Google appears before ED in illegal betting ads probe, Meta fails to show
In a major development in the ongoing investigation into illegal online gambling, tech giant Google appeared before the Enforcement Directorate (ED) on July 28. According to media reports, this was in response to a money laundering probe related to the promotion of illegal betting and gambling advertisements.
However, Meta, which was also summoned in the same case, reportedly failed to send a representative.
The two tech giants had earlier requested more time to comply after being summoned for questioning on July 21. The ED's investigation is about allegations that Google and Meta facilitated the promotion of online betting apps that are now under scrutiny for major financial crimes, including extensive money laundering and hawala transactions.
A Google spokesperson, speaking to PTI last week, asserted the company's commitment to platform safety, stating, "We are committed to keeping our platforms safe and secure, prohibiting the promotion of illegal gambling ads. We are extending our full support and cooperation to investigating agencies to hold bad actors responsible and keep users safe.”
The ED believes that both companies, by selling prime ad slots, enabled visibility and reach for websites associated with these illicit platforms.
According to a PTI report, officials revealed that the apps posed as skill-based games but were in fact fronts for illegal gambling, deceiving users and laundering money through complex and opaque financial channels.
Investigators reportedly believe that this illegal betting network may have generated illicit funds amounting to hundreds of crores of rupees, which were routed via hawala to evade regulatory scrutiny. The operations not only duped individuals but also led to significant tax evasion.
The investigation, carried out under the Prevention of Money Laundering Act (PMLA), reportedly spans a broad network of entities, including app developers, payment gateways, hawala networks, media organisations and celebrities who endorsed betting platforms. Authorities are said to be tracing digital financial trails, which may reveal how funds from these illegal activities were laundered through digital advertising revenue channels.
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