Esports get the green light, but RMG faces red flags in Tamil Nadu
Storyboard18 was the first to report that the Tamil Nadu government is considering an Australia-like gaming policy, which would age-restrict social media and gaming platforms.
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The state of Tamil Nadu has finally clarified its stance, with the government introducing esports and free-to-play games such as Battlegrounds Mobile India (BGMI), FIFA, e-cricket, basketball, and online chess as part of the Chief Minister’s Trophy, scheduled for October 18. This initiative once again indicates challenging times ahead for Real Money Gaming (RMG) operators in the state.
N. Muruganandam, Chief Secretary of the Tamil Nadu government, had hinted at banning certain games and noted that online gaming addiction among children has grown, leading to harmful effects. Including esports in the CM's trophy clearly showcases Tamil Nadu government's plan to restrict pay to play games in the state.
Storyboard18 was the first to report that the Tamil Nadu government is considering an Australia-like gaming policy, which would age-restrict social media and gaming platforms.
A spokesperson from Skyesports stated, “We are glad to have collaborated with the Tamil Nadu government to promote esports and free to play video games. We will begin calling for registrations next week. This will be free-to-play for all participants. The CM’s trophy is considered one of the premier state events in Tamil Nadu.”
With this initiative, the government has clearly sent a strong message that free-to-play video games are not viewed as a major threat. Gambling and betting platforms are already banned in the state, and the government now plans to impose restrictions on RMG operators. Failure to adhere to these restrictions will lead to the banning of websites and apps.
An RMG operator that Storyboard18 spoke to said, “It is now clear that the Tamil Nadu government will focus on RMG operators. We have taken a strong stand before, and we will seek legal recourse if any government policy is unconstitutional. It’s more of a wait-and-watch situation for us now.”
Recently, the Tamil Nadu Online Gaming Authority (TNOGA) also took a firm stance against gambling firms, initiating legal action against over 12 YouTubers, Instagram influencers, and a private firm for promoting online betting and gambling. If convicted under the Tamil Nadu Online Gaming Act, they could face fines ranging from five to ten lakh rupees and up to three years in prison.
Moreover, Tamil Nadu is set to introduce new regulations for online gaming, which may include daily time and spending limits. The Tamil Nadu Online Gaming Authority, established last year, has recommended that online gaming be banned between midnight and 5 a.m., with a daily play limit of four hours and each session restricted to two hours.
Under the proposed rules, players may be limited to spending no more than Rs 5,000 per day and Rs 20,000 per month on gaming platforms. Additionally, mandatory Aadhaar verification is expected to be introduced for all registrations on these platforms.
It’s important to note that in November 2023, the Madras High Court struck down the law banning online money games like rummy and poker in the state, declaring the law "unconstitutional."
A bench comprising Chief Justice S.V. Gangapurwala and Justice P.D. 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.
