Mumbai: Five accounts of IDFC First Bank, Surat, were frozen by the Enforcement Directorate (ED) for layering and transferring payments of illegal online betting apps linked to IPL cricket betting. ED probe had identified a total of 93 suspicious bank accounts of bookies linked to illegal online betting apps CBTF247.com and T20EXCHANGE.com to place bets on IPL matches.
The investigations into online betting apps had led ED officials to Rs3.44 crore lying in five bank accounts held by Mitalia Enterprise, RM Enterprise, DM Enterprises, Vishwakarma Traders and XBT Labs Pvt Ltd with IDFC First Bank which were frozen under the provisions of the Prevention of Money Laundering Act.
Cricket bookies using network of agents
The cricket bookies use a network of agents offering sign-up bonuses and referral rewards to attract new customers to bet on IPL matches with layering and transferring techniques used to conceal the source and destination of funds deposited into online betting accounts using a credit card and later transfer the funds to a digital wallet to place bets.
“Lack of regulation makes it an attractive business for bookies and online betting apps operate in the shadows under fake names and URLs. The use of digital currencies such as Bitcoin and Ethereum makes it even more difficult to track the flow of funds,” rued an ED official.
Accounts frozen
The five accounts frozen by ED were operated by Harish alias Kamlesh Jariwala who with Rushikesh Adhikar Shinde obtained identity documents of poor labourers to prepare fake rent agreements in their names for getting mobile phone SIM cards and license for dummy firms. The duo sold the betting apps login IDs with passwords and SIM cards to Huzefa Kausar Masakarwala for transferring the funds obtained from illegal betting apps CBTF247.com and T20 EXCHANGE.com.
According to a report by the Federation of Indian Chambers of Commerce and Industry, the illegal betting industry in India is expected to grow to $280 billion by 2025. The report also states that around 80 percent of all bets placed in India are illegal.
