ED Raids Parimatch Network, Freezes Rs 150 Crore in Assets

The Enforcement Directorate’s Mumbai Zonal Office conducted searches at 17 locations across five states, targeting an alleged illegal online betting platform, Parimatch. The operations, part of an investigation under the Prevention of Money Laundering Act, led to the freezing or seizure of assets totaling approximately Rs 150 crore.

What Happened

The Enforcement Directorate (ED) Mumbai Zonal Office initiated search operations on Thursday, September 3, at 17 locations across Maharashtra, Rajasthan, Delhi, Gujarat, and Uttar Pradesh. These actions fall under the Prevention of Money Laundering Act (PMLA), 2002, and are linked to an ongoing investigation into the Cyprus-based online betting platform, Parimatch, according to the Lokmat Times.

The ED’s probe began based on an FIR registered by the Cyber Police Station in Mumbai, which accused Parimatch.com of allegedly defrauding users. Investigations by the ED revealed that the platform reportedly generated over Rs 3,000 crore within a single year by attracting users with promises of high returns, as stated in an ED press note.

Key Details

• The ED identified a multi-layered mechanism used to route and launder proceeds, involving initial channeling of betting funds through multiple mule accounts, including merchant accounts, before being layered through ostensibly legitimate financial channels (Lokmat Times).
• Cash Management System (CMS) and Domestic Money Transfer (DMT) agents were reportedly central to the scheme, diverting funds from merchant or mule accounts to CMS/DMT-linked accounts, where banking credits replaced legitimate cash cycles while equivalent physical cash was supplied to individuals connected to the betting network (Lokmat Times).
• This cash was subsequently converted into USDT via hawala and crypto operators and transferred to wallets controlled by the offshore Parimatch network, alongside a parallel method involving Indian tour and travel operators through whom at least Rs 200 crore was routed (Lokmat Times).
• Investigators also uncovered sham Overseas Direct Investment (ODI) transactions and bogus imports of services, through which Rs 500 crore was layered and remitted abroad, supported by fabricated valuation reports and fictitious documentation despite lacking genuine commercial substance (Lokmat Times).
• The searches resulted in the seizure of movable properties valued at approximately Rs 2.11 crore, including Rs 61 lakh in cash and a one kg gold bar, along with incriminating documents and digital devices (Lokmat Times).
• Bank balances totaling around Rs 37 crore were frozen, bringing the total assets frozen or seized in the case to approximately Rs 150 crore (Lokmat Times).

Why It Matters

This enforcement action highlights the persistent challenges in combating illegal online betting operations and money laundering within regulated financial systems. The reported use of sophisticated multi-layered mechanisms, including mule accounts, CMS/DMT agents, hawala, crypto operators, and fraudulent ODI/import transactions, underscores the complexity of financial crimes in the digital age. The investigation’s findings regarding the alleged generation of over Rs 3,000 crore in a single year through such platforms indicate the significant financial scale of these illicit activities, posing a considerable regulatory and enforcement challenge.

What’s Next

The investigation is ongoing, as stated by the ED press note (Lokmat Times).

Originally reported by Lokmat Times·Published 3 Sep 2026, 15:55