Tamil Nadu Governor returns bill banning online gambling

Setting the stage for yet another confrontation with the DMK government, Tamil Nadu Governor R N Ravi has returned to the Assembly the bill banning online gambling and regulating online games. Highly placed sources told DH that the Governor returned the bill on the grounds that the state had “no legislative competence” over the issue of imposing a ban on online gambling.

The decision by the Governor to return a bill passed by the Assembly on October 19, 2022, comes amid growing incidents of suicides by people after losing money while playing rummy game online. The government says at least 44 persons have ended their lives after losing money in the past two years.

A source in the know told DH that the Governor has returned The Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Bill, 2022 to the Assembly, by raising at least half-a-dozen points. Besides arguing that the state had no legislative competence over the issue, the governor has also referred to judicial pronouncements with regard to online gambling by various courts in the past.

“Yes, the bill has been returned by the Raj Bhavan,” the source added. If the Bill is passed by the Assembly for the second time and sent to the governor, he has to give his assent.

The Governor, who is already involved in a running battle with the DMK dispensation, had signed an Ordinance passed by the state cabinet in early October on the issue. However, when the Bill was sent to him in October, the Governor sought clarifications several times from the state government.

The return of the bill from Raj Bhavan will intensify the confrontation between the governor and the government who do not see eye to eye on several issues.

The governor had come under attack from several opposition parties for sitting on the bill for several months. He was also criticised for meeting representatives from the E-gaming federation even as the bill was pending before him.

The bill had said no online games provider shall provide online gambling service or allow the playing of any online game of chance specified with money or other stakes or playing of any other online game in contravention of the regulations, in any form.

“No person shall make or cause to make any advertisement in any media including electronic means of communication, in the State, which directly or indirectly promotes or induces any person to indulge in online gambling or play any online game of chance specified in the Schedule, with money or other stakes,” the Bill read.

It also added that no bank, financial institution or payment gateway provider shall engage in any transaction or authorization of funds towards payment for any online gambling or any online game of chance specified in the Schedule.

The legislation was drafted by the government based on inputs received from the School Education Department on the effects of online rummy on students, and opinion received from people and other stakeholders.

This was the second time that Tamil Nadu acted against online rummy – the AIADMK government had in 2021 imposed a ban through a law which was struck down by the Madras High Court on the grounds that the legislation was drafted without enough proof and reasons.