ED alleges Rs 3,522 crore ‘gaming scam’, files chargesheet against Winzo, directors
BENGALURU: The Bengaluru zonal office of the Enforcement Directorate (ED) has filed a prosecution complaint before a special court against online gaming firm Winzo Pvt Ltd, its directors, and other accused individuals, alleging that the company siphoned off Rs 3,522 crore in under four years.
The investigation was initiated following multiple FIRs registered by the Bengaluru CEN police and law enforcement agencies in Rajasthan, Delhi, and Gurugram. During raids conducted between November 18 and December 30 last year at Winzo’s offices, directors’ residences, and other related premises, the ED seized assets worth Rs 690 crore.
According to the agency, Winzo operates a real money gaming (RMG) platform through a mobile application offering more than 100 games, with a claimed user base of around 25 crore—largely from Tier-3 and Tier-4 cities. The company earned revenue by charging commissions on user bets and assured players that its platform was transparent, secure, and free from BOT-driven manipulation.
Contrary to these claims, the ED alleged that most of the games were manipulated. Analysis of source codes, agreements with third-party developers, and internal communications revealed that until December 2023, several games were embedded with BOTs, AI tools, or algorithm-based profiles. Between May 2024 and August 2025, the company allegedly shifted tactics by deploying simulated players created from historical gameplay data of inactive users, without informing real players.
To conceal these practices, the agency said Winzo internally referred to BOT usage through misleading terms such as “Engagement Play,” “Past Performance of Player,” and “Persona.”
Investigators further found that users were initially attracted through small bonuses and easy wins against low-level BOTs, with limited withdrawals permitted to build trust. Once players began placing higher bets, more advanced BOTs were introduced, leading to substantial losses. The ED stated that genuine users suffered losses amounting to Rs 734 crore, while higher-stake winnings were often blocked through restrictive withdrawal mechanisms.
The agency also alleged that after the Union Government banned real money gaming, the company failed to refund legitimate user deposits and winnings totaling Rs 47.66 crore.
