Online Gaming Bill, 2025 | Karnataka High Court Seeks Centre’s Reply on Plea Against Ban

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Today, On 30th August, The Karnataka High Court has sought the Union government’s response on a plea challenging the Online Gaming Bill, 2025, which bans game like rummy and poker. The petition by Head Digital Works will be heard on September 8.

The Karnataka High Court requested a response from the Union government regarding a petition challenging the validity of the Promotion and Regulation of Online Gaming Bill, 2025, which prohibits online money games like rummy and poker.

The petition was submitted by Head Digital Works Private Limited, a major player in the online gaming sector.

Justice BM Shyam Prasad issued a notice to the Union and scheduled the matter for September 8 at 2:30 PM, where the request for interim relief will be reviewed.

Senior Advocates C Aryama Sundaram and Dhyam Chinappa, representing the company, contended that the legislation, despite its title suggesting a focus on the “promotion” of online gaming, effectively enacts a comprehensive ban.

Cautioning that the sudden shutdown of the industry could result in significant backlash, Sundaram stated,

“The challenge is to an Act which is ironically for promotion of online gaming. I am seeking an interim order … We are talking about employment,”

He requested that the government be prevented from notifying the law until the court has had a chance to evaluate the issue.

Solicitor General (SG) Tushar Mehta and Additional Solicitor General N Venkataraman represented the Union of India. SG Mehta noted that this case marks the first occasion a court will assess Parliament’s authority to legislate on money gaming.

He remarked,

“Once the President of India has assented, notifying is a Constitutional function. Judiciary would not prevent [it] without even examining,”

When questioned about the possibility of the law being notified immediately, the Solicitor General indicated that he would need further instructions but acknowledged that such a notification was feasible.

The Promotion and Regulation of Online Gaming Act, 2025 stands as the first central legislation to impose a nationwide ban on online games played for stakes. The Bill was introduced in the Lok Sabha on August 20, swiftly passed by voice vote in both Houses within two days, and received Presidential assent on August 22.

This law criminalizes the offering or playing of online money games, regardless of whether they are classified as games of skill or chance, with offenses categorized as cognizable and non-bailable.

Head Digital Works Private Limited, which operates the A23 platform, challenged Sections 2(1)(g), 5, 6, 7, and 9 of the 2025 Act.

The company argues that these provisions impose an overarching ban on online skill games such as rummy and poker by categorizing them alongside gambling. The petition claims this infringes upon Articles 14, 19(1)(a), 19(1)(g), 21, and 301 of the Constitution.

According to the petitioner, Parliament lacks the legislative authority to enact such a prohibition, and the law disregards binding Supreme Court and High Court precedents that recognize skill games as legitimate business activities protected under Article 19(1)(g).

Head Digital Works also pointed out the economic consequences of the law, mentioning that it employs over 600 staff across various cities and highlights that the broader sector supports nearly 200,000 jobs. The company has paid Rs.1,643 crore in GST since the tax’s introduction, including Rs.687 crore in 2024-25.

Moreover, the company emphasized that the abrupt ban jeopardizes investments amounting to nearly Rs.23,440 crore, including foreign capital, and undermines ongoing CSR initiatives.



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