Govt moves to keep betting ads in check

On Monday, the Ministry of Information and Broadcasting issued two advisories, urging private television channels, digital news publishers, and over-the-top (OTT) platforms to avoid featuring surrogate advertisements from online betting sites due to their significant financial and socio-economic risks for consumers.

The ministry cautioned that offshore betting platforms are utilizing surrogate news websites for advertising on digital media, and the logos of these surrogate sites closely resemble those of betting platforms. Notably, neither the betting platforms nor the news websites are registered with any legal authority in India. The ministry emphasized that violating the advisory would lead to penal action under applicable laws.

In June, a prior advisory was issued, urging newspapers, private TV channels, and digital news publishers to refrain from publishing ads of online betting platforms. The government observed that sports channels on television and OTT platforms were showcasing advertisements from offshore online betting platforms and their surrogate news websites.

Platforms like Fairplay, PariMatch, Betway, Wolf 777, and 1xBet were identified as promoting betting and gambling under the guise of news, as per the I&B ministry. The department of consumer affairs provided a list of online betting platforms engaging in surrogate advertising, including professional sports blogs and news websites.

Given the illegality of betting and gambling in most parts of the country, ads of betting platforms and their surrogates are also deemed illegal, according to the ministry. The advisories align with the provisions of the Consumer Protection Act 2019, Cable TV Network Regulation Act, 1995, and IT Rules, 2021.

Manisha Kapoor, CEO of the Advertising Standards Council of India (ASCI), highlighted the legal restrictions on betting and its advertising in India. She emphasized the importance of broadcasters and platforms adhering to regulations, as airing such ads could harm consumers and the reputation of the platforms.

Meenakshi Menon, a communication specialist and founder of Spatial Access Pvt. Ltd, suggested that the government is tightening regulations to prevent betting and gambling systems from bypassing the exchequer. She anticipated potential formalization in this space within the next six months.

Communication strategy consultant Karthik Srinivasan applauded the government’s move to reinforce existing laws, emphasizing the dangers of allowing these companies to promote services in a grey area, potentially leading people to lose their hard-earned money.

IPR lawyer Safir Anand emphasized that offshore companies engaging in such activities are violating the law, as the game/contest and its corresponding advertising are illegal in India.