The Madras high Court Thursday upheld the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act, 2022 but ruled that its prohibitory provisions will be applicable only to games of chance and not to games of skill such as Rummy and Poker. The high court upheld the argument of gaming companies that while the state can regulate online games, it cannot impose a blanket ban. The decision came after several gaming companies moved the Madras HC challenging the TN Prohibition of Online Gaming and Regulation of Online Games Act, 2022.
The petitioners included the All India Gaming Federation, Gameskraft, Games24x7, Junglee Rummy, and A23. They argued that while the game is legal when played physically, it becomes illegal when offered online. They cited a Supreme Court judgment that holds rummy to be a game of skill.The gaming companies argued that the TN government can only regulate online games, not ban them. They also stated that there is no data to support claims of addiction.
The Tamil Nadu government had earlier told the High Court that addiction to online game was "destroying families" and that its new Act banning all forms of online gaming was necessary to protect the citizens of the State.The Act that received the Governor's assent on April 10 this year prohibits all forms of online gambling and online 'games of chance' including online Rummy and Poker.Senior Advocate Kapil Sibal and Advocate General R Shunmugasundaram appeared for the Tamil Nadu government.Senior Advocate Abhishek Manu Singhvi along with advocates Suhaan Mukerji, Abhishek Manchanda, Arun Mohan and Ashwini Vaidyalingam from PLR Chambers appeared for Gameskraft TechnologiesSenior Advocates Mukul Rohatgi, Sajan Poovayya and advocate Deepika Murali appeared for other petitioners.