ED attaches ₹23.35 crore in online betting extortion case

This is a press release from the Directorate of Enforcement (ED), Bengaluru Zonal Office, announcing the provisional attachment of movable and immovable properties worth Rs. 23.35 Crore under the Prevention of Money Laundering Act (PMLA), 2002. It matters to citizens as it details the enforcement actions taken against a nationwide online betting and gambling extortion syndicate.

Who it concerns: The document concerns K. C. Veerendra, Gulshan Khattar, Neha Tandon, M/s Fonepaisa Payment Solutions Private Limited, M/s SimTech IT Solutions Private Limited, and the Directorate of Enforcement (ED).

What the ED says it did

• ED provisionally attached movable properties valued at Rs. 13,76,96,706 and immovable properties valued at Rs. 9,58,50,000, totaling Rs. 23,35,46,706.
• The attachment was made via Provisional Attachment Order (PAO) No. 42/2026 dated 23.10.2026.
• The properties are alleged to represent the equivalent value of Proceeds of Crime found in the possession of K. C. Veerendra, Gulshan Khattar, and Neha Tandon.
• Investigation revealed a nationwide network of betting websites, payment gateways, shell companies, and mule accounts allegedly controlled by K.C. Veerendra and associates.
• ED traced proceeds of crime exceeding Rs. 2,300 Crore, allegedly layered through multiple accounts, hawala channels, and offshore entities.
• M/s Fonepaisa Payment Solutions Private Limited, beneficially owned by Gulshan Khattar, is alleged to have received commissions for acting as a key payment gateway in the illegal ecosystem.
• Neha Tandon, Director of M/s SimTech IT Solutions Private Limited, is alleged to have received tainted funds via mule accounts linked to the 'king567' platform, with management handled by her husband, Gulshan Khattar.
• ED conducted search and seizure operations across more than 60 premises in several States, seizing cash, gold, vehicles, and digital devices.
• K.C. Veerendra was arrested under Section 19 of PMLA.
• A Prosecution Complaint was filed on 18.10.2025 and a Supplementary Prosecution Complaint on 20.02.2026, with cognizance taken by the Hon'ble Special Court, PMLA, on 04.05.2026.
• The aggregate value of properties attached, seized, or frozen to date exceeds Rs. 343 Crore.

Also in the document

• The investigation was initiated based on multiple FIRs alleging cheating, cheating by personation, criminal conspiracy, and extortion through online betting and gambling platforms.
• Players were allegedly induced to deposit funds and subsequently cheated through manipulated betting operations and blocked withdrawals on platforms including King567.
• Earlier, ED had provisionally attached properties worth Rs. 177.30 Crore, which was confirmed by the Hon'ble Adjudicating Authority, PMLA, New Delhi.
• The provisional attachment is intended to safeguard the value of the Proceeds of Crime in accordance with PMLA, 2002.