ED Raids WinZO, GamezKraft in 11-Location Crackdown After Complaints of ‘Manipulated Algorithms’
In a major development shaking India’s online gaming sector, the Enforcement Directorate (ED) has conducted search operations across 11 locations associated with popular gaming platforms WinZO and GamezKraft.
The raids were carried out by the ED’s Bengaluru Zonal Office following complaints that both companies allegedly used manipulated or biased algorithms to influence game outcomes and user winnings.
According to officials, the searches took place across:
Bengaluru – 5 locations
Delhi – 4 locations
Gurgaon – 2 locations
What Triggered the ED Action?
Authorities reportedly received complaints claiming that certain online real-money games hosted by the platforms did not operate on fair or random algorithms.
The allegations suggest:
Algorithmic manipulation
Possible financial irregularities
Unfair advantage impacting user gameplay
Potential money laundering links
While the investigation is ongoing, the ED is examining:
Backend gaming systems
Digital payment trails
Corporate financial records
Server-side algorithmic behavior
Impact on India’s Online Gaming Industry
India’s online gaming sector has been under increasing scrutiny due to:
Rising cases of fraud
User complaints of system bias
Unregulated real-money gaming models
The ED’s latest action is expected to set new precedents for:
Transparency
Tech audits
Compliance
Algorithmic accountability
FAQs
1. Why did the ED raid WinZO and GamezKraft?
The raids were conducted following complaints that the companies allegedly manipulated gaming algorithms and engaged in financial irregularities.
2. How many locations were searched by the ED?
A total of 11 locations — five in Bengaluru, four in Delhi, and two in Gurgaon.
3. What are manipulated gaming algorithms?
These are back-end systems that allegedly alter the fairness or randomness of a game, giving an unfair advantage or influencing outcomes.
4. Has the ED confirmed financial wrongdoing?
The investigation is ongoing. ED has not officially confirmed wrongdoing but is analyzing financial and digital system records.
5. What does this mean for online gaming platforms in India?
More regulatory scrutiny, stronger algorithm audits, and increased compliance expectations.
Published on : 18TH November
Published by : SARANYA
Source Credit ; Garvit Bhirani
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