Probe agency cracks down on betting app operators in India
The Enforcement Directorate (ED), a law enforcement and economic intelligence agency of the Government of India has stepped up its action against illegal online betting networks, filing a chargesheet in Ahmedabad and attaching assets in Kolkata in two separate money laundering cases. The cases involve large-scale use of mule bank accounts, cryptocurrency transactions and offshore fund transfers, with operations spread across several states and involving both domestic and foreign actors.
Chargesheet against operators
In Ahmedabad, the ED filed a prosecution complaint before a special court under the Prevention of Money Laundering Act (PMLA) against the operators of the ‘Dani Data App’. The platform, an online betting and football gaming app, was launched by a Chinese national.
According to the ED, the app lured users and investors by promising a guaranteed return of 0.75 percent per game, a claim the agency described as false. Between December 2021 and June 2022, funds were collected through merchant IDs linked to payment aggregators such as AgreePay, BharatPe, Cashfree and Paytm. These funds were routed through multiple mule accounts opened in the names of dummy entities.
The ED alleged that hundreds of crores were laundered using complex financial layering. The methods included cash withdrawals, foreign currency purchases, cryptocurrency conversion and transfers to offshore accounts. The case is based on an FIR filed by Banaskantha cybercrime police. During earlier searches, the ED had frozen funds worth approximately ₹20 crore (approximately $2.4 million) related to the operation.
Asset attachment in Kolkata betting panel case
In a separate investigation, the ED’s Kolkata Zonal Office provisionally attached movable assets worth ₹14.29 crore ($1.715 million). The funds were located in 80 mule bank accounts linked to an illegal online betting panels network.
The Kolkata investigation began after an FIR was lodged by the Siliguri Police Commissionerate. Findings revealed that the betting apps were run using a formal corporate structure. This structure included departments for customer acquisition, call centres and winnings settlement teams. Panels or franchises were rented to individuals who used them to operate betting activities covertly through messaging platforms such as WhatsApp and Telegram.
Payments for panel procurement were often made in USDT, a cryptocurrency. The ED said earlier searches in West Bengal, Delhi, Bihar, Uttar Pradesh and Assam had led to the arrest of three accused persons — Vishal Bhardwaj alias Badal Bhardwaj, Sonu Kumar Thakur and Abhishek Bansal. The agency also froze around 1,130 mule accounts holding up to ₹10.20 crore ($1.224 million).
Prosecution complaint and court orders
On 1 August 2025, the ED filed a prosecution complaint in the Kolkata case, naming 10 accused individuals. The special PMLA court issued a pre-cognisance order in response to the filing.
The ED stated that these illegal betting networks were structured to hide their operations while maintaining a flow of funds through multiple layers of accounts and digital assets. The combined use of mule accounts, cryptocurrencies and cross-border transactions made tracing the proceeds more complex.
Continuing investigation
Both the Ahmedabad and Kolkata cases remain under investigation. The ED is continuing its efforts to identify the full extent of the networks, trace remaining assets and bring more individuals under the ambit of the law.
The agency has been increasingly focusing on the role of mule bank accounts, which are often opened in the names of unsuspecting or complicit individuals to mask the origins of funds. Investigators are also examining the role of payment gateways and aggregators in facilitating these transactions.
