Krafton India, the publisher of the hit mobile game Battlegrounds Mobile India (BGMI), is facing serious legal challenges as new allegations regarding data privacy violations emerge. An FIR has been filed against the company, alleging that it unlawfully disclosed user data to third parties and monetized this information at a staggering rate of ₹2,000 per user. This claim, if proven true, could have significant implications for Krafton, given BGMI's extensive user base across Android and iOS platforms.
The FIR (No. 0474/2024) was lodged at the Akluj Police Station in Maharashtra on September 5, 2024, following a directive from the court under Section 156(3) of the Criminal Procedure Code. The complainant, a Mumbai-based resident, alleged that Krafton and four of its senior officials violated a 2021 agreement concerning user data confidentiality. This complaint reportedly surfaced after earlier grievances were overlooked, prompting judicial intervention.
The charges listed in the FIR include criminal conspiracy (IPC Section 120-B) and cheating (IPC Section 420), alongside alleged violations of the Information Technology Act, specifically Sections 72, 72A, and 85, which pertain to unauthorized data disclosure and privacy breaches. Legal experts have warned that if these allegations hold merit, Krafton could face renewed scrutiny from regulators, potentially leading to another ban of BGMI similar to the fate of its predecessor, PUBG Mobile, which was banned in India in 2020 over data privacy concerns.
As the case unfolds, Krafton India has responded by filing two writ petitions (Nos. 4806 and 5342/2024) in the Bombay High Court, challenging both the content and procedural aspects of the FIR. The company is represented by senior advocates from Shardul Amarchand Mangaldas and Co. Justices Sarang V. Kotwal and Dr. Neela Gokhale, who are presiding over the matter, have consolidated the two petitions and issued notices to the parties involved. Interim relief granted earlier has been extended until the next court date.
This controversy emerges at a critical time for Krafton, which has been significantly investing in India’s gaming sector, positioning itself as a long-term player in the market. The outcome of this legal battle could greatly impact the company's reputation and operations in India, especially as it strives to regain public trust following the previous ban on PUBG.
The allegations have sparked widespread concern regarding data privacy, with many users questioning the security of their personal information. Cybersecurity analysts have emphasized that selling user data constitutes a violation of privacy rights under the Indian Constitution and could amount to a criminal breach of trust. As of April 9, 2025, Krafton has yet to issue an official statement addressing the FIR or the allegations, although a formal response is expected during the upcoming court hearing.
In the wake of these developments, the gaming community and industry stakeholders are closely monitoring the situation, aware that the implications could extend beyond Krafton and BGMI, potentially affecting the broader Indian gaming landscape. The case's hearing is scheduled for April 15, 2025, and as the date approaches, the pressure is mounting on Krafton to clarify its position amid growing public scrutiny and discussions on social media.
For context, BGMI was launched in India as a rebranded version of PUBG Mobile, which was banned due to concerns over data privacy and national security. Krafton had previously committed to data localization and transparency, assuring users that their data would be securely managed within Indian borders. However, these recent allegations have raised doubts about the company's adherence to these promises.
The stakes are high as Krafton navigates this challenging legal landscape. With BGMI boasting over 100 million downloads on Android alone, the potential ramifications of the allegations are substantial. If the court finds merit in the complaint, Krafton may face severe legal consequences, including criminal prosecution and intensified regulatory scrutiny from the Ministry of Electronics and IT (MeitY).
This situation is not just about one company; it reflects broader concerns about data privacy in the digital age, particularly in a country where technology and gaming are rapidly evolving. The outcome of this case could serve as a precedent for how data privacy laws are enforced in India, influencing future regulations and the operations of international companies in the Indian market.
As the gaming industry continues to grow, the importance of data protection and user privacy cannot be overstated. The Krafton case underscores the critical need for companies to uphold their commitments to users and adhere to legal standards designed to protect personal information. The coming weeks will be pivotal for Krafton, BGMI, and the future of gaming in India.
