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Supreme Court to Hear Centre’s Bid to Consolidate Challenges to Online Gaming Ban

Notification remains pending, with rules, an oversight authority, plus refund guidance in progress.

Overview

  • Chief Justice B. R. Gavai agreed to list on Sept. 8 the Centre’s plea to transfer constitutional challenges from the Karnataka, Delhi and Madhya Pradesh high courts to the Supreme Court.
  • Karnataka, Delhi and Madhya Pradesh courts have declined interim stays or injunctions so far, with notices issued to the Union government and further hearings scheduled.
  • The government told courts and stakeholders it is framing rules and constituting the statutory authority, with draft rules and FAQs expected in roughly three to four weeks and a transition period without coercive action.
  • MeitY instructed banks and fintechs to process legitimate transactions for gaming firms, including user refunds, vendor payments and tax filings, with a broader payments advisory under consideration.
  • Major real‑money gaming platforms have halted cash games and begun pivots to free‑to‑play models, with layoffs reported across several companies as the sector restructures under the new law.