The Enforcement Directorate (ED) arrested WinZO co-founders Saumya Singh Rathore and Paavan Nanda on 26 November 2025 during raids conducted by ED, Bengaluru Zonal Office, at four locations in Delhi and Gurgaon. The ED charged them with money laundering under the Prevention of Money Laundering Act (PMLA).
A local court remanded them to one-day custody initially, later extending it amid ongoing investigations into fraudulent practices on the real-money gaming platform. The duo, directors of WinZO Games Pvt Ltd, face allegations of cheating, account blocking, KYC misuse, and rigging games via undisclosed algorithms that pitted users against software instead of real players.
Fraud Tactics Exposed
ED raids from 18-22 November across Bengaluru, Gurgaon, and Delhi uncovered proceeds of crime worth Rs 505-523 crore, frozen in bank balances, bonds, fixed deposits, and mutual funds. Investigators found WinZO withheld Rs 43 crore in gamer funds post the government’s 22 August 2025 ban on real-money games, failing to process refunds.
Additional revelations include delayed withdrawals, impersonation via misused PAN details, and diversions to US shell entities managed from India, with operations in Brazil, Germany, and elsewhere defying regulations.
Regulatory Context and Stakeholder Views
The probe stems from Karnataka Police FIRs over user complaints of substantial losses, building on nationwide scrutiny of gaming firms like Gameskraft. WinZO issued a statement claiming full compliance with laws and cooperation, emphasising user protection.
No direct quotes from the founders emerged, but ED officials highlighted unscrupulous practices generating illicit proceeds through rigged bets and crypto flows.
A WinZO spokesperson rejected the allegations, stating that fairness and transparency form the foundation of the company’s platform design and operations, according to HT.
Broader Implications
This case highlights vulnerabilities in India’s booming online gaming sector, valued at billions, where rapid growth outpaces oversight. It underscores risks to millions of users, especially youth, from addictive models blending skill and chance. Enhanced KYC enforcement, transparent algorithms, and swift refunds could mitigate harms.
WinZO: Platform Profile
WinZO, founded in 2018 by Paavan Nanda and Saumya Singh Rathore and headquartered in New Delhi, is India’s leading social gaming platform, boasting over 175 million registered users across Android and iOS apps. It offers 100+ games in 12 languages like Hindi, Gujarati, and Bhojpuri, including Ludo, Carrom, Rummy, Chess, and esports titles, targeting Tier 2-5 cities with micro-transaction models for real-money rewards.
The app handles billions of monthly transactions, generated Rs 1,055 crore revenue in FY24, and partners with developers for localised content, positioning itself as a ‘Netflix for gaming’.
WinZO offers a diverse gaming experience with over 100 games across various formats and more than a dozen regional languages, making it accessible to a wide Indian audience. The platform boasts features such as personalized game recommendations, fast load times, and smooth gameplay that enhance user engagement. It supports multiple payment methods for easy deposits and withdrawals, along with leaderboards, contests with different entry fees, and social sharing options.
Regular notifications inform users about new games and events, while integrated customer support addresses player issues promptly. This focus on real-time data insights and customer feedback drives continuous improvements and strong user retention.
The Logical Indian’s Perspective
Such incidents demand robust safeguards to protect consumers while nurturing ethical innovation in digital entertainment. The Logical Indian champions transparency, empathy for affected players, and collaborative reforms fostering harmony between business, regulators, and users.
