New Delhi The Enforcement Directorate (ED) on Sunday said it has chargesheeted real-money online gaming platform WinZO and its promoters, alleging that users lost ₹734 crore after the company embedded bots and artificial intelligence tools to manipulate game algorithms.
In an official statement, the ED said its Bengaluru zonal office filed a prosecution complaint on January 23 before a special court designated to hear cases under the Prevention of Money Laundering Act (PMLA).
The chargesheet names Winzo Pvt. Ltd., its directors Paavan Nanda and Saumya Singh Rathore, and its wholly owned subsidiaries, including overseas entities such as Winzo US Inc. (USA), Winzo SG Pte. Ltd. (Singapore) and ZO Pvt. Ltd., as accused.
According to the agency, WinZO operated more than 100 games through its mobile application and claimed a user base of around 25 crore, largely from tier-3 and tier-4 cities.
The Union government banned real-money gaming applications in India in August 2025.
The ED alleged that WinZO charged users a commission by deducting a percentage of betting amounts, while assuring players that its platform was transparent, secure, and free of bots. However, the investigation found that a majority of the real-money games (RMGs) were manipulated.
Analysis of game codebases, third-party developer agreements, and internal communications revealed that until December 2023, the RMGs were embedded with bots, AI tools, and algorithmic profiles, the agency said.
From May 2024 to August 2025, WinZO allegedly altered its modus operandi by simulating historical gameplay data of dormant or inactive users and pitting it against real players without their knowledge or consent.
“To suppress and conceal these unscrupulous acts, the company deliberately referred to the use of bots and simulated players through misleading terminologies such as EP (engagement play), PPP (past performance of player) and Persona,” the ED said.
The agency further alleged that users were initially lured with small bonuses and allowed to win against easy bots, with limited withdrawals permitted to create a false sense of trust. Once users began placing higher stakes, harder bots were deployed systematically, resulting in significant financial losses.
As a result, genuine users incurred losses of approximately ₹734 crore, the ED claimed, adding that winnings at higher stakes were often blocked through restrictive withdrawal mechanisms, forcing continued gameplay.
The ED also alleged that WinZO failed to return legitimate user winnings and deposits amounting to ₹47.66 crore even after real-money gaming apps were banned last year.
In this manner, the agency said, the company generated proceeds of crime worth ₹3,522.05 crore between the financial years 2021–22 and 2025–26 (as on August 22, 2025).
Evidence recovered from seized electronic devices further indicated that the manipulative gaming structure caused severe financial distress to users, particularly those from economically weaker backgrounds, with some reportedly experiencing extreme mental distress and suicidal tendencies, the ED claimed.
The agency also alleged that the proceeds of crime were laundered through shell companies created in the US and Singapore.
Published on January 25, 2026
