Gameskraft Faces INR 526 Crore Asset Freeze in ED’s PMLA Investigation
On May 14th, the Enforcement Directorate announced that bank deposits totalling INR 526 crore had been frozen. Moreover, the Enforcement Directorate (ED) has announced that, following the conclusion of searches in a money laundering case involving the online gaming platform Gameskraft and its founders, it has confiscated INR 11 lakh in cash in addition to INR 3.5 crore in gold jewellery. On May 7, searches were initiated in the capital cities of Karnataka and Delhi-NCR targeting the Bengaluru-based company.
According to a statement from the agency, the raids were wrapped up on May 13. There has been a freeze on movable assets totalling INR 526.49 crore, including deposits in banks and payment gateways, bonds, and fixed deposits. Additionally, during the operation carried out under the Prevention of Money Laundering Act (PMLA), INR 3.5 crore worth of gold, diamond jewellery, and bullion, as well as INR 11 lakh in cash, were confiscated.
Why is ED After Gameskraft?
The central agency has taken cognisance of multiple police FIRs pertaining to alleged cheating and fraud and has filed a money laundering case against Gameskraft Technologies Ltd and other associated entities. The platform is said to own and operate multiple online games for real money, including 'RummyCulture', the rummytime app, and others, according to ED officials. In August 2025, the government outlawed gambling online for real money.
The Enforcement Directorate (ED) detained Deepak Singh, Prithvi Raj Singh, and Vikas Taneja, the company's founders, after the raids. The agency reports that the company's total domestic user base is approximately 3 crore, with a significant portion of that figure hailing from states such as Tamil Nadu, Telangana, and Andhra Pradesh. According to the agency, the company's commission was a percentage of the users' stakes or wagers, and it ranged from 10 to 15%.
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Some Interesting Facts of the Story |
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1.ED claims the alleged bot-based manipulation
caused user losses of around INR 1,154 crore. 2.The platform reportedly had a massive user base of
nearly 3 crore users across India. 3.Investigators claim the alleged proceeds were
routed into properties, mutual funds, bonds, dividends, and foreign entities. |
BOT or NO BOT-ED Reveals Secret
Gameskraft promised its customers that their gaming platform is safe, open, and devoid of any bots. Nevertheless, investigation revealed that the business engaged in deceitful activities while running the online rummy game on its platform, forcing users to compete against bots without their awareness or permission. It asserted that the use of BOTs caused gullible users to suffer psychologically and financially to the tune of INR 1,154 crore.
When investigating WinZO, another app for real-money gambling, the agency had earlier claimed the same BOT mode of operation. Users, particularly those from low-income backgrounds, experienced "severe" financial hardship, according to the ED's allegations, due to Gameskraft's "manipulative" gaming structure. In addition, there have been reports of users who went through severe mental distress and even attempted suicide. Additionally, the company and its directors were accused of laundering the ill-gotten gains. The laundering of funds is accomplished through the purchase of movable and immovable properties; investments in mutual funds, bonds, and dividend payments to shareholders; and foreign entities.
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Quick Shots |
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•ED froze INR 526.49 crore in bank deposits and
other movable assets linked to Gameskraft Technologies Ltd. •Assets frozen include bank deposits, payment
gateway balances, bonds, and fixed deposits. •ED also seized INR 3.5 crore worth of gold, diamond
jewellery, and bullion, along with INR 11 lakh cash. •Raids were conducted in Bengaluru and Delhi-NCR
between May 7 and May 13. |
