Now to answer your question, Dream11 is not a gambling site but a platform to play online fantasy sports. To give you a fair idea, I’ll cite an example from cricket. A match between Chennai Super Kings and Mumbai Indians is to be played at 8:00 PM IST, so someone who is playing on Dream11 will be allowed to form a team of eleven players till 7:00 PM IST.
On this basis, the Court adjudged that playing on Dream11 constitutes a ‘game of mere skill’, which makes the Dream11 game exempt from the provisions of the Public Gambling Act, 1867 (PGA). In fact, the company itself drove the point by branding the game with a tagline “Khelo dimag se” .
Now, Karnataka is not the only state to have passed such a law. Others such as Telangana, Andhra Pradesh, Tamil Nadu, Odisha, and Assam have done so too, since gambling is a state subject in India. However, Dream11 and Co can take heart from the fact that Tamil Nadu’s law, passed in February 2021, did not last long.
In view of the above, the Bombay High Court concluded that the contests/ games carried out by Dream 11 do not amount to betting or gambling. Accordingly, the acknowledgement amount would qualify as an actionable claim, which is neither considered as supply of goods nor services under GST [Schedule III of CGST Act].
Dream11 is considered to be a form of gambling as the contestants can make money by predicting the performance of the players. Currently, Dream11 is associated with IPL through a three-year deal ...
Gambling and betting are prohibited sectors for foreign investment. Therefore, a ruling from the SC holding that a portal like Dream11 in its current format is not a gambling and betting platform has cleared the air for foreign investors looking to invest in and capitalize from the fast-moving sector of online gaming and fantasy sports.
In a statement released to the press, Dream11 said, "The Karnataka Police Act recently amended its gaming law to prohibit online gambling, betting and wagering.
Dream11 has decided to suspend its operations in Karnataka to ensure the safety of users following the ban on online gambling in Karnataka, the company said in a statement to the press. The move ...