The Directorate of Enforcement (ED) has filed a supplementary prosecution complaint against several individuals and entities in connection with a massive illegal online betting and gambling-linked money laundering case under the Prevention of Money Laundering Act (PMLA), 2002.
The complaint, filed on February 20, named Pruthvi N. Raj, K.C. Thippeswamy of Fonepaisa Payment Solutions Pvt. Ltd., Gulshan Khattar of Puppy’s Tours and Travels LLP, Arjun Nagabhushan, Abhijith Sajjan of Logicforge Solutions Pvt. Ltd.
The case pertains to illegal online betting activities, with Chitradurga Congress MLA K.C. Veerendra identified as the main accused.
According to the ED, the investigation was initiated based on multiple FIRs registered by various State police authorities under the provisions of the Indian Penal Code, 1860.
The FIRs relate to cheating, impersonation and extortion of the public through illegal online betting platforms such as King567, Play567, Playwin567 and Gamexch, among others.
The agency’s probe revealed that funds generated through these platforms were routed via multiple payment gateways, mule bank accounts, foreign entities and virtual digital assets, along with outward remittances.
Earlier, the ED had conducted searches at over 60 locations across Karnataka and other States, leading to the seizure of substantial quantities of cash, gold bullion, gold and silver jewellery, vehicles, digital devices and incriminating documents.
Congress MLA Veerendra was previously arrested under Section 19 of the PMLA, 2002. A prosecution complaint had already been filed against him on October 18, 2025.
The ED also provisionally attached movable and immovable properties worth approximately ₹177.30 crore under Section 5(1) of the PMLA, 2002.
During the course of investigation, proceeds of crime exceeding ₹2,300 crore have been identified so far, the ED claimed. The agency stated that the funds were generated through illegal online betting and gambling activities and laundered through multiple layers of transactions. The investigators claimed to have also found that assets were acquired outside India, particularly in Dubai, and that several transactions involved crypto assets.
Published – February 23, 2026 07:31 pm IST
