Indian food giant Swiggy faces scrutiny over betting site ad

Rajashree Seal
Written by Rajashree Seal

Swiggy, one of India’s top food delivery platforms, is under renewed scrutiny for continuing to display in-app advertisements promoting YOLO247 — an offshore betting platform flagged by the Indian government. The ad appears under the “While You Wait” section during the order tracking process, offering users a ₹24,000 welcome bonus along with other incentives.

YOLO247 is one of several offshore betting platforms named in repeated advisories from the Ministry of Information and Broadcasting (MIB). The government has consistently warned media outlets, celebrities, and digital platforms not to promote unregulated and illegal betting apps. These kinds of advertisements go against Indian laws, including the Public Gambling Act, the Consumer Protection Act, and the Information Technology Act.

Concerns over impact and regulatory risks

The ads are still being displayed in Swiggy app’s “While You Wait” section. (Source: SiGMA)
The ads are still being displayed in Swiggy app’s “While You Wait” section.

As pictured above, SiGMA World has verified the ads on 25 June (Wednesday). A check revealed that ads still continue to display in the app in their “While You Wait” section during the order tracking process. The ad includes a “Play Now” clickable button that immediately redirects users to the YOLO247 sign-up page.

The continued display of these ads on Swiggy — which has a large, diverse user base including young and impressionable customers — has raised concerns about their broader societal impact. Swiggy is expected to follow regulations and steer clear of associations with entities operating in legally uncertain areas, as such actions could invite regulatory scrutiny or legal consequences.

This is not the first time Swiggy has faced criticism over this issue. In January 2025, SiGMA World reported Swiggy’s promotion of YOLO247. Swiggy at the time stated: “We were not promoting betting; it was simply an advertisement for casual gaming.” The company also said the campaign was no longer active — yet similar ads have reappeared.

In an exclusive comment to SiGMA World on the matter, CEO and Secretary General of Advertising Standards Council of India (ASCI) Manisha Kapoor said, “It is very concerning that illegal betting platforms are now expanding their advertising reach through various quick commerce and e-marketplaces. As gambling and its ads are illegal in most parts of India, platforms must ensure that they are not promoting banned activities in order to generate advertising revenue.

She further said,“ASCI has been sharing information of advertisements of offshore betting with various government bodies. Government oversight remains crucial to address legal complexities and deter willful or repeat violations.”

“ASCI’s monitoring cell has escalated over 4000 such violations and will continue working closely with stakeholders to address these challenges,” Kapoor added.

Industry calls for clearer frameworks

Commenting exclusively to SiGMA World, Anuraag Saxena, CEO of the E-Gaming Federation (EGF), a self-regulatory industry body representing the online skill-based gaming sector in India — shared his views on the continued presence of such ads, the steps needed from platforms and regulators, and EGF’s plans. On why these ads keep appearing despite repeated government advisories, Saxena said, “The core problem here is one of clarity. There is a lack of understanding among advertisers, platforms, and even users about what constitutes a legitimate gaming platform versus an illegal betting operation. That’s precisely why we at EGF have advocated for a robust whitelisting framework. Without it, platforms struggle to distinguish between compliant and non-compliant actors, and consumers are left exposed.”

Regarding what action platforms and regulators should take, he emphasised, “This is not just about regulating an industry. It’s about safeguarding consumer trust, preserving India’s digital integrity, and supporting the growth of lawful, homegrown enterprises. Platforms must act with greater responsibility, and regulators must move from advisory to enforcement.”

“EGF will continue to work closely with the government, industry, and civil society to push for structured advertising norms and institutional mechanisms that separate the wheat from the chaff. The time for half-measures is over; we must build a digital economy that is not just innovative but also ethical and secure,” he further added.

How offshore betting platforms operate

Illegal betting platforms such as YOLO247, FairPlay, Parimatch, and Lotus365 typically operate through offshore setups in jurisdictions with weak oversight. They rely on mirror websites, crypto wallets, mule accounts, and unauthorised payment gateways to target Indian consumers.

Indian authority’s crackdown on illegal betting and celebrity endorsements

The Enforcement Directorate (ED) is actively investigating these networks. It recently summoned cricketers Harbhajan Singh, Suresh Raina, Yuvraj Singh, and actor Urvashi Rautela for allegedly endorsing banned platforms. The ED found over ₹50 crore had been spent on promoting such platforms, with several media agencies now under probe. In March 2025, Telangana Police filed cases against 25 celebrities for similar promotions.

Other platforms under scanner

In April 2025, another Indian quick-commerce platform Zepto also came under the spotlight for distributing Parimatch flyers in its delivery boxes. This action too violated strict guidelines against advertising illegal betting platforms.

No response from Swiggy

SiGMA News contacted Swiggy regarding compliance measures and the role of self-regulation in curbing such promotions. However, no response was received till the publication of this report.

The Ministry of Information and Broadcasting has repeatedly stressed that promoting offshore betting platforms misleads consumers and breaches Indian laws, calling for stricter compliance from digital and media platforms. The situation highlights the urgent need for clearer advertising guidelines and stronger enforcement to safeguard consumers and maintain legal standards in India’s fast-growing digital economy.

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