WinZO Gaming Scandal: Algorithms, Bots, and a Rs 734 Crore Loss

The Enforcement Directorate has filed charges against WinZO, an online gaming app, alleging it manipulated algorithms with bots, leading to user losses of Rs 734 crore. Users were misled by deceptive gaming tactics, causing financial and emotional distress. Proceeds were allegedly laundered through international shell companies.

The Enforcement Directorate (ED) has taken serious action against real-money gaming app WinZO, accusing it of using bots and artificial intelligence to manipulate game algorithms, resulting in players losing a staggering Rs 734 crore. The chargesheet implicates the company's directors and subsidiaries for this orchestrated gaming scandal.

Officially filed in a Bengaluru court, the case highlights how WinZO, under the guise of offering a fair gaming platform, exploited users. With over 100 games boast a user base from tier-3 and tier-4 cities, it misled players by embedding bots and simulating opponent behavior, the ED revealed.

The app initially engaged users with minor wins, only to deploy sophisticated bots once larger amounts were at stake, causing significant financial loss. Moreover, the losses were further exacerbated by restrictive withdrawal mechanisms, while proceeds were allegedly laundered internationally through shell companies in the US and Singapore.

(With inputs from agencies.)