[Update] ED Searches At Probo Premises, Attaches Assets Worth INR 284 Cr

Update | June 10, 5:02 PM

After ED conducted search operations at its premises, opinion trading platform Probo said that it adheres to all applicable laws and regulations and maintains the highest standards of compliance. 

“In light of recent developments, we would like to assure all stakeholders and the public that Probo is cooperating with law enforcement authorities in the ongoing inquiries. As pioneers of a nascent-yet-transformative technology in India’s digital landscape, we remain confident that our commitment to compliance and innovation will help us emerge stronger through this process. We have complete faith in India’s robust regulatory framework and its vision for responsible tech innovation,” a spokesperson of Probo said.

Original | June 10, 2:01 AM

The Enforcement Directorate (ED) conducted search operations at four premises linked to the opinion trading platform Probo in connection with the company’s alleged “illegal gambling/ betting activities across India”.

In a post on X, the directorate said the searches were also conducted at premises connected with the startup’s cofounders, Sachin Gupta and Ashish Garg, under relevant sections of the Prevention of Money Laundering Act (PMLA), 2002.

The ED said that various incriminating documents and “digital data” were seized during the searches. It added that assets, including fixed deposits and shares, totalling INR 284.5 Cr, as well as three bank lockers have also been frozen. 

The searches, which took place on July 8 and July 9, spanned two cities in Haryana, namely Gurugram and Jind.

As per The Hindu BusinessLine, ED said its probe into the company revealed that Probo received INR 134.84 Cr from foreign entities based out of Mauritius and the Cayman Islands against the issue of preference shares. 

“Investigation also revealed that the company received INR 134.84 Cr against the issue of preference shares from foreign entities based out of Mauritius and the Cayman Islands. The search resulted in the seizure of incriminating documents and digital data. Further fixed deposits and shares amounting to INR 284.50 Cr and three bank lockers were frozen during the searches,” the ED reportedly noted.

As per the agency, the platform reportedly promoted a “deceptive image of a legitimate skill-based platform” to users and subsequently exploited customers through a “betting mechanism” where success is governed entirely by chance and not by skills or insights. 

“However, analysis of games shows that all the games can be answered with ‘yes or no’ and hence, there are only two possible outcomes, which makes it indistinguishable from gambling or betting, resulting in loss of hard-earned money of the users,” the agency alleged. 

The ED also noted that the platform’s app and website had no mechanism for know your customer (KYC) verification, adding that new users were induced through misleading advertisements. The directorate also noted that Probo’s website lacked any safeguards to prevent minors from registering as users.

As per the report, the probe was undertaken after several FIRs were registered against the platform and its directors and promoters under various sections of the Bharatiya Nyaya Sanhita and the Public Gambling Act in Haryana and Uttar Pradesh. 

Founded in  2019 by Gupta and Garg, Probo is an event trading platform that allows users to trade their opinions on future events across categories, including politics, cricket, and finance, among others. 

Backed by the likes of marquee names such as Peak XV Partners and Elevation Capital, Probo has reportedly raised more than $28 Mn in funding to date. 

The action on Probo comes a couple of months after the Haryana government notified the Prevention of Public Gambling Act, 2025, to prevent and penalise public gambling as well as betting on sports or elections.