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ED attaches Rs 505 crore in US and Singapore bank accounts linked to gaming giant Winzo
Investigators allege Winzo used AI-driven bots to ensure real players lost matches, generating thousands of crores in illicit "rake commissions" that were then laundered through shell companies.
ED alleged that the company restricted or limited withdrawals from users’ wallets, thereby encouraging continued gameplay (Image: X/Winzo).
The Directorate of Enforcement (ED), Bengaluru Zonal Office, has provisionally attached movable properties worth $55.69 million (approximately Rs 505 crore) held in foreign bank accounts in the United States and Singapore in connection with its money laundering probe against Winzo Private Limited, a social gaming and interactive entertainment platform.
According to the agency, the attached funds were held in the names of overseas shell companies, Winzo US Inc., USA, and Winzo SG Pte. Ltd., Singapore, allegedly operated and controlled by Paavan Nanda and Saumya Singh Rathore.
The ED had earlier conducted search and seizure operations at the office premises of Winzo Pvt. Ltd., its director’s residence on November 18, 2025, and its accounting firm on December 30, 2025. Evidence gathered during the searches and subsequent investigation allegedly revealed that the company engaged in fraudulent practices by allowing customers to play real-money games against bots, AI-driven systems, and algorithms — termed PPP, EP, or Persona — without informing them that they were not playing against human opponents.
Investigators further alleged that the company restricted or limited withdrawals from users’ wallets, thereby encouraging continued gameplay. The agency said Winzo generated proceeds of crime in the form of rake commission earned from matches played between bots and real players on its platform. By creating such an environment, users were allegedly induced to repeatedly deposit and play, enabling the company to systematically convert user deposits into revenue through commissions charged on each match.
According to the ED, the company generated proceeds of crime amounting to Rs 3,522.05 crore between the financial years 2021–22 and 2025–26 (till August 22, 2025).
The agency said it has so far frozen movable properties worth approximately Rs 689 crore in the case. A portion of the alleged proceeds was transferred overseas to the United States and Singapore under the guise of investments and parked in foreign bank accounts, while the company’s operations and financial control remained in India.
A prosecution complaint has been filed before the Special Court under the Prevention of Money Laundering Act in Bengaluru on January 23, 2026. With the latest attachment, the total proceeds of crime attached or frozen in the case now stand at around Rs 1,194 crore, officials said.
Further investigation is underway.
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