New Delhi: The Enforcement Directorate on Sunday said it has attached fresh assets worth Rs 442 crore as part of its money laundering investigation against online gaming company Gameskraft and its app RummyCulture.
The central agency said in a statement that a provisional order was issued on September 25 under the Prevention of Money Laundering Act (PMLA) to freeze the properties.
These include fixed deposits, commercial shops, a villa and multiple residential properties held in the names of the family members, private family trusts and various associated entities of the shareholders of Gameskraft Technologies Pvt. Ltd., it said.
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According to the Enforcement Directorate (ED), the total value of these properties is Rs 442.35 crore, and with the latest order, the total value of attachment and assets frozen in this case stands at Rs 2,843 crore.
The agency said Gameskraft Technologies and RummyTime Technologies were engaged in operating online real money games (RMGs) through mobile applications under various brands, including RummyCulture, RummyPrime, Playship and RummyTime.
The platforms had a user base of around 3 crore across the country, and, the ED alleged, a "significant" number of users were located in the states where online real money gaming has been banned, including Telangana, Andhra Pradesh and Tamil Nadu.
It claimed that while these platforms assured users that they were transparent, fair and free from automated players, they deployed BOTs (automated programs/algorithms) against gullible users without their knowledge or consent.
"The use of BOTs resulted in substantial financial losses to the users while generating proceeds of crime for the companies," the agency alleged.
The "unscrupulous" practices of the companies have created an addictive gaming environment that encouraged repeated wagering, thereby enabling the companies to generate huge proceeds of crime in the form of platform commission, according to the ED.
