In a bid to rein in online betting platforms, the Central Consumer Protection Authority (CCPA) on Wednesday, October 19, sent show-cause notices to six online betting apps for violating advertising norms, sources privy to the developments told CNBC-TV18.
The CCPA alleges that six online betting apps misled consumers by issuing surrogate advertisements on news platforms, according to multiple people familiar with the development.
This comes after the Centre issued advisories to news websites, OTT platforms, and private satellite channels, asking them to refrain from carrying advertisements on online betting sites.
The Ministry of Information and Broadcasting advisory also warned private satellite television channels of penal action under applicable laws for violation of the advisory.
| Online betting app name | Surrogate advertisement |
| Fairplay | Fairplay News |
| Dafabet | Dafa News |
| IndiaBet | India Bat |
| Parimatch | Parimatch News |
| 1xBet | 1xBat (Sports Blog) |
| Wolf777 | Wolf777 News |
"The concerned betting platforms and the corresponding news websites are also not registered with any legal authority under Indian laws," the advisory said, adding that the online offshore betting platforms appear to be promoting betting and gambling under the garb of news through surrogate advertising.
The advisory said the Department of Consumer Affairs has also informed that online betting platforms have been advertising themselves as professional sports blogs and sports news websites.
In 2020, the ministry issued an advisory to private satellite TV channels asking them to adhere to the Advertising Standards Council of India (ASCI) guidelines on advertisements of online gaming, "which contained specific Do's and Dont's for static/print and audio-visual advertisements of online gaming."
The ASCI guidelines, which came into effect on December 15, 2020, stipulated that no gaming advertisement would depict any person, under the age of 18 years or the person who appears to be under the age of 18, engaged in playing a game of "online gaming for real money winnings", or suggest that such persons can play these games.
"The advertisements should not present 'online gaming for real money winnings' as an income opportunity or an alternative employment option," the guidelines said, adding, "The advertisement should not suggest that a person engaged in gaming activity is in any way more successful as compared to others."
The ASCI guidelines also provided that every such "gaming advertisement" must carry a disclaimer, which in the case of print media should read as: "This game involves an element of financial risk and may be addictive. Please play responsibly and at your own risk."
First Published: Oct 19, 2022 5:54 PM IST
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