The Enforcement Directorate (ED), Raipur Zonal Office, has arrested Vikas Garg, Chairman of the EBIX Group, in connection with the Mahadev Online Book and Skyexchange illegal betting syndicate, alleging he laundered massive proceeds of crime through a web of shell companies and overseas investments. The arrest marks a significant escalation in one of India's largest online betting money-laundering probes.

The Arrest

Garg was taken into custody on 14 July 2026 in New Delhi under Section 19 of the Prevention of Money Laundering Act (PMLA), 2002. He was produced before the Special PMLA Court in New Delhi, which granted transit remand. The Special Court in Raipur subsequently remanded him to ED custody for 10 days, extending until 24 July 2026.

The case originates from multiple First Information Reports (FIRs) registered by police across Chhattisgarh, Andhra Pradesh, West Bengal, and several other states against operators, promoters, and associates of the illegal platforms.

How the Money Was Moved

According to the ED's investigation, the Mahadev betting network operated through a franchise-based 'panel' system run from abroad, generating over ₹450 crore in proceeds of crime every month. The tainted funds were allegedly cycled through a multi-layered laundering structure involving accommodation entries via shell entities and overseas investments routed through foreign entities in Dubai, Mauritius, and the United Kingdom.

The routes used reportedly included Qualified Institutional Placements (QIP), Foreign Portfolio Investment (FPI), Foreign Direct Investment (FDI), and Foreign Currency Convertible Bonds (FCCB). These funds were then allegedly infused into listed and unlisted companies controlled by Garg to project them as legitimate business income.

High-Profile Acquisitions Under Scrutiny

The ED has established that the laundered proceeds were further layered through Garg's group entities and deployed for significant acquisitions. Most notably, the funds were allegedly used to acquire a 97.58% shareholding in the US-based EBIX Inc. through proceedings before the United States Bankruptcy Court. Additional assets — shares, securities, and properties — were reportedly created in both India and abroad using the tainted money.

Notably, investigators allege Garg continued attempts to conceal and move proceeds of crime even after the probe was underway, suggesting an active effort to frustrate the investigation.

Assets Attached

On 5 June 2026, the ED had issued a Provisional Attachment Order covering properties worth approximately ₹940.77 crore belonging to Garg, his family members, and entities he controlled. These included residential properties, land parcels, equity shares, and securities.

Cumulatively, the agency has attached or seized movable and immovable properties — including foreign assets — worth nearly ₹4,000 crore in this case, through seven Provisional Attachment Orders and multiple Prosecution Complaints filed before the Special PMLA Court in Raipur.

What Comes Next

The ED has indicated that investigation into the broader betting and money-laundering network remains ongoing. With Garg in custody until at least 24 July 2026, further disclosures about the syndicate's overseas financial architecture are expected. The case has already ensnared multiple operators and associates across several states, and enforcement action against linked entities cannot be ruled out.