Central Consumer Protection Authority (CCPA) advised celebrities and influencers to refrain from promoting illegal betting and gambling platforms

March 7, 2024

Amid a rise in illicit activities like betting and gambling, the Central Consumer Protection Authority (CCPA) issued a cautionary notice on Wednesday against both direct and surrogate advertising and endorsement of such practices.

The CCPA emphasized that individuals promoting unlawful activities would face “thorough scrutiny,” with strict repercussions under the Consumer Protection Act, 2019.

Betting and gambling are prohibited in India under the Public Gambling Act 1867, rendering them illegal in most regions of the country.

“Advertisements for online betting platforms and apps endorse an activity that is largely outlawed and has significant financial and socio-economic impacts on consumers, especially the youth,” the CCPA stated.

‘Refrain from endorsing illegal betting’: CCPA advises celebrities and influencers The regulatory body also urged celebrities and influencers to steer clear of endorsing illegal betting and gambling platforms.

“We have observed that betting platforms are enlisting celebrities and influencers to endorse and promote their betting activities. Consequently, celebrity endorsements suggest that participating in such activities is acceptable. Involvement in promoting or advertising online gambling and betting, considering its illegal status in most states, makes one equally accountable for engaging in an illegal activity. Therefore, celebrities and influencers are advised against endorsing or promoting illegal betting and gambling activities,” the CCPA noted.

The consumer authority also mentioned that the ‘Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022’ prohibits the advertising of products or services that are forbidden by law.

Last year, the Ministry of Information and Broadcasting had advised media outlets, online advertising intermediaries, and social media platforms to abstain from promoting betting and gambling. Failure to adhere to the advisory could lead to appropriate action.

The CCPA said that those promoting unlawful activities would be subject to “rigorous scrutiny” and strict action would be taken against them under the provision of the Consumer Protection Act, 2019.

Betting and gambling are prohibited in India under the Public Gambling Act 1867 and are considered illegal in most parts of India.

“Advertisement of online betting platforms and apps promotes an activity that is predominantly banned and carries significant financial and socio-economic implications on consumers, particularly the youth,” it said.

‘Refrain from promoting illegal betting’: CCPA to celebrities and influencers

The regulator also advised celebrities and influencers to refrain from promoting illegal betting and gambling platforms.

“It has come to our attention that betting platforms are employing celebrities and influencers to endorse and promote their betting activities. Consequently, endorsement by celebrities gives the impression that indulging in such activity is acceptable. Engaging in the promotion or advertisement of online gambling and betting, given its unlawful status in the majority of the states, renders one equally liable for participating in an illegal activity. Hence, celebrities and influencers are advised to refrain from endorsing and promoting illegal betting and gambling activities,” CCPA said.

The consumer authority added that the ‘Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022’ prohibits advertisements of products or services forbidden under law.

Last year, the Ministry of Information and Broadcasting had advised media, online advertisement intermediaries and social media platforms to refrain from promoting betting and gambling. It had warned of appropriate action if the advisory was not followed.