Money Laundering Probe: ED Detains Sagar Dash, Remanded for 3 Days
In a major crackdown on an online gaming and betting scam, the Enforcement Directorate has detained Sagar Dash. The arrest took place on October 27, 2026, under the Prevention of Money Laundering Act (PMLA), 2002.
The Special PMLA Court in Mumbai has ordered that Dash be kept in ED custody for three days.
Background of the scam
The case involves an online gaming and betting fraud carried out through the All Panel Exchange, which is also linked to cyber fraud.
The ED's investigation was triggered by three FIRs. These complaints alleged that victims were cheated through online gaming, betting and cyber fraud schemes, leaving them with losses of several crores of rupees.
Financial trail uncovered
According to the investigation, the duped money was passed through numerous fake accounts at the Jubilee Hills Mercantile Cooperative Bank in Hyderabad. It was then diverted into different shell companies.
Further analysis showed that substantial amounts from these shell firms reached a nodal account of the Nagarbhavi Credit Cooperative Society in Bengaluru. The account was being operated for Armstrong Exchange Private Limited, a company set up by Dash.
Crypto account and forged papers
It was also found that Dash opened a crypto account by misusing the KYC records and fake documents of the Nagarbhavi Credit Cooperative Society. Hundreds of crores of rupees were circulated through the society's bank account.
Investigators said much of this money was directly tied to crime proceeds from illegal gaming and betting platforms, generated by cheating innocent people through cyber fraud.
Earlier searches
Searches had previously been conducted in Pune, Mumbai, Bengaluru, Hyderabad, Surat and Mehsana in Gujarat. Several objectionable documents were seized, and about Rs 9 crore lying in various bank accounts was frozen.
Ram U. Ramdhani, CEO of Adsom Fintech Private Limited, had also been arrested in the case.
The ED reiterated its commitment to uncovering and dismantling illegal financial networks and to enforcing the PMLA, 2002, rigorously. Further investigation is underway.