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The Hindu
3 days ago
- Business
- The Hindu
Illegal gambling platforms pose grave threat to Indian youth: Report
A report by CUTS (Consumer Unity & Trust Society) International has raised alarm over the explosive growth of illegal online gambling platforms in India, warning of serious threats to minors, young adults, and national financial integrity. With estimated annual deposits nearing $100 billion, the report urges immediate regulatory intervention to combat this growing menace. It reveals that from April 2024 to March 2025, the top 15 illegal gambling platforms garnered over 5.4 billion visits through 40 mirror sites. 'These operators are exploiting India's advertisement and payment systems, siphoning off crores while putting Indian consumers at grave risk. The absence of regulatory safeguards has made India a fertile ground for these platforms,' said Pradeep Mehta, the secretary general of CUTS. The report flags how illegal operators target vulnerable youth through immersive, high-stakes experiences, bypassing age and identity verification protocols. According to the report, few platforms use psychological tactics to lure sensation-seeking users, while some offshore players even accept cash-on-delivery payments allowing minors to gamble without digital access or oversight. The report further states that a large chunk of user traffic - over 66% - comes via direct URLs or private channels, suggesting a high degree of brand familiarity and trust. According to the report, illicit payment tactics include misuse of UPI, mule accounts, and sophisticated appsto move funds under the radar. While the Ministry of Finance has initiated investigations into nearly 700 offshore entities and blocked 357 sites, the report says much more needs to be done. CUTS recommends a robust national framework backed by an inter-ministerial task force, collaboration with tech companies, public awareness campaigns, and behavioural research into gambling addiction. It also urges strong measures to monitor and block illegal websites and financial transactions. The report calls India's current approach 'manual and reactive.'
Hans India
3 days ago
- Business
- Hans India
Illegal gambling platforms putting minors and youth at risk: Report
A new report on Sunday raised serious concerns about the growing threat of illegal online gambling platforms in India, especially to vulnerable groups like minors and young adults. The report by public policy think tank CUTS International warns that these platforms are not only targeting impressionable users with addictive, high-risk games but are also bypassing basic safety checks, such as age verification and identity confirmation. It highlights that the scale of the problem is massive. Between April 2024 and March 2025, there were more than 5.4 billion visits to the top 15 illegal gambling platforms, spread across 40 mirror websites. Some platforms like Parimatch, 1xBet, Stake, Fairplay, and BateryBet are among the most visited. In fact, Parimatch's web traffic in March 2025 was higher than popular platforms like Google India, Amazon, Wikipedia, and Hotstar, revealing the alarming reach of these operations. CUTS International estimates that users are depositing close to $100 billion annually into these illegal betting platforms. Many of these platforms are based overseas and use loopholes in India's payment systems and advertising networks to operate freely, posing a major risk to both consumer safety and national security. Pradeep Mehta, Founder and Secretary General of CUTS International, said that illegal gambling operators are exploiting India's digital infrastructure while evading any form of accountability. "This presents a major national security threat and also exposes Indian consumers to serious harm," Mehta said at the report's release. One of the most disturbing findings of the report is how easily minors can access these gambling sites. These platforms often avoid even the most basic checks like KYC (Know Your Customer) or age verification. Some even offer cash-on-delivery payment options, allowing teenagers with no access to digital wallets or cards to gamble repeatedly without any supervision. The use of high-stakes, psychologically addictive game designs makes them even more dangerous for young, sensation-seeking users. The report also reveals how these platforms attract such massive traffic. Around 66 per cent of users visit directly, often through saved links, private messages, or bookmarks, giving a false impression of trust and legitimacy. Big media campaigns, celebrity endorsements, billboards, and SEO-boosted search visibility further increase their reach.
