Indian Law
Subject: Advisory in terms of Consumer Protection Act, 2019 on Prohibition of Advertising, Promotion, and Endorsement of unlawful activities prohibited under various laws
Issued by Ministry of Consumer Affairs, Food & Public Distribution
Engaging in the promotion or advertisement of online gambling and betting, given its unlawful status in 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.
In response to increasing instances of advertisements promoting illegal activities such as betting and gambling, the Central Consumer Protection Authority (CCPA) has issued a comprehensive advisory. The advisory, following the Consumer Protection Act, 2019, emphasizes the prohibition of advertising, promotion, and endorsement of unlawful activities prohibited under various laws.
Betting and gambling are strictly prohibited under the Public Gambling Act, 1867, and are considered illegal in the majority of regions across the country. Despite this, online betting platforms and apps persist in advertising betting and gambling directly, as well as under the guise of gaming. Endorsements of such activities presents considerable financial and socio-economic implications, especially to the youth.
The advisory underscores the Ministry of Information and Broadcasting‘s efforts in issuing various advisories to media platforms, cautioning them against publicizing betting and gambling platforms. Online advertisement intermediaries have also been warned against targeting such advertisements toward the Indian audience.
The advisory highlights that, the Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022, categorically prohibit advertisements of products or services prohibited under any prevailing law.
It reiterates that the guidelines apply to all advertisements, irrespective of the medium used and warns celebrities and influencers that any engagement in the promotion or advertisement of online gambling and betting, given its unlawful status, renders one equally liable for participating in an illegal activity.
Through this advisory, CCPA cautions that any advertisement or endorsement of activities which are otherwise prohibited by law, including but not limited to betting or gambling, shall be subject to rigorous scrutiny. If any violation of the guidelines is found, stringent measures, as per the Consumer Protection Act, 2019, will be initiated against involved, including manufacturers, advertisers, publishers, intermediaries, social media platforms, endorsers, and any other relevant stakeholders.
The Central Consumer Protection Authority urges all stakeholders to adhere strictly to these guidelines and refrain from promoting or endorsing activities that are illegal under Indian law.
Clause 9 of the Guidelines on Prevention of Misleading Advertisements provides as under:
Advertisements prohibited by law. In addition to the prohibited advertisements as set out in these guidelines, no advertisement shall be permitted which is designed, produced and published in respect of goods, products or services which are prohibited from being produced, sold or provided or which are prohibited from being advertised under any law for the time being in force or under any rules or regulations made thereunder.
In case the aforementioned guidelines are violated, stringent measures as per the provisions of Consumer Protection Act, 2019 shall be initiated against the entire spectrum encompassing manufacturers, advertisers, publishers, intermediaries, social media platforms, celebrities, influencers, endorsers, and any other relevant stakeholders
Read also
- False or misleading advertisement violates the Consumer Protection Act 2019
- Govt warns Ed-tech companies against unfair trade practices: on the failure of self-regulation it will formulate stringent guidelines (01/07/2022)
- The Drugs And Magic Remedies (Objectionable Advertisements) Rules, 1955
- ASCI guidelines for advertisements of online gaming and fantasy sports
