The company is accused of breaching the state’s new ban on online gaming.
India.- Dream11, one of India’s most popular gaming apps, has suspended operations in the southern Indian state of Karnataka after a complaint was filed claiming that it was violating the state’s new ban on online gambling.
The new law, which took effect last week, prohibits online gambling and “any act or risk of money, or otherwise on the unknown outcome of an event, including a game of skill.” Many apps have stopped providing their services, but Dream11 had continued running.
According to Reuters, a complaint against the company was made in Bengaluru, India’s tech capital, by a 42-year-old taxi driver.
Companies to challenge Karnataka online gambling ban
Several companies have criticised Karnataka’s new legal amendment, arguing that it will damage the state’s standing as a tech centre and start-up capital. Roland Landers, AIGF CEO, who has complained that the bill makes no distinction between online gambling and online games of skill, is now considering looking for legal recourse.
Biren Ghose, the chairman of the CII’s National Committee on AVGC and president of the Association of Bangalore Animation Industry (ABAI) said: “The current bill that Karnataka has passed banning online games is a massive blow to the fastest growing sector in Indian entertainment. “
According to Hindustan Times, companies want the government “to frame a set of rules in consultation with the industry in order to ensure that legitimate games of skills do not fall under the purview of such a ban.”