The Directorate of Enforcement (ED), Bengaluru Zonal Office, on 23 October 2026 provisionally attached movable and immovable properties worth ₹23.35 crore linked to an illegal online betting network, as part of a wider probe tracking proceeds of crime (PoC) exceeding ₹2,300 crore. The attachment was made under the Prevention of Money Laundering Act (PMLA), 2002, in the case of K.C. Veerendra and others, the ED said in an official statement on Tuesday, 27 October 2026.

What Was Attached

The provisional attachment — issued vide Provisional Attachment Order (PAO) No. 42/2026 — covers assets held by or linked to K.C. Veerendra, Gulshan Khattar, and Neha Tandon. Of the ₹23.35 crore total, movable properties account for ₹13.76 crore and immovable properties for ₹9.58 crore, according to the ED's statement. This latest order brings the aggregate value of all properties attached, seized, or frozen in the case to more than ₹343 crore.

How the Illegal Betting Network Operated

According to investigators, Veerendra and his associates ran illegal online betting platforms — including one identified as King567 — through a web of payment gateways, shell companies, and mule bank accounts. Players were allegedly induced to deposit funds and subsequently cheated through manipulated betting operations and blocked withdrawals. The suspected proceeds were then layered through multiple bank accounts, hawala channels, and offshore entities, and deployed for luxury asset acquisition, business investments, foreign remittances, and personal expenditure.

The ED said the investigation, initiated on the basis of multiple First Information Reports (FIRs) alleging cheating, cheating by impersonation, criminal conspiracy, and extortion, uncovered a nationwide network spanning several states. Search and seizure operations were conducted across more than 60 premises, during which cash, gold bullion, gold and silver jewellery, vehicles, digital devices, and incriminating documents were seized or frozen. Veerendra was subsequently arrested under Section 19 of the PMLA.

The Role of Payment Gateways and Shell Entities

A key finding in the probe concerns Fonepaisa Payment Solutions Private Limited, which investigators say was beneficially owned by Gulshan Khattar. The company allegedly received a large commission for acting as a payment gateway and financial intermediary in the betting ecosystem, according to the ED. Separately, SimTech IT Solutions Private Limited — of which Neha Tandon is listed as director — was found to have received credits from mule accounts linked to King567. The ED said Khattar effectively managed SimTech despite Tandon holding directorship, and that the tainted funds received by the company, combined with Khattar's control, form the basis for attaching assets held in Tandon's name.

Prosecution and Prior Action

The ED filed a Prosecution Complaint on 18 October 2025 and a Supplementary Prosecution Complaint on 20 February 2026. The Special Court, PMLA, took cognisance of the matter on 4 May 2026. Prior to the latest order, the directorate had provisionally attached properties worth ₹177.30 crore, subsequently confirmed by the Adjudicating Authority, PMLA, New Delhi. An earlier attachment order dated 29 January 2026 had covered assets worth approximately ₹33 crore.

Significance and What Comes Next

The case is one of the larger PMLA investigations into the illegal online gambling sector in recent years, with the total PoC traced at over ₹2,300 crore — placing it among the biggest money-laundering probes of its kind in India. The ED said the latest attachment was made to safeguard the value of proceeds of crime pending final adjudication. With the Special Court already seized of the matter, the trial phase is expected to advance in the coming months as additional evidentiary material gathered from the 60-plus searches is placed before the court.