ED chargesheet against multi-city dabba trading

New Delhi: The Enforcement Directorate (ED) on Tuesday filed a prosecution complaint (PC) before a Special Court under the Prevention of Money Laundering Act (PMLA) in Indore against a syndicate allegedly engaged in large-scale illegal dabba trading and online betting operations across Indore, Mumbai, Ahmedabad, Chennai, and Dubai. The ED initiated its PMLA investigation on the basis of an FIR registered by the Indore Police for offences under Sections 319(2) and 318(4) of the Bharatiya Nyaya Sanhita (BNS), 2023, corresponding to Sections 419 and 420 of the Indian Penal Code (IPC).

Further investigation revealed that another FIR related to an illegal online betting racket involving persons connected to the Indore case (FIR No. 041/2025) was registered at the N M Joshi Marg Police Station, Mumbai, under Sections 419, 420, 465, 468, and 471 of the IPC, provisions of the Maharashtra Gambling Prohibition Act, and Sections 66(C) and 66(D) of the Information Technology Act. Police authorities have filed a chargesheet in the said case.

The probe uncovered a technologically manipulated ecosystem involving rigged trading platforms, illegal betting websites, and a cross-border money laundering network.

Vishal Agnihotri has been identified as the principal operator, assisted by Tarun Shrivastava, who managed day-to-day financial operations and mule accounts, and Srinivasan Ramasamy, who configured and manipulated MT5 servers designed to generate false trading outcomes.

In a parallel betting network, Dhaval Devraj Jain allegedly operated the underground betting platform LotusBook247, while Dharmesh Rajnikant Trivedi managed the offshore entity iBull Capital. Nidhi Chandnani allegedly facilitated the movement and layering of funds through Dubai-based structures.

The investigation confirmed that clients were shown simulated trades on platforms such as V Money and 8Stock Height without any linkage to recognised stock exchanges.

Betting platforms like LotusBook247 and 11Stars allegedly operated clandestinely using anonymous accounts, encrypted communication, and cash-based settlements.

The ED has identified proceeds of crime amounting to Rs 404.46 crore derived from manipulated trading platforms, illegal betting websites, and unregulated white-label applications. Additionally, assets worth Rs 34.26 crore have been provisionally attached under PAO No. 24 of 2025, including immovable properties valued at Rs 28.60 crore, movable assets worth Rs 3.83 crore, and balances of Rs 1.83 crore in bank and demat accounts.

Major seizures during search operations included over Rs 5.21 crore in cash, 59.9 kilograms of silver bars, and a 100-gram gold bar.

The ED also seized high-value luxury items, including jewellery worth approximately Rs 1.94 crore and luxury watches valued at Rs 4.77 crore, along with frozen cryptocurrency holdings exceeding Rs 0.41 crore.

These assets represent the material proceeds generated and possessed by members of the syndicate through their alleged unlawful activities.