India has entered a new phase in its gambling regulatory landscape after combining a major police operation against illegal gambling with a renewed legal battle over taxation.
While the Gurugram Police, in the state of Haryana, arrested 18 people during a raid on a farmhouse used for illegal gambling, the country's leading online gaming companies have asked the Supreme Court of India to review its ruling upholding the 28% Goods and Services Tax (GST) on the full value of player deposits. Together, these developments highlight the growing tension between law enforcement efforts and the future of India's regulated gaming industry.
The raid in Sohna, Gurugram, followed an intelligence-led investigation that uncovered an illegal gambling operation running from a private farmhouse. Police seized cash, gaming chips, playing cards, gambling tables, mobile phones and several vehicles, while launching a broader investigation to identify the organizers and financial backers of the operation. Those arrested are being prosecuted under the Public Gambling Act of 1867 and the gambling laws of Haryana, which prohibit unauthorized gambling activities across most of the state.
Games24x7, Gameskraft, Head Digital Works, Junglee Games, together with the All India Gaming Federation (AIGF) and the Federation of Indian Fantasy Sports (FIFS), have filed a review petition before the Supreme Court seeking to overturn the 27 May 2026 judgment delivered by Justice J. B. Pardiwala and Justice R. Mahadevan. The ruling confirmed that the 28% GST applies to the entire value of player deposits, rather than only to the platform's revenue or commission. The tax framework was originally approved by the GST Council, chaired by Finance Minister Nirmala Sitharaman, as part of the 2023 tax reforms covering online gaming, casinos and horse racing.
India's regulatory landscape remains highly fragmented. While states such as Haryana continue to prohibit most forms of gambling under the Public Gambling Act of 1867, Goa remains the country's leading regulated casino market under the Goa, Daman and Diu Public Gambling Act, 1976, which authorizes offshore casinos on the Mandovi River and land-based casinos in five-star hotels.
Nirmala Sitharaman
Major licensed operators include Delta Corp, owner of Deltin Royale, Deltin JAQK and Deltin Caravela, alongside Casino Pride Group, Big Daddy Casino and Majestic Pride. The Supreme Court's decision on the review petition, together with continued enforcement operations against illegal gambling, is expected to shape the next stage of India's gaming and taxation framework.
