29 celebrities face ED action over betting app endorsements
South Indian actors Prakash Raj, Vijay Deverakonda, and Rana Daggubati are among 29 public figures under investigation by the Enforcement Directorate (ED) for allegedly endorsing online betting applications in violation of Indian gambling laws. The probe, registered under the Prevention of Money Laundering Act (PMLA), is based on five FIRs filed in the states of Telangana and Andhra Pradesh.
The accused include actors, YouTubers, and social media influencers, many of whom are active in the Telugu film industry. Among the names mentioned are Manchu Lakshmi, Nidhi Agarwal, Pranitha Subhash, and Ananya Nagella, along with digital creators such as Sreemukhi, Shyamala, Varshini Sounderajan, Harsha Sai, and Bayya Sunny Yadav.
The ED alleges that endorsements by these celebrities helped promote betting apps that may have been involved in laundering illicit funds. Authorities believe the promotional campaigns misled users, particularly those from financially vulnerable backgrounds, into participating in platforms classified under gambling, which is prohibited under the Public Gambling Act, 1867.
The latest action reportedly stems from a complaint filed by businessman Phanindra Sarma, who claimed that celebrity promotions had contributed to financial distress among app users. Local police in Telangana and Andhra Pradesh had earlier registered cases against several of the individuals involved under sections of the Telangana Gaming Act, the Bharatiya Nyay Sanhita (BNS), and the Information Technology Act.
In response to earlier allegations, several actors issued clarifications. Vijay Deverakonda stated in March that his endorsement was limited to a 'skill-based game' contract, which he claimed was legally permissible and distinct from gambling, citing Supreme Court precedent recognising rummy as a game of skill.
Rana Daggubati, through his legal team, confirmed that his association with a gaming platform ended in 2017 and that all promotional content was directed toward legally compliant jurisdictions.
Prakash Raj also addressed the allegations in a video statement, noting that while he did promote a gaming app in 2016, he did not renew his contract beyond 2017. He added that a promotional video featuring him was reused without consent in 2021 by a new company, after which he objected and had it withdrawn.
The investigation remains ongoing. The ED has not yet issued formal charges, but officials say further questioning and examination of financial records are expected in the coming weeks.
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