India’s Illegal Betting Industry: A Multi-Crore Menace
India’s illegal online betting market has grown into a staggering ₹8.3 lakh crore industry, expanding at an alarming 30% annual rate. According to Enforcement Directorate (ED) sources, this shadow economy costs the government approximately ₹27,000 crore in lost tax revenue each year. With over 22 crore Indians having downloaded such apps—half of them regular users—the scale of the problem is unprecedented.
Platforms like 1xBet, Lotus65, FairPlay, and 1xBat operate under the guise of “skill-based” gaming but deploy rigged algorithms that effectively classify them as gambling under Indian law. These apps attract millions through aggressive marketing, celebrity endorsements, and false promises of instant wealth.
Celebrity Endorsements Under Scrutiny
The ED’s ongoing investigation has drawn high-profile names from cricket and Bollywood into the spotlight. Former cricketer Suresh Raina has been questioned over his role as a brand ambassador for 1xBet. The agency is probing whether he, along with actors Urvashi Rautela, Rana Daggubati, Prakash Raj, Vijay Devarakonda, and Manchu Lakshmi, knowingly promoted illegal betting platforms.
The line of questioning focuses on contractual agreements, payment records, and whether celebrities conducted due diligence on the legality of these platforms. At least two other cricket icons—Yuvraj Singh and Harbhajan Singh—are also being investigated. The ED aims to determine if these endorsements were made in full awareness of the apps’ unlawful nature, even in states where online betting is entirely banned.
A Digital Epidemic with Deadly Consequences
The reach of these platforms extends far beyond smartphones. Between January and March 2025, illegal betting websites registered over 150 crore visits. While they lure users with glitzy ads showing celebrities earning lakhs in seconds, the reality is far darker.
The World Health Organization (WHO) has warned that gambling can trigger mental health crises, lead to poverty, and increase suicide rates. India has witnessed multiple tragedies linked to gambling debt. In June, a young couple in Rajasthan allegedly died by suicide after losing ₹5 lakh through betting. Similarly, a 24-year-old software professional from Hyderabad took his life last month after accumulating heavy rummy-related debts.
The Legal Net Tightens
The ED’s preliminary findings suggest violations of several Indian laws, including the Information Technology Act, Foreign Exchange Management Act (FEMA), and the Prevention of Money Laundering Act (PMLA). However, the investigation is hindered by the industry’s transient nature.
When authorities target one platform, operators often shut it down and launch a near-identical replacement. Many of these companies are headquartered in countries with lax or permissive gambling laws, making extradition and enforcement challenging.
The Role of Tech Giants Under the Lens
The probe has now expanded to examine the role of Google and Meta in promoting such platforms. Investigators are questioning whether these tech giants profited from ad revenues generated by betting apps and whether they adequately vetted advertisers.
The suspicion is that, knowingly or not, these firms facilitated the rapid spread of illegal betting by hosting promotional content without sufficient compliance checks. As of now, neither Google nor Meta has publicly responded to the allegations.
A Growing Threat That Won’t Fade Easily
The illegal betting ecosystem in India thrives on a combination of technological agility, overseas safe havens, and aggressive marketing. The Mahadev betting app case—where operators shifted operations abroad after facing Indian scrutiny—illustrates the challenge.
With millions already hooked and billions in untaxed money circulating, experts warn that without stringent regulation, international cooperation, and strict penalties for violators, the problem will only deepen.
The ED’s current investigations may bring some high-profile names to account, but dismantling the financial and technological backbone of this industry will require far more coordinated action.
