The Ministry of Electronics and Information Technology (MeitY) on Thursday released the draft Promotion and Regulation of Online Gaming Rules, 2025, outlining a detailed regulatory structure for India’s online gaming industry. The framework proposes to establish the Online Gaming Authority of India, which would function as the primary regulator for registration, licensing, and enforcement under the Promotion and Regulation of Online Gaming Act, 2025.

The move follows the nationwide ban on real-money online gaming, including games such as poker, rummy, and fantasy sports, which was enacted in August. With this draft, the government has opened a public consultation window for stakeholders to share their inputs by October 31, 2025.

According to officials cited by The Indian Express, the ministry initially planned to issue the draft without public input but later opted for consultation “due to requests from stakeholders.”

Online Gaming Authority to Oversee Registration and Enforcement

At the center of the proposed regulatory mechanism lies the Online Gaming Authority of India, a statutory body that will oversee registration of online social games and e-sports, while also maintaining a national registry of approved games. The authority will be empowered to assess whether a game qualifies as an “online money game”—defined as any digital game involving wagering, stakes, or prizes convertible to cash.

The authority will consist of a chairperson and five members drawn from different government ministries. It will be headquartered in the National Capital Region, chaired by an officer of at least the rank of joint secretary, and include representatives from the Ministries of Information and Broadcasting, Youth Affairs and Sports, and Financial Services. At least one member will have legal expertise.

With powers comparable to a civil court, the authority can summon individuals, review evidence, and issue binding orders. It may also suspend or cancel registrations, impose monetary penalties, and direct banks or service providers to block access to unlawful gaming platforms.

Strict Ban on Money Games and Harsh Penalties for Violations

Under the new Act, all forms of online money gaming are strictly prohibited, while e-sports and online social games will remain permitted under regulation. Violations could attract severe penalties. Offering banned money games could result in up to three years’ imprisonment and fines reaching ₹1 crore, while advertising such platforms may lead to two years in jail and fines up to ₹50 lakh.

According to the draft, “Notwithstanding anything contained in the Bharatiya Nagarik Suraksha Sanhita, 2023, offences under section 5 and section 7 shall be cognizable and non-bailable.” The provisions make clear that even aiding or facilitating online money gaming will be considered a punishable offence. The law also extends legal protection to enforcement officers conducting searches and seizures under the Act.

The rules propose to hold entire company staff accountable for any violation, a measure aimed at discouraging deliberate non-compliance. Companies found altering their business model in ways that turn a registered game into a money-based offering may have their registration certificates revoked.

Registration, Revenue Disclosure, and User Grievance Mechanisms

Entities wishing to operate in India will be required to register their games with the new authority, providing details about their revenue models, user protection mechanisms, and safety features. Platforms must demonstrate that their income sources—such as advertisements, subscriptions, or one-time fees—do not involve any stakes or wagers.

Each registered game will receive a certificate valid for up to five years. Without certification, no game can be legally advertised or operated.

A three-tier grievance redressal system has also been proposed. Initially, user complaints will be handled internally by the gaming platform. If unresolved, appeals can be made to the Grievance Appellate Committee (set up under the IT Rules, 2021), and ultimately to the Online Gaming Authority, which must deliver a decision within 30 days.

The draft also introduces a transitional clause to manage user funds held before the Act’s enforcement. Banks and intermediaries can refund these balances to players within a 180-day window without being considered complicit in illegal money gaming.

Framework for Categorising and Promoting Social and Educational Games

To distinguish recreational and educational gaming from gambling, the draft mandates the Ministry of Information and Broadcasting to issue specific codes of practice. These will help categorize games meant for skill development, recreation, or learning purposes under “online social games.”

The government has emphasized that the Promotion and Regulation of Online Gaming Act, 2025 is not intended to stifle innovation but to ensure that gaming platforms operate transparently and safely. The rules, once finalized, will be critical in shaping India’s rapidly expanding gaming sector while keeping harmful practices in check.

Public comments and suggestions on the draft can be submitted to India‘s IT Ministry until October 31, 2025, after which the final rules are expected to be notified.