Government Cracks Down on Celebrities and Influencers Promoting Illegal Betting Apps
A high-profile investigation is being conducted into illegal online gambling activities across Tollywood, with key actors and social media influencers involved in promoting betting platforms coming under the scanners of the Enforcement Directorate (ED) and other Telangana Police authorities. Telangana four FIRs targeted top celebrities, including Rana Daggubati, Prakash Raj, Vijay Deverakonda, Manchu Lakshmi and Pranitha as well as others influencing authorities to promote illegal gambling applications.
The government has recently reaffirmed its anti-gambling promotion stance, with the Ministry of Information and Broadcasting stating that people who endorse betting platforms, directly and indirectly, will be under “hard scrutiny”. Another CCPA order makes it clear that celebrities and influencers will be equally accountable for legal violations under the 2019 Consumer Protection Act if found guilty of misleading the public.
ED Investigation Underway
The ED will probe the case under the Prevention of Money Laundering Act (PMLA) following several complaints in Hyderabad and Visakhapatnam. Following reports of huge financial losses suffered by some people who were reportedly motivated by these celebrity endorsements, the police registered cases in several cybercrime divisions such as Miyapur, Panjagutta, Noothankal, and Cyberabad.
Key Cases Under Scrutiny
Social Media Influencers Under Fire:
The case was booked against YouTuber Harsha Sai based on a complaint lodged by one Bandaru Venkatesh, a restaurant worker, who lost ₹13.67 lakh in investing in such betting apps like Parimatch and Lotus 365 on the reference of Sai’s promotional videos.
The YouTuber Bayya Sandeep, alias Sunny Yadav, is under scrutiny following a complaint filed by police constable Manoj Kumar, who accused Sandeep of promoting youth gambling through Instagram, Facebook, YouTube, and Telegram (March 5, 2025)
Hide Widespread Betting Network Uncovered
The complaint was filed by Vinay Vangala, a private employee from Miyapur, stating that an a betting network of thousands of crores is run through influencers for promotions and the same has come to light on March 17, 2025. He also named top promoters, including Imran Khan, Vishnu Priya, Shyamala, and Tasty Teja.
Another complaint was received on March 19, 2025, by PM Phanindra Sarma, a resident of Miyapur, naming a handful of Tollywood actors who allegedly endorsed gambling platforms.
Massive Financial Losses in Visakhapatnam:
Puli Kumar Reddy, a resident of Visakhapatnam, reported losses of ₹3.09 crore over four years due to online and offline betting. He named influencers like ‘Local Boi Nani’ as key promoters of illegal betting platforms such as Dafabet, 1XBET, and Betway.
Regulatory actions taken by the government
In November 2024, the Indian government blocked 22 betting apps and websites after it cracked down on illegal betting platforms. The Public Gambling Act of 1867 prohibits gambling that is not predicated on skill; influencer-driven promotions of betting apps, however, abound. On its part, the Central Consumer Protection Authority (CCPA) warned celebrities and influencers that misleading endorsements could attract action under the Consumer Protection Act, 2019, including disabling their social media accounts. Cyberabad Police has taken a significant step by registering an FIR against 25 Tollywood actors and influencers who were promoting betting platforms and thereby, incurring significant financial losses to the public. Prominent figures involved are Rana Daggubati and Prakash Raj as the companies accused of promoting Eden Rummy, and those associated with promoting A23 Rummy, Yolo247, Fairplay Live, and Jeet Win including Vijay Deverakonda. Manchu Lakshmi, Pranitha and Nidhi Agarwal are also among the those being investigated. They are accused of offenses under Sections 318(4), 112, and 49 of the Bharatiya Nyaya Sanhita (BNS) for cheating and abetment, Sections 3, 3(A), and 4 of the Telangana State Gaming Act for gaming-related offenses, and Section 66(D) of the IT Act for online fraud.
Impact on the Gaming Industry
The change comes amid increased enforcement of India’s gambling laws that have made companies, celebrities, and social media influencers more cautious in their promotions, industry experts say. Breach of these rules could result in legal consequences, financial responsibility, account suspension, and higher scrutiny over gaming advertisements, which would now cause stakeholders to think twice and vet compliance before promoting such mediums.