Tamil Nadu bans online real money gaming between 12 AM to 5 AM under new regulations

Real-money gaming platforms in Tamil Nadu must now disable logins between midnight and 5 a.m., following new rules introduced by the Tamil Nadu Online Gaming Authority, Moneycontrol reported.

The move aims to curb excessive gambling behaviour and protect minors, adding to the industry’s growing regulatory hurdles.

Mandatory KYC and usage restrictions

The Tamil Nadu Online Gaming Authority has made it compulsory for all real-money gaming platforms to verify users through Know Your Customer checks at the time of account creation. The new guidelines prohibit anyone under 18 from registering or playing on these platforms and introduce a strict restriction on playtime by banning logins from midnight to 5 a.m.

The regulations also direct platforms to display continuous caution messages. Users must see warnings about the addictive nature of online gaming on the login page, along with notifications of how long they have been playing. After one hour of continuous play, a pop-up alert will appear, and it will repeat every 30 minutes until the user logs out. 

The rules also require gaming companies to remind players of their spending habits by showing fixed deposit limits and the amount spent so far whenever money is deposited.

New authority and background

The Tamil Nadu Online Gaming Authority was set up in August 2023 as a five-member body chaired by retired IAS officer Md. Nasimuddin. It is empowered to issue registrations, supervise local online gaming providers, and identify games of chance that the state may choose to ban.

In April 2023, the state government prohibited online rummy and poker by classifying them as games of chance, effectively labelling them as gambling.

However, the Madras High Court overturned that ban in November 2023 but allowed the government to impose rules on time limits and age restrictions.

India’s gaming sector is growing at a rapid pace, with revenue of $3.8 billion in the financial year 2024, up from $3.1 billion in FY23, according to a Lumikai report.

Out of the $3.8 billion, about $2.4 billion came from real-money gaming, and the overall industry is expected to surpass $9.2 billion by FY29.