Daijiworld Media Network - New Delhi
Guwahati, Jul 22: The Enforcement Directorate (ED) has arrested an alleged key operator of an organised illegal Indian Premier League (IPL) betting network as part of an ongoing money laundering investigation under the Prevention of Money Laundering Act (PMLA), 2002, officials said on Wednesday.
In a statement, the ED's Guwahati Zonal Office said it arrested Alok Kumar Jain, accusing him of playing a central role in managing and settling illegal IPL betting transactions through foreign-based online betting platforms.
According to the agency, Jain allegedly operated an organised betting syndicate using online portals such as Sky Exchange, WIFI Exchange, and Bull Intraconnect to facilitate betting activities.
The investigation further revealed that he had allegedly created an extensive network of mule bank accounts to conceal and layer the proceeds generated from the illegal betting operations.
The ED claimed that Jain procured Know Your Customer (KYC) documents from his domestic staff and used them to open multiple bank accounts, which were allegedly linked to his personal mobile number. These accounts were reportedly used to route betting proceeds without the knowledge or consent of the individuals in whose names they were opened.
Investigators also alleged that the money generated through the betting racket was subsequently integrated into the formal financial system through investments in bullion, gold, luxury goods and real estate.
According to the agency, financial records and ledgers seized during the investigation indicated that large sums of money were channelled through business entities before being converted into bullion and other high-value assets within a short period.
The ED further alleged that Jain's declared income in his income tax returns was significantly lower than the value of his alleged assets, financial transactions, loans, advances, transfers to family members and the immovable properties purportedly under his control.
As Jain was already in judicial custody in connection with the predicate offence, the ED obtained a production warrant from the Special Court (PMLA), Guwahati, before formally arresting him under Section 19(1) of the PMLA.
The Special Court has granted the ED four days of custodial interrogation to further investigate the alleged proceeds of crime and the suspected money laundering activities linked to the illegal IPL betting syndicate, the agency said.