WinZO Co-Founder Paavan Nanda Arrested in Bengaluru on Money Laundering Charges
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The Enforcement Directorate (ED) has arrested Paavan Nanda, co-founder of WinZO, an online money gaming platform, in Bengaluru on money laundering charges. Nanda, 38, was held along with co-founder Saumya Singh Rathore on Wednesday, after being questioned at the ED's zonal office. According to ED allegations, WinZO had withheld ₹43 crore from gamers after the ban on real-money gaming in India, and failed to refund the amount. The agency raided WinZO's premises, along with those of another online gaming company, Gamezkraft, under the Prevention of Money Laundering Act (PMLA). The ED accused WinZO of engaging in "criminal activities and unscrupulous practices", alleging that customers played against software algorithms without knowing it. The agency froze bonds, fixed deposits, and mutual funds worth ₹505 crore belonging to WinZO, and claimed the company prevented or limited withdrawals of customer funds. In response to the allegations, WinZO stated that fairness and transparency are core to its platform design and operations. Nanda, a 2009 BE graduate from Netaji Subhas Institute of Technology, co-founded WinZO seven years ago. Prior to that, he co-founded Zostel and ZO Rooms in 2013, and worked at Merrill Lynch. He completed an MBA from IIM Calcutta in Finance and Strategy. The ED's statement highlighted that even after the ban on real-money gaming on August 22, 2025, WinZO still held ₹43 crore from gamers without refunding. The case has sparked concerns about the online gaming industry and its adherence to regulatory norms.
