The ongoing hearings in the Supreme Court of India will determine whether states can ban online rummy and other skill-based games played for stakes, a case that could reshape the entire online gaming and iGaming landscape.
The bench is hearing appeals from Karnataka and Tamil Nadu, both challenging High Court rulings that struck down their state laws banning online money games. Key arguments include:
- States, under Entry 34 of the State List, can legislate on betting and gambling, which could extend to skill games when played repeatedly for stakes with uncertain outcomes and prize incentives.
- Even skill-based games like rummy, when monetised and commercialised, can become addictive and harmful, giving states the right to impose paternalistic bans for public welfare under Article 19(6) of the Constitution.
- Operators argue such bans violate trade rights under Article 19(1)(g) and disregard the distinction between games of skill vs chance established in prior judgments.
The decision will have sweeping implications for rummy operators, online poker platforms, esports, and India’s iGaming industry, which faces ongoing scrutiny over GST, taxation, and regulatory controls.
