The Enforcement Directorate (ED) has frozen deposits worth ₹523 crore tied to online gaming platforms WinZO and Gameskraft, as part of an ongoing money-laundering investigation. Searches were conducted across Delhi, Bengaluru and Gurugram between November 18 and 22, covering parent entities Nirdesa Networks, Gameskraft Technologies and WinZO Games, along with their promoters.
Key Allegations and Fund Holdings
According to preliminary findings, WinZO allegedly withheld ₹43 crore after the government’s August 22, 2025 ban on real-money gaming. Investigators identified ₹505 crore as suspected proceeds of crime across bank accounts, bonds, fixed deposits and mutual funds.
The ED further claimed that WinZO deployed undisclosed algorithms against players, restricted withdrawals, and operated its global real-money gaming platforms for the US, Brazil and Germany through a single India-hosted system. The agency also flagged $55 million (₹489.9 crore) held in a US-based account labelled as a shell entity.
Gameskraft faced similar allegations related to its Pocket52 platform, including retention of over ₹30 crore in escrow accounts after the gaming ban. Authorities froze 8 bank accounts containing ₹18.57 crore linked to Gameskraft, Nirdesa Networks and affiliated entities.
Ongoing Investigation and Regulatory Context
The ED’s probe is examining financial transactions, overseas fund movements and operational practices that may have violated the Promotion and Regulation of Online Gaming Act, 2025. Officials allege that both companies generated illicit funds through “unscrupulous” algorithmic practices and unauthorised betting mechanisms.
The investigation remains active as authorities trace financial flows and assess potential breaches of India’s anti-money laundering framework.
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