EXCLUSIVE: PKL promoting offshore betting, gambling firms; RMG players complain to MIB

In clear violation of the Ministry of Information and Broadcasting (MIB) advisory, which enforces a blanket ban on surrogate advertising by betting and gambling platforms, the Pro Kabaddi League (PKL) has been accused of promoting illegal betting and gambling platforms. Real Money Gaming (RMG) operators have now lodged complaints with the MIB, seeking immediate intervention.

In a letter sent to the MIB last month (obtained by Storyboard18), the RMG operators claim that illegal and offshore betting and gambling platforms like Melbet, Dafabet, Vegas11, Fun88, and 1xBet are engaging in surrogate advertising using names like Melbat, Dafanews, Vegas11 Sports News, Fun88 News, 1xbat, and Batery.AI.

The RMG operators further allege that Dafa News a surrogate of Dafabet based out of Phillipines and Parimatch News, a surrogate of the betting platform Parimatch, based in the tax haven of Cyprus, are official partners of the PKL.

Additionally, these platforms are reportedly sponsoring Kabaddi teams participating in PKL. For example, Haryana Steelers and Bengal Warriors are sponsored by Dafa News.

In 2024, Pro Kabaddi League viewership crossed the 200 million mark during its 90th match, making Kabaddi the second sport after cricket to reach this milestone multiple times. The Pro Kabaddi League (PKL) Season 11 kicks off on October 18, 2024.

According to a senior industry leader from the RMG sector, who spoke on the condition of anonymity, “These offshore companies pay black money to advertise their platforms on social media, TV, OTT, and other channels. These companies are not registered in India, and the government has acknowledged this through multiple advisories. PKL, as one of the premier sporting events in the country, is violating multiple guidelines which bans advertising and promoting betting and gambling platforms in India.”

Storyboard18 reached out to the PKL for a comment, but they have refused to comment on the issue.

The MIB had issued an advisory dated 3 October, 2022, instructing private television channels, digital news publishers and OTT platforms to refrain from showing advertisements of online gambling sites and surrogate ads. In the advisory, the ministry said such sites pose significant financial and socio-economic risks for consumers, especially youth and children.

Another RMG player Storyboard18 spoke to said, “The offshore betting and gambling companies have huge yearly budgets and they keep on trying new avenues in India to promote their illegal websites and apps as they don’t pay any taxes in the country. On the other hand, legitimate RMG companies are struggling to survive the tax burden, we can’t even think to sponsor such high-ticket IPs.”

The RMG company spokesperson said, “These surrogate advertisements of illegal betting and gambling platforms grossly violates the Consumer Protection Act, 2019 (CPA), the Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022 (issued under the CPA), the Central Consumer Protection Authority’s (CCPA)”

In light of these allegations, the controversy surrounding the Pro Kabaddi League’s association with illegal betting and gambling platforms raises questions around implementation of government advisories in the country. It will also be interesting if the newly elected Chairman of the Advertising Standards Council of India (ASCI) will flag such incidents of surrogate advertising to the government.