The Enforcement Directorate (ED) has intensified its crackdown on the Fairplay app’s alleged money laundering network, leading to the arrest of two individuals as part of its ongoing probe into illicit financial transactions and unauthorized online activities. The accused, Chirag Shah and Chintan Shah, were apprehended on Thursday evening in Mumbai under the Prevention of Money Laundering Act (PMLA). The duo played a crucial role in managing the technological and software development aspects of the platform, which is accused of facilitating illegal betting on the 2023 Lok Sabha election results and the unauthorized streaming of Indian Premier League (IPL) cricket matches.
The ED’s investigation originated from a First Information Report (FIR) registered by Viacom18 Media Pvt Limited with the Mumbai Cyber Police. The complaint named Fairplay Sport LLC and several other entities, citing violations of multiple laws, including the Indian Penal Code (IPC), the Information Technology Act, and the Copyright Act. The primary allegations revolve around the illegal broadcasting of cricket matches, unauthorized betting operations, and financial irregularities that allegedly resulted in revenue losses exceeding Rs 100 crore.
According to the ED’s findings, the alleged mastermind behind Fairplay, Krish Laxmichand Shah, created a complex web of corporate entities across multiple international jurisdictions to facilitate the platform’s operations. These include Play Ventures NV and Dutch Antilles Management NV in Curacao, Fair Play Sport LLC and Fairplay Management DMCC in Dubai, and Play Ventures Holding Limited in Malta. Investigators believe that Krish Shah primarily operates Fairplay from Dubai, while Chirag Shah and Chintan Shah were responsible for maintaining and advancing the technological infrastructure supporting its illicit activities.
Further investigation has uncovered that Krish Shah and his associates strategically used illicit funds to acquire a wide range of movable and immovable assets. Many of these assets were reportedly registered under the names of close relatives and family members in an attempt to disguise ownership and evade detection by regulatory authorities. The ED has conducted multiple search operations at various locations linked to the accused over the past year, with major raids taking place on June 12, August 27, September 27, and October 25, 2024. These search operations led to the seizure of crucial digital evidence, financial records, and incriminating documents that provide deeper insights into the extensive money laundering network associated with Fairplay.
As part of its intensified enforcement actions, the ED issued a Provisional Attachment Order on November 22, 2024, targeting assets linked to the accused. With this latest order, the total value of attached and seized assets in the case has reached an estimated Rs 335.78 crore. This significant financial crackdown underscores the agency’s commitment to dismantling the alleged money laundering syndicate and bringing those involved to justice.
Authorities believe that Fairplay’s financial network extends far beyond the accused individuals currently under investigation. The ED is now focusing on tracing the full extent of the financial transactions involved, identifying additional stakeholders, and uncovering the entire money trail linked to the illicit betting and broadcasting operations. Sources suggest that further arrests and asset seizures may follow in the coming weeks as the investigation progresses.
The case against Fairplay highlights the growing concerns surrounding illegal online betting platforms, their ability to exploit digital infrastructure to conduct cross-border financial transactions, and the challenges faced by law enforcement agencies in tracking and dismantling such operations. With the involvement of international jurisdictions, the ED is expected to seek cooperation from foreign authorities to obtain further information on the financial dealings and offshore accounts linked to the Fairplay network.
As the investigation continues, legal experts suggest that the case could set a precedent for stricter regulations and more rigorous enforcement actions against digital platforms engaging in illegal activities. The role of intermediaries, payment gateways, and cryptocurrency transactions in facilitating money laundering activities is also under scrutiny. Law enforcement agencies are now working to strengthen surveillance mechanisms and implement stricter compliance measures to prevent similar illicit activities in the future.
The ED’s actions against Fairplay are part of a broader effort to combat financial crimes, protect the integrity of India’s digital economy, and ensure that companies operating in the online space adhere to legal and regulatory frameworks. With more developments expected in the coming days, the case continues to draw significant attention from both legal and financial circles, as well as the broader public, due to its implications on the rapidly growing digital gaming and betting industry.
