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Meta had updated its WhatsApp Business messaging policy to allow companies from regulated sectors such as alcohol, online gambling and over-the-counter drugs in India, APAC and LATAM. Storyboard18 first broke the news about Meta’s plan to open three new verticals for companies from these sectors to use the WhatsApp Business platform to send promotional messages to users in these regions. 

For Real Money Gaming and Gambling provisions, in India, Meta’s updated policy says, WhatsApp Business messaging that promotes online gambling and gaming must comply with all applicable local laws, required or established industry codes, guidelines, licenses and must comply with age and country requirements consistent with applicable local laws. Messaging may not be sent to people under 18 years of age. For Real Money Gambling and Gaming in India state-specific restrictions will be applicable. 

Lauding Meta’s move, Roland Landers, CEO, All India Gaming Federation said, “AIGF welcomes Meta's decision to allow real money skill gaming businesses to utilize the WhatsApp Business platform for promotional messaging. This move marks a significant step forward for the online gaming industry, particularly for MSMEs, who will benefit immensely from the enhanced reach and engagement this platform provides.” 

Landers further said, “By enabling direct communication with a broader audience, Meta is paving the way for growth and innovation within the sector.”

In India, gambling is allowed in certain states. 

It should be noted that advertising for alcohol is heavily regulated across the country, which prompts brands to resort to tactics like surrogate advertising. 

Meta has not included India in the list of countries allowed to promote alcohol on its platform. 

Ishan Varshnei, CEO of Latambarcem Brewers said, "The restrictions on alcohol advertising in India have historically been a challenge, pushing brands to explore innovative marketing approaches. In light of this, navigating this new landscape requires a thoughtful and strategic approach." 

He added, "Responsible messaging, strict adherence to legal guidelines, and a focus on building brand affinity through genuine engagement will be critical. While Meta’s policy doesn’t fully lift the limitations, it certainly provides more flexibility to showcase the craftsmanship, culture, and community that define our products.”

Varshnei further said, “For us, it’s not just about advertising—it’s about connecting authentically with consumers who appreciate the blend of tradition and innovation that our products represent. This move is a step in the right direction, and we’re excited to leverage it to further enhance our brand presence while remaining aligned with ethical and legal guidelines."

Messages that promote alcohol are not permitted in India as companies in the regulated sector are prohibited from sending messages through the WhatsApp Business app or providing any commerce experiences to buy or sell goods or services.

As per the new policy, businesses also have to ensure that messages sent by them comply with legal age restrictions, geographic requirements and regulatory standards through technical and organisational measures. However, certain users could see a different policy on the internet with gaming and not gambling permitted in India. 

Meta's policy change comes as the Mark Zuckerberg company is looking to accelerate monetisation from WhatsApp which is currently the world's most popular messaging app with over 2 billion daily active users across the world and India over 500 million users.


Meta updates policy: RMG brands rejoice, alco brands ditched

Amidst ongoing debate on Meta’s policy for alcohol and gambling ads in India, Kerala Police has sent a notice to Google and Meta over apps and ads that are linked to gambling websites and apps. The victims of the scam received messages from gambling operators on WhatsApp. Storyboard18 broke the news on Tuesday about Meta's policy to allow alcohol and gambling advertisements on their platform. 

Kerala state police has asked Google to remove 60 fake lottery and gambling apps from its Google Play Store. A similar notice has been sent to Meta to remove advertisements of such fake lotteries and gambling platforms from social media platforms such as Facebook, Whatsapp and Instagram managed by it.

Kerala’s State Police Media Centre (SPMC) said that fake advertisements in the name of 'Kerala Megamillion Lottery' and 'Kerala Summer Season Dhamaka' have been circulating on social media platforms like WhatsApp, Telegram and Instagram for some time stating that lotteries run by the state government can be bought online.

“After a cyber patrolling, we discovered 60 apps, 25 fake Facebook profiles and 20 websites that are connected to the scam”, the SPMC officer said. 

A senior leader from Real Money Gaming industry said, “These scam advertisements are taking place on the Meta and Google platforms. Imagine once these betting and gambling are legitimized, these scams will grow in large numbers. This will affect crores of people in India and they might get scammed.” 

According to police, victims of the scam received messages via WhatsApp which claimed that the Kerala government has started an online lottery and on spending Rs 40 rupees there is a chance to win up to Rs 12 crore. Victims who send Rs 40 on the number mentioned in the message get a fake lottery ticket image via WhatsApp.

The fraudsters then send artificially fabricated results to make the victim believe that the ticket has won a prize of Rs 5 lakh. From here, a scammer posing as a government representative calls the 'ticket holder' and asks them to transfer a certain amount to a bank account towards 'GST' and 'stamp duty' to receive the prize money.

The Kerala police have urged the public to be careful not to fall prey to such online lottery and gambling scams and to immediately call on the number 1930 if they suspect that a financial fraud is taking place.


Kerala police issues notice to Google, Meta over gambling advertisements

Real Money Gaming players in India were left stunned after an internal email on Tuesday announced that the big tech firm, Meta will allow alcohol and real money gambling businesses to promote and market their activities on their platforms. Conversational engagement platform Gupshup confirmed Storyboard18 that an email was sent on behalf of Meta to its internal clientele. 


From August 27, 2024, businesses in India can onboard WhatsApp Business Platform for messaging in the verticals such as Alcohol and Real Money Gambling. 


