The Enforcement Directorate (ED) has uncovered surprising details of lavish spending by Sourabh Chandrakar, one of the masterminds behind the Mahadev online gambling app, as part of its ongoing investigation into a money laundering scheme valued at over Rs 5,000 crore.
Chandrakar spent a staggering amount of Rs. 200 crore for his wedding in the UAE. His family members arrived at the destination on private jets that took off from Nagpur, reported The Indian Express.
The central agency has taken swift action and has seized Chandrakar’s cash and property, which collectively amount to Rs 417 crore and were bought using illicit money.
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Earlier this month, the ED arrested four people in connection with the case. Chandrakar, along with Ravi Uppal, who hails from Bhilai in Chhattisgarh, stands accused of creating an illicit empire through their gambling app, with operations based in Dubai.
“Sourabh Chandrakar and Ravi Uppal have created an empire for themselves in the UAE. The sudden and illegal riches are being openly flaunted by them. In February 2023, Sourabh Chandrakar got married at RAK (Ras Al-Khaimah), UAE, and for this marriage ceremony, the promoters of Mahadev APP spent around Rs 200 crore in cash. Private jets were hired to ferry family members from Nagpur to the UAE. Celebrities were hired to perform in the marriage. Wedding planners, dancers, decorators etc were hired from Mumbai and hawala channels were used to make payments in cash,” ED said in a statement.
The ED has conducted searches at 39 locations across Raipur, Bhopal, Mumbai, and Kolkata, leading to the seizure of illegal assets worth a combined Rs 417 crore. Furthermore, the agency is in the process of issuing Red Corner Notices (RCN) against Chandrakar and Uppal, both considered the masterminds behind the illicit operation. A Special PMLA Court in Raipur has also issued non-bailable warrants against suspects, paving the way for the issuance of RCNs.
An ED official told IE that Mahadev Online Book operated from a central head office in the UAE, using a franchising model with associates on a 70:30 profit-sharing basis. The investigation has exposed large-scale hawala operations used to direct betting proceeds offshore, along with huge cash expenditures in India for advertising and attracting new users and franchise (panel) seekers.
Digital evidence gathered by the ED points to Rs 112 crore being delivered via hawala to an event management company named M/s R-1 Events Pvt Ltd, along with Rs 42 crore spent on cash hotel bookings in UAE Dirhams. Subsequent searches at the locations of individuals linked to this operation resulted in the seizure of unaccounted cash amounting to Rs 2.37 crore.
The investigation also revealed that many celebrities endorsed these betting entities and participated in their events in exchange for huge fees, often routed through doubtful transactions but ultimately originating from online betting proceeds.
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The ED extended its searches to M/s Rapid Travels in Bhopal, responsible for ticketing operations related to Mahadev APP. The Ahuja brothers, who managed this entity, facilitated the clever deposition of illicit cash earnings from betting panels, using wallet balances to book domestic and international tickets.
Furthermore, the ED identified Kolkata-based Vikash Chhaparia as a key player in the money laundering operations of Mahadev Online Book APP. Searches on his premises and those linked to associates, including Govind Kedia, revealed investments in the Indian stock market through the Foreign Portfolio Investment (FPI) route.
The ED subsequently froze assets worth Rs 236.3 crore held by Chhaparia’s entities and Rs 160 crore in DEMAT holdings of Govind Kedia, both under the provisions of PMLA 2002.
The searches on Kedia’s premises also resulted in the seizure of Rs 18 lakh in Indian currency, along with gold and jewellery valued at Rs 13 crore.