P&H High Court seeks Centre's response to PIL for action against opinion trading platforms that promote betting

The Punjab and Haryana High Court on Thursday sought the Central government’s response to a Public Interest Litigation (PIL) plea seeking a ban on ‘opinion trading’ platforms for promoting and enabling online betting [Anuj Malik v Union of India & Ors]..The Bench of Chief Justice Sheel Nagu and Justice Sumeet Goel issued notice to the Union of India, the Reserve Bank of India (RBI), the Securities and Exchange Board of India (SEBI), the Enforcement Directorate ED, the State of Haryana and others..The PIL before the Court alleged that certain online platforms under the guise of “opinion trading” were engaging in illegal betting and gambling activities.“These platforms permit users to bet/ wager on the outcome of uncertain and speculative events – such as cricket match wins and losses, election results, bitcoin/market movements and current affairs – which are nothing but games of chance,” advocate Anuj Malik, who has filed the PIL, argued. .Senior Advocate Atul Nanda, appearing for Malik before the Court, said the platforms were permitting betting. In particular, he referred to a platform that pays money to users for guessing the outcome of cricket matches.“A question is asked - India to win the 2025 ODI against England? Yes and No. Can it be a game of skill? This is pure betting, old age satta. This must be curbed for the protection of the youth,” Nanda submitted.Nanda, who was assisted by Advocate Rameeza Hakim, added that State governments and authorities like SEBI at present have to write letters to the Union of India for the takedown of these sites. “All these authorities are taking cognizance but they don’t have the regulatory power,” he argued..At this, the Court remarked,“These are instances where Science has taken a march over law; law has left behind and science has gone very ahead, because technology at present times is changing so fast, developing…” Nanda then submitted that the petitioner was concerned about rising suicides among youth due to such betting platforms.“That is why we have issued notice,” the Court remarked..In response to the PIL, Additional Solicitor General Satya Pal Jain informed the Court that a similar matter is already pending before the High Court. He added that the Court may issue notice in the present case to enable him to seek instructions from the concerned union ministries.The Court then issued notice to the respondent-authorities and listed the matter for consideration on May 20..The PIL has sought directions to restrain all online trading platforms and mobile applications from advertising, promoting or marketing betting and wagering activities through social or mainstream media, in violation of the Public Gambling Act and other provisions of the law.It has also urged the Court to direct authorities like the National Payment Corporation of India and RBI to freeze bank accounts associated with such online platforms.In particular, the petitioner has highlighted that during the ongoing IPL season, these platforms are actively capitalizing on public excitement and fan engagement to promote betting under the guise of opinion trading.“The resulting harm includes impulsive financial decision-making and significant monetary losses,” the plea moved by Malik contends..He has also stated that these ‘opinion trading’ models are falsely equated with legally recognized skill-based formats like online rummy or fantasy sports. “Opinion trading platforms, which allow users to wager on the outcomes of uncertain future events squarely fall within the definitions of betting and gambling under the [Haryana Prevention of Public Gambling] Act Therefore any individual or entity that such platforms is prima facie in of the Act and liable to be prosecuted under its penal provisions,” Malik has argued..Follow Bar and Bench channel on WhatsAppDownload the Bar and Bench Mobile app for instant access to the latest legal news.