India Cracks Down on Illegal Online Gaming Platforms Endorsed by Celebrities

The Indian government is taking strong action against offshore online money gaming platforms that are operating illegally in the country. The finance ministry's tax enforcement agency has blocked 357 illegal offshore gaming entities and frozen ₹126 crore in funds. They have also blocked 2,400 bank accounts linked to these operations.

Many of these platforms are being promoted by famous Bollywood actors, cricketers, and social media influencers. The finance ministry has warned the public to be careful and avoid using these offshore online gaming platforms.

With the Indian Premier League (IPL) season started the government plans to increase enforcement actions to stop illegal gaming operations. According to the finance ministry, it's important for people to stay informed and choose regulated platforms for responsible gaming.

The Directorate General of Goods and Services Tax Intelligence (DGGI), which is the enforcement agency involved, has also begun operations against some Indian nationals who are running online money gaming platforms from outside India. These individuals are providing online money gaming services to Indian customers through various platforms including Satguru, Mahakaal, and Abhi247.

As per the reports, these operators are using "mule" bank accounts to collect money from Indian customers. The DGGI has blocked 166 mule accounts connected to these platforms. Three individuals have been arrested so far, and investigations against more people are ongoing.

Under GST law, online money gaming is classified as a supply of 'Goods' and is subject to a 28% tax. Companies operating in this sector are required to register under GST. However, around 700 offshore entities involved in online money gaming, betting, or gambling are currently under investigation by the DGGI for tax evasion.