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Betting, casino companies are finding new advertising opportunities despite the government ban

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Even as the Indian government has banned 138 gambling apps, offshore gambling and casino companies are finding new ways to advertise their illegal wares to millions of unsuspecting Indians.

These platforms continue to leverage sports teams, personalities, and industry sponsorships extensively in India.

The Ministry of Electronics and Information Technology (MEITY) banned 138 gambling/gambling websites and apps under Section 69(A) of the IT Act, saying they “engaged in illegal money laundering and threatened financial security of our country,”

In 2022, the Ministry of Information and Broadcasting had issued two opinions against advertising for betting on digital media platforms and TV channels. It had also warned against offshore betting platforms using news as a surrogate product and promoting betting in the form of news.

Football and Kabaddi are two sports that continue to see many betting companies. Stake, an online casino, is the main partner of ISL teams Mumbai FC and Hyderabad FC. Parimatch is the main sponsor of the football team Goa FC. The betting site, Dafa is a sponsor of Kabaddi team Telugu Titans, while Fair game is a partner of Jaipur pink panther. Bollywood star Nargis Fakhri is Betway’s brand ambassador.

The India Affiliate Summit, organized by IAMAI, has among its partners and sponsors some of the largest gambling and casino companies, including Parimatch and Rajabet.

Billed as the “largest performance marketing event in India”, the India Affiliate Summit will be held in October 2023. Parimatch and Khelraja were among the esteemed speakers of the 2022 summit. IAMAI had recently stated that it is most suitable to form the proposed self-regulatory organization (SRO) for online gaming.

In an interview with Mint, the CEO of now banned gambling company Parimatch said that offshore gambling companies are depositing $1 billion every month or about INR a lakh crores per year.

This makes the illegal gambling and casino sector bigger than the legitimate online gambling industry. According to Lumikai’s State of India Gaming Report, the Indian gaming industry saw revenue of just $2.6 billion in FY 2022.

The Union Ministry of Electronics and Information Technology (MeitY) recently released a draft of rules for online gambling companies and sought feedback from various stakeholders. IAMAI said the rules are “good on intent but poor on scoping”. Four of India’s largest gaming companies had said in a letter to MeITY that IAMAI had not consulted them before making the statement public.

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