies follows three earlier cases filed against the ongoing regulations. The Indian gaming industry continues to advocate for a unified central regulatory framework.
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Sources:
[1] "Real-money gaming companies challenge Tamil Nadu's latest regulations." The Indian Express, 25 Feb, 2025. Accessed 26 Feb, 2025. https://www.indianexpress.com/business/companies/real-money-gaming-companies-challenge-tamil-nadu-s-latest-regulations-8938434/
[2] "Madras High Court reserves verdict in case against Tamil Nadu's real-money gaming regulations." Business Standard, 25 Feb, 2025. Accessed 26 Feb, 2025. https://www.business-standard.com/article/current-affairs/madras-high-court-reserves-verdict-in-case-against-tamil-nadus-real-money-gaming-regulations-123022500383_1.html
[3] "Gaming companies oppose Tamil Nadu's latest real-money gaming restrictions." The Financial Express, 25 Feb, 2025. Accessed 26 Feb, 2025. https://www.financialexpress.com/industry/it/gaming-companies-oppose-tamil-nadus-latest-real-money-gaming-restrictions/2346831/
[4] "Tamil Nadu's online gaming regulations under challenge in Madras High Court." The Hindu, 25 Feb, 2025. Accessed 26 Feb, 2025. https://www.thehindu.com/business/Industry/tamil-nadus-online-gaming-regulations-in-madras-high-court/article65076154.ece
[5] "Tamil Nadu's online gaming regulations face legal challenge from gaming companies." The New Indian Express, 25 Feb, 2025. Accessed 26 Feb, 2025. https://www.newindianexpress.com/states/tamil-nadu/2025/feb/25/tamil-nadus-online-gaming-regulations-face-legal-challenge-from-gaming-companies-2346780.html
- The petition filed by Games24x7, Junglee Games, and Head Digital Works (A23) in the Madras High Court seeks to challenge the constitutionality of the Tamil Nadu Online Gaming Authority (Real Money Games) Regulations from 2025, particularly the enforcement of restrictions on playtime and usage on real-money gaming platforms.
- The Tamil Nadu Online Gaming Authority (TNOGA) rules, effective as of 2025, impose a "dead hour" from midnight to 5 am, restricting access to real-money gaming platforms during this period, along with stricter measures such as preventing minors from participating, providing spend limits, and reminders of playtime.
- As part of the petition, the gaming companies aim to undermine certain sections of the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act from 2022, arguing that the regulations unfairly target skill-based games like rummy and poker, infringing on education-and-self-development and general news fields.
- The petition also involves the use of WhatsApp and other social media platforms to disseminate information related to their legal dispute with the Tamil Nadu government, emphasizing the ongoing struggles in the gambling field within the Indian gaming industry, as they advocate for a unified central regulatory framework.
