Mumbai: The Directorate of Enforcement (ED), Mumbai Zonal Office, has conducted search operations at 17 locations across Maharashtra, Rajasthan, Delhi, Gujarat, Daman and Uttar Pradesh in connection with an ongoing money laundering investigation linked to the Cyprus-based illegal online betting platform Parimatch.

The searches were carried out on May 26 under the provisions of the Prevention of Money Laundering Act (PMLA), 2002.

According to the ED, movable assets worth around Rs. 1.56 crore were seized during the raids, including cash amounting to nearly Rs. 1.2 crore. In addition, bank accounts containing approximately Rs. 3.8 crore have been frozen. Officials also recovered several incriminating documents and digital devices during the search operations.

The investigation was initiated on the basis of an FIR registered by Cyber Police Station, Mumbai, against Parimatch.com for allegedly duping users through its online betting platform. The agency said the platform allegedly lured users with promises of high returns and is suspected to have generated more than Rs. 3,000 crore within a year.

ED officials said the investigation has revealed that Parimatch and its associates used a complex network of mule accounts, payment intermediaries and financial inclusion channels for collection, layering and transfer of funds.

According to investigators, in several cases, withdrawals made by users were processed indirectly without any direct outward payment from accounts controlled by the platform. Instead, deposits from new users were allegedly routed into the accounts or UPI IDs of withdrawing users in multiple transactions to conceal the actual money trail.

The agency further stated that deposits and withdrawals were channelled through multiple current accounts opened in the names of software, fintech and technology-related entities that were also engaged in legitimate business activities. These accounts were allegedly used for collecting user deposits and routing payouts under the guise of vendor payments, business transactions and payment gateway services.

The ED also alleged misuse of Banking Correspondent (BC) networks, mobile money transfer agents, Grahak Seva Kendras, Cash Management Services (CMS), local kirana stores and retail outlets for movement of funds linked to the betting platform.

Investigators said user funds were routed through retailers and Grahak Seva Kendras operating under BC networks. The money was allegedly transferred to retailers, passed on to BC operators, and then used to recharge retailer wallets, which were later utilised to make payouts to Parimatch users, thereby obscuring the source of funds.

The probe has also revealed that certain agents allegedly diverted cash received through CMS channels and adjusted it against RTGS transfers linked to deposits made by Parimatch users. According to the ED, the funds were later transferred outside India through hawala channels.

Officials further claimed that Parimatch promoted its betting platform aggressively through surrogate advertisements under the names “Parimatch Sports” and “Parimatch News.” The platform allegedly focused on hyperlocal marketing by sponsoring local cricket leagues in more than 15 states, besides hockey and football tournaments.

The ED also alleged that betting-related advertisements were promoted through leading quick-commerce applications and promotional materials distributed along with grocery deliveries to attract new users.

According to the agency, assets worth Rs. 112 crore have been frozen so far in the case. Further investigation is underway. DeshGujarat