Kolkata Businessman Arrested in Major Online Gaming Fraud Investigation

The Enforcement Directorate has arrested Kolkata businessman Sagar Dash in a significant online gaming and betting fraud case. The investigation, which began after multiple FIRs were filed, revealed a complex web of money laundering involving shell companies and fraudulent bank accounts. Dash is accused of routing hundreds of crores through a cooperative society's bank account, linked to illegal online gaming activities. The ED has conducted extensive searches across several cities, leading to the seizure of incriminating evidence and the freezing of substantial funds. The agency remains dedicated to dismantling illicit financial networks as the investigation continues.

By Narendra Chaudhary Oct 31, 2026, 12:47 IST

Enforcement Directorate Takes Action Against Online Betting Scam

New Delhi: The Enforcement Directorate (ED) from the Mumbai Zonal Office-II has apprehended Sagar Dash in relation to a fraudulent online gaming and betting scheme allegedly run through All Panel Exchange (APX) and associated cyber-crime activities.

Dash was taken into custody on October 27 under the Prevention of Money Laundering Act (PMLA), 2002, and a Special Court in Mumbai has placed him in ED custody for three days.

As per a press release from the ED issued on Saturday, the investigation commenced following three FIRs linked to online gaming, betting, and cyber-fraud incidents where victims reportedly lost crores of rupees.

The inquiry uncovered that the funds from the alleged scam were funneled through various mule bank accounts via Jubilee Hills Mercantile Cooperative Bank in Hyderabad before being transferred to multiple shell companies.

Further examination indicated that large sums from these shell companies were later deposited into the nodal account of Nagarbhavi Credit Cooperative Society in Bengaluru.

The ED also noted that Sagar Dash allegedly utilized the KYC details and forged documents of Nagarbhavi Credit Cooperative Society to establish a cryptocurrency account.

The agency stated, "Investigations have shown that the KYC and falsified documents from Nagarbhavi Credit Cooperative Society were exploited by Sagar Dash to create a crypto account."

It is alleged that Dash funneled hundreds of crores through the cooperative society's bank account, a significant portion of which is directly associated with the illicit proceeds from illegal online gaming and betting platforms targeting unsuspecting victims through cyber scams.

Previously, the ED executed searches at various locations in Pune, Mumbai, Bengaluru, Hyderabad, Surat, and Mehsana in Gujarat. These operations resulted in the confiscation of incriminating documents and the freezing of around Rs 9 crore across several bank accounts.

The agency had also detained Ram U. Ramdhani, the CEO of Edsom Fintech Pvt. Ltd., in connection with this case.

The ED reiterated its commitment to uncovering and dismantling illegal financial networks while ensuring rigorous enforcement of the PMLA, 2002. The investigation is ongoing.