NEW DELHI, March 22: The Indian government has ramped up its efforts to curb the illegal operations of offshore online money gaming entities by blocking 357 websites/URLs so far, with 700 more entities under active investigation. The Directorate General of Goods and Services Tax Intelligence (DGGI) has intensified enforcement actions, targeting both domestic and foreign operators within the online money gaming industry.
According to a statement from the Ministry of Finance, the DGGI, in coordination with the Ministry of Electronics and Information Technology (MeitY), has used Section 69 of the IT Act, 2000, to block these websites. The government has revealed that the blocked entities are involved in evading the Goods and Services Tax (GST) by not registering, concealing taxable pay-ins, and bypassing tax obligations.
So far, 357 websites/URLs of illegal or non-compliant offshore online money gaming platforms have been successfully blocked. Additionally, approximately 700 offshore entities linked to online money gaming, betting, and gambling are currently under the scanner of the DGGI.
Under the GST law, online money gaming is classified as a supply of “Goods” and is subject to a 28% tax. Entities operating in this sector are required to register under GST. In a recent operation against illegal gaming platforms, the DGGI targeted and blocked bank accounts being used to collect funds from participants. Nearly 2,000 bank accounts and Rs. 4 crore were seized in coordination with the Indian Cyber Crime Coordination (I4C) and the National Payments Corporation of India (NPCI)
In another major operation, 392 bank accounts linked to UPI IDs found on websites of these offshore gaming platforms were put on debit freeze, and funds totaling Rs. 122.05 crore were provisionally attached. The DGGI’s actions have also extended to Indian nationals running online money gaming platforms outside India. To date, 166 mule accounts linked to these platforms have been blocked, and three individuals have been arrested, with investigations into additional suspects ongoing.
The ministry highlighted that many well-known Bollywood celebrities, cricketers, and social media influencers, including those on YouTube, WhatsApp, and Instagram, have been found endorsing these illegal gaming platforms. As a result, the public has been advised to exercise caution and refrain from engaging with offshore online money gaming platforms. Engaging with these platforms could jeopardize personal finances and indirectly support activities that undermine national security and financial integrity
