E-Gaming Federation to file lawsuit against Tamil Nadu's online gambling ban

(Representational image: Keenan Constance via Unsplash)

Skill gaming industry body E-gaming Federation announced on October 19 that it plans to file a lawsuit challenging the recent ordinance by the Tamil Nadu government to ban online gambling, including rummy and poker in the state.

“After examining the ordinance, we have decided to file a lawsuit as it categorises Rummy and Poker as games of chance. This is in dissonance with multiple legal judicial pronouncements including the recent judgment by the Madras High Court, which has clearly segregated games of skill and chance," said Sameer Barde, chief executive of E-Gaming Federation.

E-Gaming Federation counts skill gaming firms such as Games24x7, Head Digital Works and Junglee Games among others as its members.

Barde said the Supreme Court and several High Courts have reaffirmed the status of skill-based games as "legitimate business activity" and the state must take cognizance of these judgments in "developing an enabling gaming policy that safeguards players than resorting to a ban".

Earlier this month, the Tamil Nadu government had passed an ordinance to ban online gambling. While rummy and poker were prohibited, the ordinance had also mentioned plans to "regulate online games in the state".

According to the ordinance, Tamil Nadu will establish the Tamil Nadu Online Gaming Authority, which will have the authority to regulate online games, issue registrations and oversee the functions of local online gaming providers, identify games of chance for suspension, and resolve any grievances or complaints received against any gaming provider.

The move comes as the Supreme Court has started hearing the Tamil Nadu government's petition challenging a Madras High Court decision that overturned the previous AIADMK-led government's November 2020 ban on online games involving the transfer of money. The state high court declared it unconstitutional in an order issued on August 3, 2021.

Moneycontrol had reported on October 10 that several online rummy and poker platforms such as Adda52, RummyCircle, Junglee Rummy, and PokerBaazi have started prohibiting access to people in Tamil Nadu after the state governor approved an ordinance on October 10 to ban online gambling.