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Business Standard
3 days ago
- Business
- Business Standard
India hub for illegal online betting, sites got 5 bn visits in FY25: Report
Lacking basic safeguards and regulations, India is fast emerging as a hub for illegal online betting and gambling market, with the top 15 such unauthorised platforms logging an alarming over 5.4 billion visits in FY25, according to a report by public policy think-tank on consumer sovereignty. The annual deposits in these illegal platforms, including 1xBet, Parimatch, Stake, Fairplay and BateryBet, is estimated to the tune of $100 billion, CUTS International said in its report on Sunday. Pointing to a worrying trend, the report highlighted that these platforms often bypass basic safeguards like Know Your Customer (KYC) and age verification, giving minors and young adults unregulated and unrestricted access to gambling content. Some offshore operators, such as Parimatch, use tactics like cash-on-delivery, making it easier for minors, who may lack digital payment access, to gamble repeatedly without parental or legal oversight. 'This report's policy gap assessment reveals a disturbing reality- that while many jurisdictions around the world are introducing strict penalties on illegal gambling and building enforcement partnerships with major tech platforms, India continues to lack basic safeguards. Without urgent regulatory action, these platforms will keep targeting unsuspecting and vulnerable consumers. We must act swiftly to protect Indian users and restore integrity to our digital ecosystem,' said Pradeep Mehta, founder and secretary general, CUTS. Highlighting the lack of norms for advertisements, no payment-blocking protocols, and no systematic domain-monitoring infrastructure, specifically for illegal gambling, the report called for the setting up of a central regulator. 'Illegal gambling operators are systematically exploiting India's advertising and payment infrastructure, siphoning off crores of rupees from outside the country. This presents a major national security threat and also exposes Indian consumers to serious harm,' Mehta said. What is more alarming is that traffic share for one such platform, Parimatch, for the month of March 2025 even outranked widely used sites such as and the report said. The report also highlighted that the appeal of these illegal platforms lies in their accessibility and in the immersive and high-risk experiences they engineer. Illegal platforms such as Stake and 1xBet deploy sophisticated psychological design techniques and often facilitate higher-risk betting, which intensifies the excitement and thrill. Such high-stakes environments are particularly attractive to sensation-seeking youth and those with impulsive tendencies, significantly increasing their risk of developing gambling-related harm. Engagement, retention strategies drive huge traffic A critical driving factor behind the growth and sustainability of illegal gambling platforms in India is their aggressive user acquisition, engagement, and retention strategies, it said. They employ a sophisticated ecosystem of tools and tactics designed to attract new users and to keep them actively engaged. Over 66 per cent of total traffic, amounting to more than 3.5 billion visits (between April 2024 and March 2025), is through direct traffic, meaning users are manually entering URLs, using bookmarks, or copying links from private channels. This means that there is an illusion of trustworthiness, where users perceive these illegal platforms as established and trusted brands. A significant portion of direct traffic is also driven by mass media advertising, such as television commercials, outdoor advertising, billboard campaigns, and celebrity endorsements. Another critical discovery channel is search engines, particularly Google. Search traffic contributes more than 650 million visits, meaning that the illegal gambling platforms are successfully indexed and ranked high in search results, aided by aggressive SEO tactics and inadequate enforcement by search engines. Further, illegal gambling operators continue to facilitate the movement of funds by employing rapidly evolving tactics and exploiting loopholes and vulnerabilities in India's payment infrastructure. Such tactics include extensive use of the Unified Payments Interface (UPI) system, mule accounts, and mobile APKs, the report said. They have also developed sophisticated apps like XHelper, designed to coordinate vast money mule networks and sustain the illegal gambling ecosystem operating beneath the surface of India's digital economy. The Ministry of Finance had in March 2025 revealed intensified enforcement against offshore online entities, with nearly 700 under investigation. So far, 357 illegal or non-compliant websites/URLs have been blocked and almost 2,000 bank accounts frozen, apart from other robust initiatives. However, the report has called for additional efforts to make such measures more effective. The report further argues that enforcement is largely manual and reactive, while consumer protection remains minimal. The report has provided recommendations, drawn from international best practices, such as establishing a comprehensive national framework to combat illegal online gambling, one that ensures clear accountability across payments, advertising, digital platforms, and financial intermediaries.
