MP High Court seeks Centre's response to plea challenging Promotion and Regulation of Online Gaming Act

The Madhya Pradesh High Court on Wednesday sought the Central government’s response to a petition challenging the constitutional validity of the Promotion and Regulation of Online Gaming Act, 2025, which imposes a prohibition on real money online gaming including fantasy sports. [Clubroom 11 Sports and Entertainment v. Union of India]

The matter was heard by a Division Bench of Chief Justice Sanjeev Sachdeva and Justice Vinay Saraf.

Senior Advocate Gopal Jain, assisted by Advocate Amol Apte, appeared for the petitioner. He argued that fantasy sports is a distinct category of online gaming that has already been upheld in several judicial pronouncements and, therefore, the government ought to regulate the sector rather than prohibit it outright.

Jain submitted that the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021 recognised the category of “permissible online games,” which included fantasy sports. Against this backdrop, he contended that the prohibition in the 2025 law could not be considered a reasonable measure.

The petitioner also relied on the Statement of Objects and Reasons of the 2025 Act, which recorded that the government intended to create a separate sub-category for permissible online games and provide an appropriate legal framework. In view of this, it was submitted that the complete prohibition on online money games imposed by the Act was manifestly arbitrary and failed the constitutional test of proportionality.

Solicitor General Tushar Mehta appeared for the Union of India and sought time to respond. The Court granted four weeks for the Union to file its reply.

This is at least the third petition filed challenging the Act in a week's time. On Saturday, the Karnataka High Court sought the Union government’s response to a plea by Head Digital challenging the validity of the legislation, which bans online money games such as Rummy and Poker.

On Tuesday, an online carrom game platform moved the Delhi High Court challenging the validity of the Act.

The Promotion and Regulation of Online Gaming Act, 2025 is the first Central legislation to impose a nationwide prohibition on online games played for stakes.

The Bill was introduced in the Lok Sabha on August 20, passed by voice vote in both Houses within two days, and received Presidential assent on August 22.

The law criminalises offering or playing online money games, irrespective of whether they are games of skill or chance, with offences classified as cognisable and non-bailable.