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Govt proposes to make online money game rules violation non-bailable entire company staff liable

by AIP Online Bureau | Oct 4, 2025 | Eco/Invest/Demography, Indian News, Regulation, Technology | 0 comments

Section 5 under the draft rules prohibits entities from offering, aiding, abetting, inducing or engaging in online money games and online money gaming services. Section 7 bars banks, financial institutions, or any other person from facilitating financial transactions for any online money gaming service

New Delhi: The government has proposed to make violation of online money gaming rules a non-bailable offence and hold the entire company staff liable for facilitating the breach, according to the draft rules released on Thursday.

Draft rules proposed to allow any authorised officer under the rules to enter any place, whether physical or digital, and search and arrest without warrant any person found to be suspicious of having committed or about to commit any offence under the Promotion and Regulation of Online Gaming (PROG) Act 2025.

“Notwithstanding anything contained in the Bharatiya Nagarik Suraksha Sanhita, 2023, offences under section 5 and section 7 shall be cognizable and non-bailable,” according to the draft rules.

Section 5 under the draft rules prohibits entities from offering, aiding, abetting, inducing or engaging in online money games and online money gaming services.

Section 7 bars banks, financial institutions, or any other person from facilitating financial transactions for any online money gaming service.

The draft rules have been framed under section 19 of the PROG Act, which received the President’s assent and was notified on August 22.

The Act approved by Parliament in August bars online money games and money-based gaming services in the country, as well as their promotion.

The rules propose protection to officers or persons authorised to conduct searches of suspicious places, including devices under the Act, from any sort of lawsuit or legal proceedings.

The Ministry of Electronics and IT has invited feedback and comments on the draft rules by October 31.

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