Online gambling in India is rapidly growing in popularity, with an increasing number of locals turning to remote casinos for their betting action. This tendency partially results from the internet boom the country has witnessed in recent years. Over 70% of the population has access to a high-speed internet connection.
The rising internet penetration in India has made it easier than ever for locals to gamble at offshore casinos from the comfort of their homes. Figures indicate around 40% of all Indians with internet access have gambled online, with some researchers claiming around 80% of the adult population gambles at least once per year.
The trouble is gambling’s legal status in India as a whole is quite complicated and the complexity arises from the administrative structure of the country. As a federal union, India consists of 28 states and 8 union territories. Each administrative division has its own government, with state governments having the biggest say in what is legal or not. In turn, this means gambling regulations and legislation vary vastly from one state to another.
Gambling Regulators in Different Indian States
As previously mentioned, India is a republic that comprises 28 states and 8 territories, with gambling (when legal) being largely regulated on a state level. In the state of Sikkim, there are two separate regulators for remote and physical gambling. Online gaming and sports betting fall under the regulatory remit of the Finance, Revenue, and Expenditure Department, whereas the landbased sector is overseen by the Tourism Department.
Horse race betting in states other than Sikkim is regulated by the local turf clubs where the races take place. Skill games like poker lack specific regulators in most Indian states, the only exception being the state of Nagaland. The Nagaland Finance Commissioner issues the licenses for online poker and oversees skill-based gambling activities.
Closing Thoughts
To wrap things up, the regulatory landscape in India is a bit complex as laws vary from state to state. Few states allow for legal gambling but the allowed forms of betting are again state-specific. State governments do not actively prosecute players who bet on offshore gaming sites. However, users still face some issues that predominantly have to do with failed payments and blocked domains.
The All India Gaming Federation (AIGF) has approached the country’s Prime Minister requesting the Directorate of Enforcement (ED) to take action against foreign betting sites that service locals without authorization. The organization argues that such websites operate in violation of the 2000 Information Technology Act.
To end our article on a more positive note, Indian punters could potentially see state-wide legal sports betting in the near future. The question of whether or not sports wagering is based on skill is pending before the Supreme Court of India. If the high judicial body determines sports wagering relies on skill rather than chance, it most likely would exempt it from the state gaming enactments so that most states could start offering it legally to their residents.
Self-Regulation of the Indian Gaming Industry
In the absence of clear social responsibility requirements, gambling operators in the country have undertaken the initiative to self-regulate and frame their own social responsibility policies. The country is home to several self-regulatory associations like the Indian Federation of Sports Gaming (IFSG) and the All India Gaming Federation (AIGF).
Under the adopted self-regulation policies, gambling operators in India must enforce measures for player protection like age verification and self-exclusion. Additionally, they must maintain records of all financial transactions customers initiate and disclose their terms and conditions clearly and transparently.