Mahadev app still active, generated over Rs 94,000 crore from illegal betting: ED

The Mahadev online betting app and its sister websites have allegedly generated proceeds of crime worth Rs 94,400 crore over the last 10 years with the main platform still operational and running a "huge" number of panels, the ED told a Raipur court.

The Central agency made this assertion in the sixth prosecution complaint (charge sheet) it filed a few days ago before a special Prevention of Money Laundering Act (PMLA) court in the Chhattisgarh capital, naming a total of 42 individuals and companies as accused.

It told the court that the Mahadev app, whose main promoters and panel members hail from the central Indian state, was a conglomeration of illegal betting websites hosted abroad.

How the Mahadev app allegedly operated

The app, also known as Mahadev Online Book, advertises these betting websites through closed WhatsApp and Telegram groups, and Facebook pages, attracting thousands of youths to earn a quick buck via betting and entertainment, according to the agency.

It filed a criminal case under PMLA in October 2022, taking cognisance of seven police FIRs filed in Chhattisgarh, Andhra Pradesh and West Bengal.

"As per the latest findings of the investigation under PMLA, 2002, it is found that Mahadev Online Booking Application is still in operations and running huge number of panels," the ED said in the charge sheet, according to officials who spoke to PTI.

Thereby, it added, that he total estimated proceeds of crime generated by the Mahadev app can be estimated at Rs 75,000-Rs 80,000 crore during the last seven years of its operations (since 2019), the ED stated.

Sister websites and alleged proceeds

The agency said Mahadev's "sister" websites, like Skyexchange.com and Lotus365.com generated about Rs 11,000-Rs 12,000 crore and Rs 2,400 crore, respectively, in alleged proceeds of crime.

Skyexchange.com had been operational since 2016, according to the ED.

The agency told the court that these figures related to the alleged proceeds of crime were "only a provisional estimate and in case any evidence which reflect a better estimate comes on to surface, the same shall be presented before the Hon'ble court".

ED alleges local support for betting racket

The Mahadev app's "systematic" operation ran locally with the "active support and connivance" of local police and politicians from Chhattisgarh, the ED said.

"... The bureaucrats and politically exposed persons have been receiving illegal gratification for turning a blind eye to this illegal betting racket," it stated.

The Mahadev app provides online platforms for illegal betting in different live games like Poker, card games, chance games, and betting on cricket, badminton, tennis and football. It also offers facilities for playing card games like Teen Patti, Dragon Tiger, and Virtual Cricket games using cards, as well as apps that allow placing bets on different elections in India, the agency informed.

TV host's alleged betting app earnings

It also told the court that a TV host, who allegedly promoted illegal betting apps, furnished two demand drafts totalling Rs 1.20 crore to the agency, out of the total Rs 1.50 crore she earned through endorsing such apps.

The host offered to "surrender" the money stating in her statement recorded with the agency that she did not know such earnings were illegal in India.

The ED raided her homes in Delhi and Mumbai in May and seized Rs 30 lakh in cash (out of her Rs 1.50 crore income).

The agency considered this entire Rs 1.5 crore the proceeds of crime from illegal betting.

ED's action in Mahadev investigation

The agency added that individuals who operated panels and hailed from cities like Bhilai, Raipur, Bhopal and Delhi allegedly earned between about Rs 3.5-Rs 60 crore and Rs 60 crore, using this money to fund weddings and purchase property, gold, cars and expensive sarees.

A total of 14 people have been arrested by the ED as part of this investigation so far, in addition to seizing and attaching assets worth Rs 2,104 crore.

The agency has identified 116 accused across its six charge sheets and conducted searches on 190 premises nationwide.