Is Telangana's Adsum Advisory Director Linked to a ₹13,000 Crore Online Gaming Syndicate?
Synopsis
In a shocking development, the GST intelligence in Hyderabad has arrested the director of Adsum Advisory Service in connection with a ₹13,000 crore online gaming syndicate. This case highlights serious implications for the fintech sector as investigations unfold.
Key Takeaways
Pankaj Kumar arrested for links to a ₹13,000 crore syndicate.
Adsum Advisory Service involved in illegal online gaming operations.
Crackdown on fintech firms supporting illegal activities.
Investigation continues with significant implications for the industry.
Online gaming market projected to grow significantly by 2025.
Hyderabad, Feb 19 (NationPress) The GST intelligence unit in Hyderabad has apprehended Pankaj Kumar, the founder and director of Adsum Advisory Service Pvt Ltd, in connection with an organized crime syndicate valued at ₹13,000 crore that operates illegal online gaming platforms, aided by various fintech companies.
The Directorate General of GST Intelligence (DGGI), Hyderabad Zonal Unit, announced on Thursday that this arrest marks a crucial advancement in the ongoing investigation into illegal online gaming.
Adsum Advisory Service specializes in fraud detection and customer verification, also known as digital KYC services.
Evidence collected during the inquiry has revealed a structured syndicate worth ₹13,000 crore that runs unlawful online gaming sites with the support of related fintech firms, including payment aggregators, payment gateways, and technology service providers.
The Directorate General indicated that Pankaj Kumar is among the principal architects behind the fraudulent KYC validation of merchants and shell organizations on behalf of RBI-regulated entities such as Payment Gateways and Banking as Payment Aggregator (BAPA).
In his capacity as the director responsible for the KYC verification process, Pankaj Kumar neglected to establish a risk profile for customers based on ownership and control structures, facilitating the onboarding of shell entities essential for UPI integration required for financial transactions from online gaming. He is identified as one of the beneficiaries of the illicit proceeds from the crime syndicate, as stated in the release.
As per estimates, the overall valuation of online gaming in India by 2025 is expected to reach approximately USD 23 billion (₹2 lakh crores). The DGGI in Hyderabad has initiated a comprehensive crackdown on such online gaming syndicates, which includes actions against associated fintech companies, freezing bank accounts totaling ₹100 crores, and detaining key figures involved.
The investigation continues to evolve, the agency added.
Point of View
I believe this incident underscores the urgent need for regulatory reforms in the fintech and online gaming sectors. The involvement of high-profile figures in such criminal activities highlights the vulnerabilities in our systems that must be addressed to protect consumers and maintain integrity.
NationPress
6 May 2026
Frequently Asked Questions
Who was arrested in the online gaming syndicate case?
Pankaj Kumar, the founder and director of Adsum Advisory Service Pvt Ltd, was arrested.
What is the estimated value of the online gaming syndicate?
The syndicate is estimated to be worth ₹13,000 crore.
What services does Adsum Advisory Service provide?
Adsum Advisory Service offers fraud detection and digital KYC verification services.
What actions have been taken against the fintech companies involved?
The DGGI has frozen bank accounts totaling ₹100 crores and is investigating associated fintech companies.
What will be the future of online gaming in India?
The online gaming market in India is expected to reach approximately USD 23 billion by 2025.
