ED attaches assets worth Rs 442 crore in RummyCulture money laundering case

The Enforcement Directorate (ED) has provisionally attached movable and immovable properties worth about Rs 442.35 crore in connection with its money laundering investigation into RummyCulture and other online real-money gaming platforms operated by Gameskraft Technologies and RummyTime Technologies.

The Bengaluru Zonal Office issued the provisional attachment order on September 25 under the Prevention of Money Laundering Act (PMLA), 2002. The attached assets include fixed deposits, commercial shops, a villa and residential properties held in the names of family members, private family trusts and entities associated with shareholders of Gameskraft Technologies, the ED said in a news release.

The ED said its investigation was initiated based on multiple FIRs registered in Telangana for alleged cheating offences under the Bharatiya Nyaya Sanhita, 2023, which are offences under the PMLA.


The agency had earlier conducted searches at the offices of Gameskraft Technologies and the residential premises of its directors and key employees in May and June. It said the searches resulted in the seizure of documents, digital devices and electronic records.

According to the ED, Gameskraft Technologies and RummyTime Technologies operated online real-money games, particularly rummy games and tournaments, through applications including RummyCulture, RummyPrime, Playship and RummyTime. The platforms had about 3 crore users across India, the agency said.

The ED alleged that a significant number of users were from states including Telangana, Andhra Pradesh and Tamil Nadu, where online real-money gaming has been banned. The companies allegedly charged platform commissions of 10-15% on users' staking or wagering amounts.

The agency further alleged that the platforms used automated programmes or bots against users despite assurances that the games were free from such players. According to the ED, this resulted in financial losses for users while generating proceeds of crime for the companies.

The investigation also found, according to the ED, that the companies spent about Rs 1,035 crore on marketing and promotional campaigns. Users were allegedly offered bonuses, referral incentives, free tournament entries and promotional rewards to encourage continued gameplay and deposits.

The ED also alleged that the companies imposed withdrawal restrictions, including levies of 5-10% in certain cases, and encouraged users to convert withdrawable balances into non-withdrawable 'Game Cash' through 'Super Booster' offers.

The agency said dormant users, including those who had stopped playing after suffering financial losses, were targeted through cash credits, promotional offers, push notifications, SMS campaigns and telemarketing calls to encourage them to resume playing.

The ED further alleged that proceeds generated from these activities were layered through dividend payments and share buy-backs and subsequently invested in mutual funds, bonds, convertible notes, equity shares, movable assets and high-value immovable properties, including assets held through family trusts and associated entities.

Earlier, the ED had frozen movable assets worth about Rs 495 crore and seized Rs 11 lakh in cash and gold and diamond jewellery, including about 2.30 kg of bullion. It had also issued a provisional attachment order covering properties worth about Rs 1,906 crore.

With the latest action, the total value of proceeds of crime attached, frozen and seized during the investigation has reached about Rs 2,843 crore, the ED said.