Section 5 in Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Amendment Rules, 2023
5. In rule 4 of the said rules,—
(i)in the heading, after the word “intermediary”, the words “and online gaming intermediary” shall be inserted;(ii)in sub-rule (1),—(I)in the opening portion, for the words, brackets, letters and figures “intermediary shall, within three months from the date of notification of the threshold under clause (v) of sub-rule (1) of rule 2,”, the words, brackets, letters and figures “intermediary, within three months from the date of notification of the threshold under clause (v) of sub-rule (1) of rule 2, and an online gaming intermediary that enables the users to access any permissible online real money game, shall” shall be substituted;(II)in clause (a),—(A)in the proviso, after the word “intermediary”, the words “or such online gaming intermediary” shall be inserted;(B)in the Explanation, after the word “intermediary”, the words “or an online gaming intermediary, as the case may be,” shall be inserted;(III)in clause (b), for the Explanation, the following Explanation shall be substituted, namely:—‘Explanation.—In this clause, “nodal contact person” means the employee of—(i)a significant social media intermediary, other than its Chief Compliance Officer; or(ii)an online gaming intermediary, who is resident in India;‟;(IV)in clause (c), in the Explanation, for the word “intermediary,”, the words “intermediary or an online gaming intermediary, as the case may be,” shall be substituted;(V)in clause (d), for the words “thereon, and”, the words “thereon, and, in respect of a significant social media intermediary,” shall be substituted;(iii)in sub-rule (5), for the words “The significant social media intermediary”, the words “A significant social media intermediary and an online gaming intermediary who enables the users to access any permissible online real money game” shall be substituted;(iv)in sub-rule (6), for the words “The significant social media intermediary”, the words “A significant social media intermediary and an online gaming intermediary who enables the users to access any permissible online real money game” shall be substituted;(v)in sub-rule (7), for the words “The significant social media intermediary”, the words “A significant social media intermediary and an online gaming intermediary who enables the users to access any permissible online real money game” shall be substituted;(vi)after sub-rule (9), the following sub-rules shall be inserted, namely:—“(10) An online gaming intermediary who enables access to its users to any permissible online real money game, shall display a demonstrable and visible mark of verification of such online game by an online gaming self-regulatory body on such permissible online real money game.(11)While informing the users of its rules and regulations, privacy policy, terms of service and user agreements under clause (b) of sub-rule (1) of rule 3, an online gaming intermediary who enables the users to access any permissible online real money game, shall include the following information in respect of every such online games, namely:—(a)the policy related to withdrawal or refund of the deposit made with the expectation of earning winnings, the manner of determination and distribution of such winnings, and the fees and other charges payable by the user;(b)the know-your-customer procedure followed by it for verifying the identity of the users of such online game;(c)the measures taken for protection of deposit made by a user for such online game; and(d)the framework referred to in rule 4A, relating to such online game.(12)An online gaming intermediary shall, before accepting any deposit in cash or kind from any user for a permissible online real money game, identify such user and verify his identity:Provided that the procedure required to be followed by an entity regulated by the Reserve Bank of India for identification and verification of a customer at the commencement of an account-based relationship shall apply, mutatis mutandis, in identification and verification of the users of such online gaming intermediary.(13)An online gaming intermediary who enables the users to access any permissible online real money game shall not itself finance by way of credit or enable financing to be offered by third party for the purpose of playing such online game.”.
