ED Likely To Question Jaggi Brothers In Mahadev Betting Probe: Report

The Enforcement Directorate is reportedly preparing to question Gensol Engineering promoters Anmol and Puneet Singh Jaggi in connection with ongoing investigation into the Mahadev Book illegal betting app.

An ET report said that although the ED has not yet formally summoned the Jaggi brothers, it recently froze over 500,000 shares of Gensol Engineering. 

Investigators suspect the shares were subject to artificial price manipulation, potentially linked to the Dubai-based Zenith Multi Trading DMCC, a firm reportedly associated with Mahadev scam accused Hari Shankar Tibrewal.

“The probe has revealed stock manipulation using tainted funds in the Mahadev app case, which were received in Gensol Engineering through the FPI (foreign portfolio investor) routes. The probe will ascertain whether the promoters were aware of this fact,” a senior government official was quoted as saying in the report.

The Mahadev Online Book app was arguably one of India’s biggest illegal betting rackets, which defrauded Indian investors of about INR 20,000 Cr. In 2023, the electronics and information technology ministry (MeitY) blocked the Mahadev app for violating the country’s money laundering laws.

Meanwhile, the ED carried out raids at several locations across the country linked to EaseMyTrip’s promoter and cofounder Nishant Pitti, as part of its ongoing money laundering investigation into the Mahadev betting app case.

However, the online travel aggregator issued clarification, denying any association with the Mahadev app or any other betting platform.

Prior to that, the Central Bureau of Investigation (CBI) carried out searches at as many as 60 locations, including the residences of Chhattisgarh’s former chief minister Bhupesh Baghel, in March. 

Following that, the Congress alleged that the CBI’s searches at former CM’s residences were politically motivated, and asserted it will not be intimidated by such actions.

So far, Saurabh Chandrakar, a key accused in the scam linked to the online betting platform, was arrested in the UAE on money laundering charges in October last year. He was allegedly involved in money laundering and orchestrated match-fixing of major cricket matches and tournaments held in India through the Mahadev app.

On the other hand, Gensol’s promoters, the Jaggi brothers have misutilised Gensol’s funds in a fraudulent manner and treated the capital as their piggybank. 

A week ago, SEBI issued a detailed 29-page interim order, highlighting the issues related to the BluSmart cofounders that led to debt defaults, misleading shareholders, stock manipulation, among various others.