ED Freezes Assets of Celebrities Linked to Illegal Betting Scandal
Assets Seized in Connection with 1xBet Investigation
The Enforcement Directorate (ED) announced on Friday that it has frozen assets totaling approximately Rs 8 crore belonging to several former Indian cricketers, actors, and models, including Yuvraj Singh, Robin Uthappa, and ex-TMC MP Mimi Chakraborty, as part of an investigation into an illegal betting application known as 1xBet.
Other individuals affected by this asset freeze include model Neha Sharma, Bengali actor Ankush Hazra, and Meera Rautela, who is the mother of actress and 1xBet India ambassador Urvashi Rautela.
The federal agency has issued a warning to celebrities and social media influencers, stating that endorsing or promoting illegal betting platforms, even indirectly, is a criminal offense that could lead to legal consequences.
The provisional attachment order, executed under the Prevention of Money Laundering Act (PMLA), encompasses properties valued at Rs 7.93 crore, according to the agency's statement.
Reportedly, this includes assets worth around Rs 1 crore belonging to Sonu Sood, Rs 59 lakh from Chakraborty, Rs 2.5 crore from Yuvraj Singh's company YWC Health and Wellness Pvt. Ltd., Rs 1.26 crore from Sharma, Rs 8.26 lakh from Uthappa, Rs 47.2 lakh from Hazra, and Rs 2.02 crore from Rautela's mother.
The ED has recorded statements from these celebrities for several hours, alleging that the assets in question are the 'proceeds of crime' linked to illegal online betting.
According to the agency, these celebrities allegedly 'knowingly' entered into endorsement deals with foreign companies to promote 1xBet through surrogate means.
These endorsements were reportedly compensated through payments routed via foreign entities to obscure the illegal origins of the funds, which are tied to criminal activities associated with betting.
1xBet, based in Curacao, has been accused by the ED of operating in India 'without authorization' and utilizing surrogate branding and advertisements to attract Indian users through various media channels.
The investigation revealed that payments for endorsements were structured through complex transactions involving foreign intermediaries to mask the 'illegal' source of the funds.