ED Probes South Indian Celebrities Over Alleged Promotion of Illegal Betting Apps
In a significant development that has sent shockwaves across the South Indian entertainment industry, the Enforcement Directorate (ED) has initiated a comprehensive money laundering investigation against more than two dozen celebrities, including prominent actors Vijay Deverakonda, Rana Daggubati, and veteran actor Prakash Raj. The actors are alleged to have endorsed online betting platforms that may be linked to illegal gambling operations, prompting a deeper probe under the Prevention of Money Laundering Act (PMLA), 2002.
The investigation stems from multiple FIRs filed in Telangana and Andhra Pradesh, accusing several digital influencers, film personalities, and content creators of promoting illegal online betting platforms. These apps include well-known names like Junglee Rummy, Lotus365, and JeetWin, which are advertised as "skill-based" games but are often used for real-money betting.
One of the key complainants, Phanindra Sarma, a businessman based in Hyderabad, alleged that celebrities misled people—particularly youth and financially vulnerable individuals—by endorsing apps that encouraged gambling under the guise of gaming. His formal complaint claimed that this widespread promotional activity had devastating personal consequences, including a reported case where an individual allegedly committed suicide due to financial losses from betting.
The ED has filed an Enforcement Case Information Report (ECIR)—akin to an FIR in regular criminal cases—based on these multiple complaints. The agency is investigating whether the endorsement fees received by celebrities were part of illegal proceeds from gambling and therefore fall under the definition of "proceeds of crime" under the PMLA.
Over 29 celebrities, including actors, YouTubers, and social media influencers, have been named in the probe. The investigation is examining not only the financial transactions related to endorsements but also social media campaigns, public advertisements, and contracts signed with the online betting platforms. The ED is expected to summon the actors in the coming weeks to record their statements.
As the news made headlines, some of the actors involved issued public clarifications.
Vijay Deverakonda stated that he had endorsed A23, a gaming platform that is legally recognized in some Indian states for offering skill-based games. He emphasized that his association was strictly contractual and concluded in 2023. According to Deverakonda, at no point did he promote or endorse illegal gambling.
Rana Daggubati also distanced himself from wrongdoing, stating that his association with online gaming was terminated as early as 2017 and that his endorsements were limited to platforms legally operating in certain jurisdictions.
Veteran actor Prakash Raj acknowledged that he had once endorsed Junglee Rummy in 2016 but said the ad was discontinued by 2017. He later objected to the re-circulation of that ad in 2021 and even took to social media to advise people against gambling, stating that he neither supports nor encourages such platforms anymore.
Despite these statements, the ED has confirmed that the investigation is at a preliminary stage and all financial transactions, including contract details and bank records, will be scrutinized.
This case highlights the legal grey area surrounding the endorsement of online gaming and betting platforms in India. While some platforms operate under the banner of “skill-based” games, many states like Telangana and Andhra Pradesh have strict laws that ban all forms of online gambling.
The Telangana Gaming Act, Public Gambling Act of 1867, and certain provisions under the Information Technology Act and the Bharatiya Nyaya Sanhita are expected to be invoked as the investigation progresses.
The incident also ignites a larger conversation about celebrity accountability in endorsements. With immense social media influence, celebrities play a powerful role in shaping public behavior. The ED’s investigation could pave the way for stricter regulations governing celebrity endorsements, particularly those involving financial products, gambling platforms, and high-risk services.
The ED’s probe into South Indian celebrities endorsing betting apps has become a high-profile case with widespread implications. While no arrests or seizures have yet been made, the coming weeks are expected to reveal more details as summons are issued and testimonies are recorded. The case underscores the urgent need for clarity in digital advertising laws and stronger enforcement mechanisms to curb the promotion of potentially harmful platforms.
As the legal process unfolds, the entertainment industry, advertisers, and audiences alike will be watching closely—for the outcome could reshape the boundaries of celebrity influence in the digital era.
The investigation stems from multiple FIRs filed in Telangana and Andhra Pradesh, accusing several digital influencers, film personalities, and content creators of promoting illegal online betting platforms. These apps include well-known names like Junglee Rummy, Lotus365, and JeetWin, which are advertised as "skill-based" games but are often used for real-money betting.
One of the key complainants, Phanindra Sarma, a businessman based in Hyderabad, alleged that celebrities misled people—particularly youth and financially vulnerable individuals—by endorsing apps that encouraged gambling under the guise of gaming. His formal complaint claimed that this widespread promotional activity had devastating personal consequences, including a reported case where an individual allegedly committed suicide due to financial losses from betting.
The ED has filed an Enforcement Case Information Report (ECIR)—akin to an FIR in regular criminal cases—based on these multiple complaints. The agency is investigating whether the endorsement fees received by celebrities were part of illegal proceeds from gambling and therefore fall under the definition of "proceeds of crime" under the PMLA.
Over 29 celebrities, including actors, YouTubers, and social media influencers, have been named in the probe. The investigation is examining not only the financial transactions related to endorsements but also social media campaigns, public advertisements, and contracts signed with the online betting platforms. The ED is expected to summon the actors in the coming weeks to record their statements.
As the news made headlines, some of the actors involved issued public clarifications.
Vijay Deverakonda stated that he had endorsed A23, a gaming platform that is legally recognized in some Indian states for offering skill-based games. He emphasized that his association was strictly contractual and concluded in 2023. According to Deverakonda, at no point did he promote or endorse illegal gambling.
Rana Daggubati also distanced himself from wrongdoing, stating that his association with online gaming was terminated as early as 2017 and that his endorsements were limited to platforms legally operating in certain jurisdictions.
Veteran actor Prakash Raj acknowledged that he had once endorsed Junglee Rummy in 2016 but said the ad was discontinued by 2017. He later objected to the re-circulation of that ad in 2021 and even took to social media to advise people against gambling, stating that he neither supports nor encourages such platforms anymore.
Despite these statements, the ED has confirmed that the investigation is at a preliminary stage and all financial transactions, including contract details and bank records, will be scrutinized.
This case highlights the legal grey area surrounding the endorsement of online gaming and betting platforms in India. While some platforms operate under the banner of “skill-based” games, many states like Telangana and Andhra Pradesh have strict laws that ban all forms of online gambling.
The Telangana Gaming Act, Public Gambling Act of 1867, and certain provisions under the Information Technology Act and the Bharatiya Nyaya Sanhita are expected to be invoked as the investigation progresses.
The incident also ignites a larger conversation about celebrity accountability in endorsements. With immense social media influence, celebrities play a powerful role in shaping public behavior. The ED’s investigation could pave the way for stricter regulations governing celebrity endorsements, particularly those involving financial products, gambling platforms, and high-risk services.
The ED’s probe into South Indian celebrities endorsing betting apps has become a high-profile case with widespread implications. While no arrests or seizures have yet been made, the coming weeks are expected to reveal more details as summons are issued and testimonies are recorded. The case underscores the urgent need for clarity in digital advertising laws and stronger enforcement mechanisms to curb the promotion of potentially harmful platforms.
As the legal process unfolds, the entertainment industry, advertisers, and audiences alike will be watching closely—for the outcome could reshape the boundaries of celebrity influence in the digital era.
