Why Are Celebrities in Telangana Facing Legal Trouble Over Betting Apps?

Why Are Celebrities in Telangana Facing Legal Trouble Over Betting Apps?

What Are Online Betting App Promotions?

Online betting app promotions involve celebrities and influencers endorsing platforms that facilitate gambling activities, often through social media and advertisements. These endorsements can significantly influence public perception and attract users to these platforms, sometimes leading to substantial financial losses for individuals who engage with them. However, in Telangana, such promotions are strictly prohibited due to stringent laws against online gambling.

Why Are Betting Promotions Illegal in Telangana?

The Telangana Gaming Act, along with the Public Gambling Act of 1867, explicitly bans all forms of online betting and gambling within the state. This includes traditional gambling and online platforms that enable betting on games. The primary aim of these laws is to protect citizens from the financial ruin associated with gambling addiction and prevent the exploitation of vulnerable individuals, particularly those from middle and lower-income backgrounds. The government has identified that illegal betting platforms often lead to severe financial distress among users, prompting legal action against promoters.

V.C. Sajjanar's Campaign Against Betting Apps

Senior IPS officer V.C. Sajjanar, currently serving as the Managing Director of the Telangana State Road Transport Corporation (TSRTC), has been at the forefront of raising awareness about the dangers of online betting apps and their societal impact. Sajjanar has launched a social media campaign to highlight the risks associated with these platforms. Through his posts on X (formerly Twitter), he has expressed concern over influencers promoting gambling as an easy way to earn money. He criticized such endorsements for misleading the public, particularly vulnerable youths, into financial distress. Sajjanar's efforts have sparked widespread discussions online, garnering support for his stance against harmful promotions.

Celebrities Under Scrutiny

The Cyberabad police have intensified their crackdown on celebrities and influencers promoting illegal betting apps. Recently, FIRs have been registered against 25 individuals, including prominent Tollywood actors such as Rana Daggubati, Vijay Deverakonda, and Prakash Raj. These celebrities are accused of violating the Telangana State Gaming Act and other provisions under the Bharatiya Nyaya Sanhita and the Information Technology Act. Complaints allege that these endorsements lured individuals into investing in illegal betting platforms, leading to financial distress for many families.

In one notable case, a man from Nellore lost ₹80 lakh after using a betting app promoted by an actor on his talk show. This incident underscores the devastating financial consequences of such endorsements. Legal complaints also link some apps to banned Chinese platforms, raising national security concerns.

Celebrities' Defense
Some celebrities have defended their actions, claiming they endorsed only skill-based games that comply with legal standards. For instance:
- Rana Daggubati stated his promotions were strictly for lawful skill-based games.
- Vijay Deverakonda emphasized that he promoted legally permitted games.
- Prakash Raj admitted to endorsing a betting app in 2016 but declined further offers after realizing its implications.

Despite these defenses, investigations continue as authorities examine how illegal platforms operate and the extent of celebrity involvement.

Legal Actions Against Influencers

Influencers face serious repercussions for their involvement in promoting illegal betting apps. The Telangana police have registered FIRs against them under various laws related to cheating and abetment. Additionally:
- Under Section 79(3)(b) of the IT Act: Influencers may lose safe harbor protections if they knowingly allow unlawful content on their platforms.
- Under the Consumer Protection Act: They can be fined up to ₹50 lakh for misleading endorsements.
- Criminal charges for cheating and fraud under state gambling laws may also apply.

The Enforcement Directorate (ED) is investigating financial transactions linked to these endorsements under the Prevention of Money Laundering Act (PMLA). Authorities are tracing illicit financial flows linked to betting apps using forensic audits and blockchain analytics.

Government’s Approach to Enforcement

The Telangana government has ramped up efforts to combat illegal betting through its Cyber Crime Division and Financial Cyber Crimes Wing. Measures include:
- Monitoring social media for illegal promotions.
- Conducting forensic audits of financial transactions related to these apps.
- Collaborating with tech firms to enhance digital literacy among citizens to protect them from online gambling risks.

Authorities are also working on removing advertisements promoting illegal betting apps from various platforms while warning influencers that ignorance of the law is no excuse.

A Broader Effort to Protect Citizens

The crackdown on online betting promotions in Telangana reflects growing concerns over their societal impact. With senior officials like V.C. Sajjanar leading awareness campaigns and law enforcement agencies pursuing legal actions, the state is taking significant steps to curb illegal gambling activities. This situation highlights the clash between celebrity influence and regulatory measures aimed at curbing illegal online betting in India. As investigations unfold and more names surface, this controversy underscores the need for stricter regulations and accountability among influencers who wield significant influence over public behavior.


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