Breaking: Tamil Nadu takes strong stand against online gaming, RMG players left red faced

On Wednesday, the Chief Secretary of the Tamil Nadu government took a firm stance against online gaming. The Tamil Nadu Online Gaming Authority (TNOGA) launched an awareness campaign aimed at addressing the addiction issue of online gaming in the state. This campaign comes as Tamil Nadu is in the process of developing a policy for regulating online gaming.

During the event, N. Muruganandam, Chief Secretary of Tamil Nadu stated that teachers and parents should be informed about the addictive nature of online gaming. He also referenced the government’s decision to implement the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act, 2022.

Muruganandam also suggested the parents and teachers to monitor activities of their kids to keep them away from online gaming addiction.

Hinting at the possibility of once again banning certain games in the state, Muruganandam remarked that during the COVID-19 pandemic, many young children became addicted, prompting the government to introduce legislation authorizing the regulation of online games in the state.

An RMG (Real Money Gaming) operator, speaking on condition of anonymity, said, “This statement from the government comes at a time when the state is drafting a policy around online gaming. We ensure that our games are safe to play. Additionally, we comply with all central government regulations.”

Another RMG operator added, “The government has yet to hold a second consultative meeting with stakeholders to finalize the draft of the policy. Such a harsh stance could complicate the process of creating a comprehensive policy on gaming.”

On July 24, 2024, the first consultative meeting took place between Tamil Nadu officials and representatives from the All India Gaming Federation, Federation of Indian Fantasy Esports, E-Gaming Federation, and the Game Developers Association of Tamil Nadu.

It’s worth noting that in November 2023, the Madras High Court struck down the law banning online money games such as rummy and poker, declaring the law "unconstitutional."

A bench comprising Chief Justice SV Gangapurwala and Justice PD Audikesavalu stated that while the state government has the authority to create rules to limit the time spent on online games or to set age restrictions for both games of chance and skill, it can only ban games of chance, not games of skill.

The court further clarified that the Act could not be used to ban skill-based games like rummy and poker.

"Certainly, online gambling can be prohibited by the state. The state has ample authority to enact legislation prohibiting online gambling, and it also has the power to regulate online skill-based games within Tamil Nadu. Instead of regulating these skill-based games, such as rummy and poker, the state simply banned them, which exceeded its legislative competence," the High Court stated.

Tamil Nadu government is yet to decide a date on the second consultative process with the stakeholders.