In the last week of March , a bench of the Madras High Court, consisting of Justices S.M. Subramaniam and K. Rajasekar, heard a petition challenging the Tamil Nadu Online Gaming (Regulation) Act, 2022 (TNOGA). The Act, aimed at regulating online real-money gaming (RMG) in the state, has faced strong opposition from gaming companies.
Senior counsels Mukul Rohatgi and Sajan Poovayya represented leading RMG platforms, including A23, Junglee Rummy, and RummyCircle. They argued that the legislation is unconstitutional based on three main grounds:
- Curfew on Online Gaming: The petitioners opposed the Act’s imposition of a ban on online gaming from midnight to 5 AM, calling it arbitrary and without a rational basis. They argued that this restriction unfairly infringes on players’ personal freedoms and rights.
- Aadhaar-Based Authentication: The law requires Aadhaar authentication for verifying users, a provision the gaming companies claim is “impossible to comply with.” They highlighted that the central government does not allow Aadhaar for such verification due to privacy concerns under the Aadhaar Act, 2016.
- Jurisdiction Over Online Gaming: The petitioners argued that online skill-based gaming falls under the jurisdiction of the central government’s Information Technology (IT) Rules, 2021, not state laws. They contend that Tamil Nadu does not have the authority to regulate such activities.
During the hearing, the court questioned whether the regulations could truly be seen as excessive or arbitrary, especially in light of the potential harm caused by real-money gaming. The bench expressed concern over the addictive nature of these games, their social consequences, and the financial losses experienced by players, particularly vulnerable individuals.
The court is expected to hear further arguments from senior advocate C. Aryama Sundaram, representing the E-Sports Players Welfare Association. Tamil Nadu’s Advocate General P.S. Raman and Additional Advocate General Amit Anand Tiwari will present the state’s position next week.
In the meantime, several gaming companies have begun implementing TNOGA’s regulations as of March 26, following a six-week extension granted by the state government to allow companies more time to comply.
Reference: https://www.storyboard18.com/gaming-news/aadhaar-authentication-impossible-gaming-companies-tell-madras-high-court-60537.htm
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