The Directorate of Enforcement (ED), Bengaluru Zonal Workplace, has arrested Paavan Nanda and Saumya Singh Rathore, each Administrators of New Delhi–primarily based WinZO Video games Pvt. Ltd., for his or her alleged involvement in money-laundering actions linked to the corporate’s on-line real-money gaming operations.
The arrests had been made on November 26 below provisions of the Prevention of Cash Laundering Act (PMLA), 2002. The accused had been produced earlier than the Principal Metropolis Civil & Classes Choose (CCH-1) in Bengaluru on Thursday.
In line with officers, search operations had been carried out final week on the WinZO’s company workplace and on the residence of Saumya Singh Rathore. The searches had been primarily based on FIRs alleging dishonest, account-blocking, impersonation, and misuse of PAN particulars by the corporate and others.
Preliminary findings by the ED counsel that the WinZO engaged in fraudulent practices by allegedly making prospects play real-money video games in opposition to algorithms or software program as an alternative of human opponents, with out disclosing this to customers. The company claims the corporate restricted or prevented withdrawals from buyer wallets and generated giant ‘proceeds of crime’ by means of the manipulation of such recreation mechanisms.
To date, property price ₹505 crore, held within the type of financial institution balances, bonds, fixed-deposit receipts and mutual funds, have been frozen below Part 17(1A) of the PMLA.
The ED has additionally alleged that the WinZO continued to function real-money video games in international jurisdictions, together with Brazil, america, and Germany, utilizing the identical platform run from India, regardless of the Union authorities’s ban on such actions. Investigators mentioned the corporate hosted all classes of video games, together with real-money codecs, by means of a single India-based utility for world customers.
The probe additional revealed suspected diversion of funds to abroad entities. About USD 55 million (₹489.9 crore) was allegedly transferred to financial institution accounts within the US held within the title of ‘WINZO US Inc.’, which the ED has termed a shell firm.
The company claims that every one operational selections and account dealing with for the US entity had been carried out from India.
Printed – November 28, 2025 10:01 pm IST