The Karnataka High Court will today, August 30, hear a petition challenging the Promotion and Regulation of Online Gaming Act, 2025. The plea, filed by New Delhi–based Head Digital Works Private Limited and another gaming firm, argues that the Online Gaming Act is unconstitutional and harmful to the industry.
The petitioners say the new law shuts down the skill-based gaming sector, which includes popular games like rummy and poker. They warn that this move will not only curtail the freedom of players but also result in large-scale job losses and destroy years of investment in India’s online gaming market.
The plea challenges several sections of the Act, including provisions that ban skill games, restrict banks from processing payments, and make violations a cognisable and non-bailable offence. According to the petitioners, these rules criminalise all games played with stakes, whether based on skill or chance.
The petition also highlights a conflict between state and central positions. The Union government had earlier told the Madras High Court and Parliament that states have the authority to regulate online gaming. Petitioners argue that Karnataka’s law was passed without meaningful consultation or debate and undermines investor confidence.
