ED Crackdown: Online Gaming Giants Under Scrutiny for Money Laundering

The Enforcement Directorate raided premises linked to WinZO and Gamezkraft in a money laundering probe, covering 11 locations across Bengaluru, Delhi, and Gurugram. The investigation targets company owners suspected of manipulating algorithms and laundering funds via cryptocurrencies. This follows India's ban on real money online gaming.

The Enforcement Directorate (ED) initiated a series of raids on online gaming platforms WinZO and Gamezkraft on Tuesday, as part of a sweeping money laundering investigation, according to official reports.

In total, 11 premises were targeted, including key locations in Bengaluru, Delhi, and Gurugram. The raid was spearheaded by the ED's Bengaluru zonal office and aimed at uncovering financial misconduct linked to these gaming entities.

Authorities allege these companies manipulated gaming algorithms, to the detriment of players, and possibly laundered money through cryptocurrency channels. The investigation comes on the heels of recent legislation by the Union government banning real money online gaming in India.

(With inputs from agencies.)