ED Attaches Assets Worth Rs 442 Cr In Probe Against Gameskraft
“The use of BOTs resulted in substantial financial losses to the users while generating proceeds of crime for the companies”: Agencies
NEW DELHI: The Enforcement Directorate on Sunday said it had provisionally attached assets worth ₹442.35 crore in its money laundering investigation into online gaming company Gameskraft and its app RummyCulture.
The agency said the attachment order was issued on September 25 under the Prevention of Money Laundering Act (PMLA), taking the total value of assets attached or frozen in the case to ₹2,843 crore. The latest attachment covers fixed deposits, commercial shops, a villa and multiple residential properties held in the names of family members, private family trusts and entities associated with shareholders of Gameskraft Technologies Pvt. Ltd., the ED said.
According to the agency, Gameskraft Technologies and RummyTime Technologies operated online real-money games through apps under brands including RummyCulture, RummyPrime, Playship and RummyTime. The platforms had around three crore users across the country. The ED alleged that a “significant” number were in states where online real-money gaming was banned, including Telangana, Andhra Pradesh and Tamil Nadu.
The agency alleged that, despite assuring users that the platforms were transparent, fair and free of automated players, the companies deployed bots — automated programs or algorithms — against users without their knowledge or consent. “The use of BOTs resulted in substantial financial losses to the users while generating proceeds of crime for the companies,” the agency alleged.
The ED also alleged that the companies’ practices created an addictive gaming environment that encouraged repeated wagering, generating substantial proceeds of crime through platform commissions.