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Cybersafety: Regulator enforces stricter rules against 114 illegal online gambling and betting platforms

File Photo of the Indian Government-Banned Apps to Protect Digital Consumers

*The Union Government in India is enforcing stricter UPI rules, including mandatory registration, to curb the mushrooming of as many as 114 offshore online platforms illegally offering gambling and betting services to unwary consumers through ‘domain farming’ in the country’s digital ecosystem

Isola Moses | ÂÌñÏׯÞ

As part of effort at protecting consumers, the Union Government, in India, is planning stricter rules to curb the mushrooming of offshore platforms illegally offering gambling and betting services in the country.

ÂÌñÏ×ÆÞ learnt the measure is aimed at curtailing the spread of illegal online gambling and betting via offshore platforms, and the Centre is planning to tighten the rules, especially on UPI payments.

The government has found as many as 114 illegal betting and gambling platforms operating in India through domain farming, agency report said.

The government noted it had found as many as 114 illegal betting and gambling platforms operating in India through domain farming, people aware of the details revealed the move.

Domestic online gaming companies flagged several such offshore betting and gambling platforms in a presentation to the revenue department last week, according to report.

Registration has become mandatory for offshore gaming companies since October 1, 2023.

Enforcement of tax collection at source

As part of the measures to control the illegal platforms, the Centre is planning tax collection at source (TCS) on UPI payments.

This is with a view to actively tracking and blocking unregistered online gaming firms, and a stricter verification process, agency report said.

In July, the Information Technology (IT) Ministry had ordered the blocking of 138 offshore betting platforms, including Parimatch, Fairplay, 1XBET, Lotus365, Dafabet and Betwaysatta, that were engaged in gambling, on the recommendation of the Directorate General of GST Intelligence (DGGI).

However, these Web sites reportedly continued to operate in India, using surrogate news Web sites and changing payment proxies linked to Indian bank accounts.

For instance, Parimatch is now parimatchnews while Lotus365’s domain name has changed from lotus365.com to lotus365.in, according to report.

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