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WinZO Founders Remanded to 10-Day ED Custody Over Alleged ‘Deceptive’ Algorithm

The agency told a Bengaluru court the platform used a concealed “PPP” algorithm to pit users against software, generating Rs 177 crore in illicit proceeds.

Overview

  • ED custody was granted for ten days to interrogate co-founders Saumya Singh Rathore and Paavan Nanda under the money-laundering law.
  • ED alleged in court that WinZO’s hidden “PPP” algorithm matched players against software rather than humans, producing about Rs 177 crore from May 2024 to August 2025.
  • Investigators froze assets linked to WinZO worth roughly Rs 505 crore and say about Rs 43 crore of player balances were held after the August 22 real‑money gaming ban.
  • The probe cites suspected diversion of funds overseas, including around USD 55 million parked in a U.S. account of WinZO US Inc., which ED described as a shell entity.
  • The case arises from FIRs alleging cheating, account blocking, and misuse of KYC and PAN data, while WinZO says it is cooperating and asserts compliance.