MeitY Issues Orders to Block 22 Illegal Betting Apps, Including Mahadev Book, Under Section 69A of IT Act The Ministry of Electronics and Information Technology (MeitY) has taken action by ordering the blocking of 22 illegal betting apps and websites, among them Mahadev Book Online and Reddyannaprestopro. These orders were executed under Section 69A of the IT Act, and they followed investigations carried out by the Enforcement Directorate (ED) concerning an illegal betting app syndicate.
A recent ED investigation led to raids on Mahadev Book in Chhattisgarh, exposing the app’s unlawful operations. The agency also alleged that the promoters of the Mahadev Book App had made substantial payments of around Rs 508 crore to Chhattisgarh Chief Minister Bhupesh Baghel. However, the Congress party dismissed these allegations as a malicious attempt to tarnish Baghel’s reputation.
According to Rajeev Chandrasekhar, the Minister of State for Electronics and IT, the Chhattisgarh government had the authority to recommend the shutdown of the website/app under Section 69A of the IT Act but did not do so. The State government had been investigating the matter for the past 1.5 years. The only request received had come from the ED, and it was acted upon. Chandrasekhar noted that nothing prevented the Chhattisgarh government from making similar requests.
During the probe, the ED froze and seized assets valued at Rs 417 crore in connection with the Mahadev App online betting case. The probe agency has also arrested at least four individuals, including Bhim Singh Yadav, a constable in the Chhattisgarh Police Force, and one Asim Das, under the Prevention of Money Laundering Act (PMLA) for money laundering offenses.
The investigation uncovered that the Mahadev App operates from a central head office in the UAE. The company employed an online book betting application to recruit new users and launder money through various Benami bank accounts.
Following recent amendments to IT rules, any online real money gaming or website involving betting or wagering as an outcome is prohibited. These amendments aim to ensure compliance with Indian laws and protect users, especially concerning betting or gambling outcomes in games.
Exciting news! We’re now on WhatsApp Channels too. Subscribe today by clicking the link and stay updated with the latest insights in the startup ecosystem! Click here!
The government has also introduced a self-regulatory mechanism to verify games involving real money that do not promote betting or gambling as outcomes. However, an approved self-regulatory organization (SRO) is yet to be established by the government.