The Enforcement Directorate (ED) has summoned representatives from global tech giants Google and Meta to appear on July 21, 2025, at its Delhi headquarters as part of its ongoing investigation into illegal online betting apps and alleged money laundering activities.
Key Details
- Reason for Summons:
The ED is probing how unregulated online betting applications, many under scrutiny for financial crimes, managed to advertise and gain visibility on digital platforms like Google and Meta (which owns Facebook and Instagram). - Allegations:
Investigators claim that both tech platforms offered advertising space and algorithmic visibility to betting apps, thereby facilitating their reach to a broader audience across India. This reportedly enabled the apps to operate beyond legal boundaries and amass significant user engagement. - Legal Provisions:
The investigation falls under the Prevention of Money Laundering Act (PMLA). Authorities aim to examine the involvement of these platforms in monetizing and enabling the spread of applications that are allegedly laundering crores using misleading ads and promotions. - Scope of Probe:
ED is not just scrutinizing the promotion of betting apps but is also investigating possible connections to hawala transactions and tax evasion. The agency is reviewing digital and financial records linked to both tech companies for evidence of complicity or negligence.
Recent Developments
- Preceding Actions:
The summons come shortly after the ED searched several locations in Mumbai related to dabba trading and betting, leading to the seizure of unaccounted cash, luxury goods, and records of financial transactions. - Related Parties:
The crackdown targets apps like Junglee Rummy, A23, JeetWin, Parimatch, and Lotus365, among others. Several celebrities and influencers are also reportedly under investigation for endorsing these platforms. - Methodology:
Many of these online betting businesses reportedly operated through ‘white-label’ apps, with admin rights distributed on a profit-sharing basis among various entities.
Table: ED Investigation at a Glance
| Entity Summoned | Purpose | Allegations | Applicable Law |
|---|---|---|---|
| Google, Meta | To record statements, clarify ad policies | Promoting and enabling reach of illegal betting apps | Prevention of Money Laundering Act (PMLA) |
Implications
- The ED’s move signifies a major escalation in efforts to regulate the digital ad ecosystem and hold intermediaries accountable.
- The summons are expected to open discussions on the responsibility of tech platforms in preventing the misuse of their services by illegal operators.
- Further questioning of celebrities, influencers, and other digital intermediaries associated with these platforms may follow.
The situation remains dynamic, with both Google and Meta yet to issue public responses to the summons. Updates from the scheduled questioning on July 21 are anticipated to shed more light on the evolving legal landscape surrounding digital advertising and financial crime in India
