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Nazara Tech, Delta Corp Among Gaming Stocks Sink 5% After Cabinet Okays Online Gaming Bill
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Gaming stocks in India, like Nazara Technologies and Delta Corp, dropped over 5% after the Cabinet approved a bill to ban all real money games.
News18
Gaming Stocks In India: Nazara Technologies, Delta Corp and OnMobile among gaming stocks in India fall over 5 per cent intraday on Wednesday, after the Cabinet cleared the online gaming bill, suggesting a complete ban on all real money games, including those based on skill.
Nazara Technologies shares sank 5 per cent intraday to Rs 1,332 apiece, against the previous day close at Rs 1,399.70 apiece.
Meanwhile, Delta Corp shares fell 2 per cent to Rs 86.61 apiece, against the previous day close at Rs 92.88 apiece.
According to sources, the proposed legislation introduces strict provisions for penalty, punishment, and even banning of online games involving betting or gambling. Importantly, celebrities will not be allowed to endorse or promote betting-related gaming apps, with legal action planned against violators.
The bill, which is expected to be tabled in the Lok Sabha today, aims to draw a clear line between entertainment-focused online games and those involving money and wagering. Normal online games will not face restrictions and may even be considered as part of global Olympiads in the next 10 years.
On the taxation front, the government is also exploring the possibility of bringing betting-related gaming apps under the GST category of 'sin goods," which could attract a levy as high as 40%, the sources added.
The move is part of the Centre's broader effort to regulate the fast-growing online gaming industry, prevent misuse, and ensure safeguards against financial fraud and other unlawful activities.
India's online skill gaming industry, valued at over Rs 2 lakh crore and supporting more than 2 lakh jobs, is at risk of collapse if the proposed Draft Gaming Bill, 2025—which seeks to ban all real-money games including skill-based ones—is passed, industry bodies have warned.
In a joint representation to Union Home Minister Amit Shah, the All India Gaming Federation (AIGF), E-Gaming Federation (EGF) and Federation of Indian Fantasy Sports (FIFS) urged urgent intervention, arguing that such a move would not only destroy over 400 companies but also push crores of Indian players towards illegal offshore gambling operators.
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