Tech giants Meta and Google have been issued notices by the Enforcement Directorate (ED) in connection with its ongoing investigation into alleged money laundering linked to betting apps, news agency ANI reported citing sources. Representatives from both companies have reportedly been summoned to appear before the agency’s Delhi headquarters on 21 July.

“Google and Meta platforms are promoting betting apps through advertisements and facilitating their reach to users,” ANI quoted an unnamed official source as saying.

The ED is examining the role of these digital platforms in enabling the promotion of illegal apps that are under investigation for potential violations of the Prevention of Money Laundering Act (PMLA).

Why have Meta and Google been sent ED summons?

The notices to Meta and Google come days after the ED searched four locations in Mumbai in a major dabba trading and online betting case, seizing ₹3.3 crore in unaccounted cash along with luxury vehicles, jewellery, foreign currency and cash counting machines during the raids.

The agency is looking into the financial and operational activities of “dabba trading apps” involved in illegal trading and betting, including platforms such as VMoney, VM Trading, Standard Trades Ltd, IBull Capital Ltd, LotusBook, 11Starss, and GameBetLeague.

“Online betting platforms operated through white-label apps, and admin rights were exchanged on a profit-sharing basis,” ANI quoted an official as saying. “Hawala operators and fund handlers identified, with digital and financial records, are being examined,” the source added.

The ED’s PMLA probe is based on an FIR registered at Lasudiya Police Station in Indore, Madhya Pradesh, on 9 January under Sections 319(2) and 318(4) of the Bhartiya Nyaya Sanhita (formerly IPC Sections 419 and 420).

Investigations have revealed that Vishal Agnihotri, the beneficial owner of VMoney and 11Starss, acquired admin rights of the LotusBook betting platform on a five per cent profit-sharing arrangement. He later transferred these rights to Dhaval Devraj Jain, retaining a 0.125 per cent share while Jain held 4.875 per cent.

Officials stated that Dhaval Jain, along with his associate John States alias Pandey, developed a white-label betting platform and supplied it to Agnihotri for running 11Starss.in.

Mayur Padya alias Padya, a hawala operator, handled cash-based fund transfers and payments for the betting operations, the officials added.