India’s Enforcement Directorate seizes almost US$60 million from three companies said to be offering real-money gaming after ban
Summary
India’s Enforcement Directorate (ED) has frozen bank accounts holding more than Rs 523 crore (about US$58.6 million) after raids on three online gaming companies — reported as WinZO Games, Nirdesa Networks and Gameskraft Technologies. Searches were carried out in Delhi, Bengaluru and Gurugram between 18 and 22 November.
The ED alleges the firms continued offering real‑money gaming (RMG) after the central government’s ban and held player deposits that should have been refunded. WinZO is accused of running RMG for overseas markets on the same platform used in India, and of obscuring the use of algorithmic software in place of human opponents. Alleged proceeds of crime of Rs 505 crore relating to WinZO were frozen under the Prevention of Money Laundering Act (PMLA). Gameskraft’s Pocket52 brand reportedly had eight bank accounts frozen containing about Rs 18.57 crore.
Key Points
- The ED froze roughly Rs 523 crore (~US$58.6m) following raids on three online gaming companies.
- Companies named in reports: WinZO Games, Nirdesa Networks and Gameskraft Technologies (Pocket52).
- WinZO accused of operating real‑money games for Brazil, the US and Germany from India and using algorithms in place of human players.
- Rs 505 crore linked to WinZO frozen under the PMLA; Gameskraft had about Rs 18.57 crore frozen.
- The seizures follow the Promotion and Regulation of Online Gaming Act, 2025, which banned real‑money online gaming (including many skill games) and introduced criminal penalties.
- India’s Supreme Court has heard challenges and signalled potential exemptions for some skill‑based competitions; the next hearing is scheduled for today.
Context and relevance
This action is part of a fast‑moving regulatory crackdown that has major implications for operators, affiliates, payment providers and investors in the Indian and regional iGaming market. The 2025 law dramatically changed the legal landscape by sweeping in many skill games; ongoing court rulings could still narrow or clarify who is affected. Enforcement via the ED and PMLA signals aggressive state action to freeze suspected proceeds, which raises counterparty, compliance and refund liabilities for platforms.
Why should I read this?
Because if you work in iGaming, payments, compliance or affiliate marketing in India (or have players there), this story matters — big time. The government has moved quickly, enforcement is active, and the legal outcome will change who can operate and how money flows. Short version: arrests, frozen cash, and legal uncertainty; keep an eye on the court hearings. We read the detail so you don’t have to — but don’t ignore it.
Author’s take
Punchy and plain: this is a pivotal enforcement move that could redraw the map for online gaming in India. Operators need to reassess legal risk, refund obligations and platform practices now — and investors should expect continued volatility until the courts provide clearer guidance.
