Overview
- Searches at WinZO’s accounting firm on December 30 led to a freeze of about ₹192 crore held by subsidiary ZO Games in bank balances, fixed deposits and mutual funds under PMLA provisions.
- The ED pegs total alleged proceeds of crime at roughly ₹802 crore, including rake commissions it says were generated through manipulated, bot-led matches over multiple periods since 2022.
- Investigators claim users were unknowingly matched against bots or algorithms referred to as PPP, EP and Persona, and that withdrawals from in-app wallets were limited, with ₹43 crore of user funds retained after the real-money gaming ban.
- Officials say around $54 million was routed overseas and parked in a U.S. account under WINZO US Inc., described by the agency as a shell entity, with parallel trails to Singapore under review.
- Founders Saumya Singh Rathore and Paavan Nanda were arrested in November, with Rathore granted bail and Nanda denied bail, as the ED signals further tracing actions that could include attachment of overseas assets.