Fantasy sports platform moves High Court of Karnataka

Fantasy sports platform moves High Court of Karnataka

Dream 11 founders plead to quash FIR against them on the new law banning online game betting

The founders of the online fantasy sports platform Dream 11, Bhavit Sheth and Harsh Jain have moved the High Court of Karnataka, seeking to quash the first information report (FIR) filed against them over the new state law that bans betting in online games.

The Annapoorneshwari Nagar police in Bengaluru registered the FIR against Sheth and Jain based on a complaint filed by Nagarbhavi resident Manjunath, a 42-year-old cab driver. The duo was accused of violating the law notified by the government.

Thereafter, Dream 11 had suspended its operations in Karnataka. In a statement, the founders expressed concern, keeping in view the online gaming users' safety and security. "This decision is without prejudice to our rights and contentions under law," the statement read.

The State government had notified the Karnataka Police (Amendment) Act, 2021, banning all formats of online games involving wagering, betting and gambling of all nature and forms in the state. Under the new law, online gaming is considered a non-bailable offence with a fine of Rs.1 lakh and imprisonment of up to three years.

Along with prohibiting games of skills, the government categorized that online games using electronic means and virtual currency and electronic transfer of funds in connection with any game was to be construed as gambling.

The Governor approved the new legislation, passed during the Monsoon Session by both the Houses of the Karnataka Assembly.

Mobile Premier League (MPL) was one of the first companies to stall its operations in Karnataka followed by Paytm First Games.