Indian federations sign MoU to combat offshore betting adverts

The Advertising Standards Council of India (ASCI) has penned a Memorandum of Understanding (MoU) with several online gaming federations to combat illegal betting ads in the country.

Alongside the ASCI, the “special monitoring cell” consists of the Federation of Indian Fantasy Sports (FIFS), the E-Gaming Federation (EGF) and the All India Gaming Federation (AIGF).

Having been in place since 2 January but only revealed today, 18 February, the MoU aims to clamp down on illegal operators advertising to Indian consumers.

The groups will also screen and process real-money gaming ads, which will then be reported to the relevant ministries.

While advertising gambling and offshore betting is illegal in India, online real-money gaming marketing is permitted by most Indian states due to them requiring “a predominance of skill”.

However, real-money gaming ads that that feature young people, portray winning as way of improving living standards or fail to inform players of the risks, are all illegal.

Since its creation last month, the ASCI has flagged 413 adverts relating to offshore gambling to India’s Ministry of Information and Broadcasting.

Prior to that, the council had flagged 1,336 ads between April 2023 and March 2024 to the ministry, which led to several ads being blocked.

Anuraag Saxena, EGF CEO, said the Indian public had been “duped and scammed” by illegal operators for years, believing the monitoring cell will create a safer industry for players.

Saxena noted: “Indian citizens have been duped and scammed by unscrupulous operators for years. The nation suffers, so do consumers, so does the domestic industry.

“Which is why we at EGF have been pioneering responsible gaming and mandatory audits of our gaming companies.

“The monitoring cell of ASCI will only boost our efforts. Together, we will uphold high ethical standards and create a safer, more trusted gaming landscape for all.”

ASCI CEO and general secretary Manisha Kapoor welcomed the MoU and called out how some of the offshore marketing contains Indian celebrities.

Kapoor added: “Indian consumers are exposed to numerous ads of offshore betting and gambling companies that have no accountability in India. Several Indian celebrities have been a part of such advertisements.

“Since gambling ads are prohibited in most parts of the country, their large-scale presence is a breach of the law. ASCI would like to surface such advertising to the regulators for necessary action.

“It is also key that the gaming industry, whose advertising is permissible in India, remains compliant with the ASCI Code.”

Commenting on LinkedIn, AIGF CEO Roland Landers said the MoU was critical to reporting the offending ads to the relevant regulators and credited the industry for stepping up to the challenge.

He remarked: “Offshore gambling ads exploit vulnerable consumers and these apps pose serious national security and user safety risks. It’s an ongoing battle, but the industry is stepping up.

“The MoU between the Advertising Standards Council of India, FIFS, EGF and AIGF is a critical step in identifying and escalating such ads to relevant government bodies and regulators, ensuring consumer protection and ethical business practices.

“This MoU marks a pivotal step towards protecting consumers, fostering ethical advertising and elevating the credibility of India’s online gaming sector. Together, we are dedicated to shaping a fair and sustainable ecosystem for all stakeholders.”

Elsewhere, reports in India have claimed the government could introduce new federal laws to regulate the online gambling sector.

As per local press, the Ministry of Home Affairs has begun exploring the possibility of introducing a new framework.

India’s 28% goods and services tax rate has impacted operators in the market, with Betway having pulled out of the region as a result.