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Online rummy sites in India: Tamil Nadu's Strict law against It - Rummy

Rummy has an obfuscated status in India. While many people will admit to enjoying playing rummy with friends and families, the card game is often considered gambling when played for stakes. Rummy was accepted as a 'game of skill' by the Supreme Court back in 1968, but the state of Tamil Nadu has now decidedly passed a law banning it. 

The term 'game of skill' means a sport requiring strategy, planning, and talent to perform well. Mind sports, like chess, rummy, and poker, fall under the category of 'games of skill.' 'Game of chance' is a term used to identify games based on luck that requires no other skill. Participating in such games is considered gambling. Such games include slot machines, roulette, etc.

In 1957, the Supreme Court held that competitions involving considerable skill were not gambling activities in two landmark Supreme Court cases — State of Bombay vs. RMD Chamarbaugwala (AIR 1957 SC 699) and RMD Chamarbaugwala vs. Union of India (AIR 1957 SC 628). In that case, the court ruled that competitions involving substantial skill were categorized under business activities, the protection of which was assured under Article 19(1)(g) of the constitution.

In 1968, the case State of Andhra Pradesh vs. K Satyanarayna (AIR 1968 SC 825) put rummy in the spotlight, and the Supreme Court ruled that "Rummy is not a game entirely of chance like the ‘three-card’ as it involves considerable skill in sequencing and discarding of cards." The court further stated that rummy was “mainly and predominantly a game of skill.” 

Last year, Tamil Nadu implemented Tamil Nadu Gaming and Police Laws (Amendment) Act 2021, banning and criminalizing real money online games in the state. The Bill was opposed by several gaming companies represented by senior advocates Abhishek Manu Singhvi, AK Ganguli, C. Aryama Sundaram, and P.S. Raman.

The counsel for the online gaming enterprises had reasoned, “Since 1968, the Supreme Court has made it clear that rummy is a game of skill and not a game of chance. Therefore, online rummy cannot be banned.”

The state government countered the argument by focusing on how the youthful population lost their earnings and savings through online gambling addiction. While the state government conceded that rummy may be a game of skill, it stringently held on to the notion that rummy loses its skill factor when played for stakes.

On August 3, 2021, the judicial bench comprising Chief Justice Sanjib Banerjee and Justice Senthilkumar Ramamoorthy said the term ‘gambling’ had been interpreted by the Supreme Court to mean only 'games of chance' while also reiterating that the Supreme Court had accepted rummy as a 'game of skill.' “When it’s a game of skill, Article 19 (1)(g) (right to practice any profession or to carry on any occupation, trade or business) comes into play,” said Chief Justice Banerjee.

Advocate General R. Shunmugasundaram replied that the Supreme Court's ruling regarding rummy being a 'game of skill' did not specify whether rummy would continue to be a 'game of skill' when it is played online. Chief Justice Banerjee accepted the reasoning that for certain games like football, online and on-field gaming is different. When played on the field, football requires exertion of physical energy and could also result in real-life injuries. But when played online, the experience is quite different. However, in cases where mind games are concerned, there is not much difference between the game being played online or in person. “Manipulation is possible on cyberspace,” said Shunmugasundaram, continuing his argument. Chief Justice Banerjee responded, “Then, you regulate it. You can’t ban the games altogether.”

The Madras High Court eventually overturned the Tamil Nadu Gaming and Police Laws (Amendment) Act 2021. However, over a year later, the state government, yet again, passed an ordinance banning online skill games, which includes online rummy.

Some of the key features of the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Ordinance, 2022 are as follows:

- The Ordinance bans online gambling and games of chance played for money or other stakes, including rummy and poker

- It establishes the Tamil Nadu Online Gaming Authority and authorizes it to control online game providers. Game providers outside the state must follow specified due diligence or deny access to prohibited games to people in Tamil Nadu

- The Tamil Nadu Gaming Authority may pinpoint games of chance and recommend them to be included in the Schedule of prohibited games

While this law will indeed be challenged in the High Court, the government’s view and public sentiment in Tamil Nadu is expected to remain strongly against banning online rummy.