By Khabar Rojana 
India’s online gaming industry faces its first major courtroom battle as A23 challenges the new law banning all money-based games in the Karnataka High Court. The case, listed for August 30, could set a precedent for the future of skill-based gaming platforms in India.
India’s booming online gaming industry has come under shock after the Promotion and Regulation of Online Gaming Act, 2025, banned all real-money games—irrespective of whether they involve skill or chance. The law, cleared by Parliament and signed by President Droupadi Murmu on August 22, has forced major platforms like Dream11, WinZO, Zupee, and PokerBaazi to suspend operations.
Now, A23, one of India’s leading skill-based gaming firms, has approached the Karnataka High Court, challenging the blanket ban. The petition will be heard on August 30, marking the first legal test of the new law.
A23’s petition against the ban
In its filing, A23 argued that the legislation “criminalises legitimate business” and unfairly impacts companies running rummy and poker platforms. With over 70 million registered users, A23 claims the ban could lead to an overnight collapse of gaming companies. The petition also called the law a product of “state paternalism” and urged the court to declare it unconstitutional for skill-based games.
Industry split on legal action
While A23 is fighting back, not all companies are opposing the law.
Gameskraft, a major rummy operator, announced it will comply, pausing its ‘Add Cash’ feature and halting gameplay services.
Dream11’s co-founder Harsh Jain said his firm will not fight the government’s decision, even though 95 per cent of revenues and profits vanished overnight.
Industry associations raise an alarm
Gaming bodies like the All India Gaming Federation (AIGF), E-Gaming Federation (EGF), and FIFS have warned the government that the sector is worth Rs 2 lakh crore and generates Rs 31,000 crore annually. They cautioned that the ban could result in massive job losses and disruption in one of India’s fastest-growing digital industries.
Opposition disruptions and political heat
The debate saw heated protests from the Opposition, who stalled proceedings while demanding a detailed discussion on the electoral roll revision in Bihar.
Responding to the uproar, Minister Vaishnaw accused the Opposition of “undermining democratic processes and targeting constitutional institutions” instead of participating in a constructive debate on an issue of national importance.
Next steps in regulation
The new law outlines the formation of dedicated regulatory bodies to monitor e-sports and online social gaming, ensuring standardisation, safer gameplay, and legal transparency for both businesses and players. However, it also introduces strict penalties and restrictions on money-based online games, including tighter control over platforms, advertisements, and financial transactions associated with them.