The email states, “We are excited to announce that starting August 27, 2024, businesses in India, APAC, and LATAM can onboard the WhatsApp platform for messaging in the following verticals: a) Alcohol b) Over-the-counter products (Prescription drugs and medical devices are still prohibited) c) Real Money Gambling.”


Meta’s updated policy now permits these verticals for both promotions/marketing and utility use cases, though WhatsApp Commerce restrictions will still apply.


A senior official from Gupshup confirmed that the email was sent internally to its clients. The official refused to comment. 


“This is disappointing. On one hand, the entire RMG industry is struggling, and now Meta wants offshore gambling platforms to advertise on their platforms. The industry will not take this lightly and will oppose this move. We will take legal action against such practices,” said a senior official from a fantasy gaming platform.


Storyboard18 has reached out to Meta. The article will be updated with the company's official comments.


Read More: <a href="https://www.storyboard18.com/advertising/breaking-meta-to-allow-alcohol-real-money-gambling-ads-on-its-platforms-in-india-40004.htm">BREAKING: Meta to allow Alcohol, Real Money Gambling ads on its platforms in India?</a>

EXCLUSIVE: Meta to allow Alcohol, Real Money Gambling ads on its platform in India

Illegal gambling and betting apps have now adopted new modus operandi to acquire Indian users. These offshore gambling apps are enticing Indians by providing free pornographic content in exchange for downloading their illicit APK apps for smartphone users. Using chat messengers as a medium, these operators lure users to download the apps, allowing them to gamble and watch pornographic content simultaneously.

According to the 2021 Global Report on Corruption in Sport from the United Nations Office on Drugs and Crime (UNODC), the size of the illegal market for betting and gambling is estimated to be around $350 billion and $1.7 trillion, respectively.

Think Change Forum (TCF), an independent think tank, had released a report titled “State of the Betting and Gambling Industry in India.” According to the report, the offshore sports betting market receives an estimated $100 billion annually in deposits from India and has been growing at 20 percent per year in the last three years post-pandemic.

The report further observes that under the new GST regime, despite best enforcement efforts, the illegal offshore betting industry will continue to grow at 20% at the least, leading to a tax loss figure of Rs 6,72,205 crore by 2026.

Porn as freebie

Ritesh Bhatia, Founder of V4WEB Cybersecurity, a cybercrime investigations company, said, “Today betting apps are using unethical ways of luring Indians via pornographic content. Multiple groups on apps such as Telegram are used as a medium to provide free pornographic content to users. In return, users have to download APKs of illegal betting and gambling apps."

He further said, “The person gets to watch free porn and later starts betting on such illegal apps. The victim takes the bait of winning for a certain period and gambles more money, ending up losing every penny later.”

A report by Esya Centre titled “Offshore Online Betting and Gambling in India” highlights the accessibility of such illicit apps. Researchers behind the report initiated contact through the provided number on the website to gauge the ease of availing the service. The operator of VIP-Bet’s WhatsApp business account offered a monthly plan for 150 euros, promising inclusion in a Telegram group for betting after payment.

Bhatia says, “Money has been laundered in multiple digital formats and is being deposited in Indian bank accounts, which is then being laundered across the border. The government should implement stricter laws, and intermediaries such as messenger apps, banks, and digital payment apps must be vigilant and take proactive measures to stop such activities.”

According to the same report’s findings, Indian consumers have reportedly suffered significant losses due to similar operations. The risks are further exacerbated for minors, as many websites fail to conduct essential KYC or age verification checks. This lax approach enables minors to easily access these platforms, exposing them to inappropriate content and enticing them into unlawful activities.

Illegal betting is 10x bigger than RMG

Elaborating on the unethical operations of illegal betting apps in India, Siddharth Sharma, SVP of Business Strategy at Head Digital Works (A23), said, “Rogue operators siphon money out of our economy, leading to financial instability and fueling criminal activity. Moreover, their existence poses a risk to national security, as they act as channels for money laundering and terrorist financing.”

Sharma further said, “There’s no calculation or direct measurable effect that illegal betting apps have on our business. However, assuming they do not pay GST or deduct TDS, the illegal betting industry is easily ten times the size of the legitimate Real Money Gaming (RMG) sector in the country at the moment. Apart from revenue impact, the unethical and false marketing tactics used by these offshore players have a problematic effect on users in India.”

When asked if A23 has raised this issues with the government, Sharma said, “As a business and part of gaming federations like EGF and AIGF, we have actively engaged with relevant government bodies to address these persistent challenges. Measures such as a central regulatory framework to keep track of tax dues and compliance by all online gaming platforms, and the formation of a statutory regulatory body like SEBI for the online gaming sector to monitor financial practices and enable responsible gaming restrictions across applications, have been suggested to the involved stakeholders.”

Need government intervention

Roland Landers, CEO of the All India Gaming Federation, said, “Despite the ban, illegal apps continue to operate by constantly changing domain names. Regular tracking of these illegal websites clearly shows that they often resurface. These operators use aggressive tactics to mask their identities and frequently alter their operational details to evade detection. These apps do not pay TDS or GST to the government and divert users from legitimate Indian platforms.”

Landers further said, “The government should strengthen enforcement, establish a regulatory framework, spread consumer awareness, and include stakeholders to counter such issues.”

It should be noted that the growth of illegal betting apps in India poses severe financial and security risks. There is an urgent need for implementation of robust regulatory framework and vigilant monitoring to crackdown on illegal gambling and betting companies operating in India to safeguard the nation's economic and security interests.

Illegal betting apps now lure Indian users with pornographic content

GAMBLING