ED begins probe into Chinese cos’ involvement in online betting  |  Photo Credit: Thinkstock
The Enforcement Directorate (ED) has initiated an investigation into the alleged involvement of Chinese companies in online betting in India, cheating people and transferring the proceeds to China using cryptocurrency.
The Chinese companies fraudulently transferred Rs 1,100 crore using just two accounts. One Chinese national Yan Hao who was earlier arrested is named as the prime accused in the case, according to a TOI report. The police have also named Jagdamba Trading Co, Dokpay Technology, and Linkyun technology, according to the ED report.
A cryptocurrency trader from Bhavnagar in Gujarat was also named an accused in the probe later. The ED investigation was initiated after an investigation by Hyderabad cyber crime police probe into one complaint regarding an online betting scam. The complainant S Pravin Kumar alleged he was defrauded of Rs 97,000 through a gaming website htpps.baronsclub.com. Kumar further alleged that he was scammed after being made part of Telegram group consisting of 5,000 members, said the report.
According to the ED report, the accused created fake e-commerce websites which were used to scam people. Referral codes were provided on Telegram groups to allow people to gamble on these websites. Incentives were given to those who added new members to the group where hot tips were “prediction” were also given to lure people to bet. Most of the websites remained inactive and Telegram group members were told which will be active for them to bet on, said ED in its report.