The ED found that Zepto ran promotional campaigns and distributed flyers on Parimatch, which was operating in India through mirror websites after facing a ban
Last week, the ED raided 17 locations across six states linked to Parimatch after it found that the online betting platform raked in ₹3,000 Cr within a year through its operations in India
Parimatch has been on the radar of Indian investigative agencies for years over alleged money laundering but it has continued to reach users through surrogate advertising and mirror websites
Update | June 6, 19:00
Quick commerce platform Zepto has denied any direct involvement in the ED’s probe against Parimatch, noting that it had no part in activities related to the banned online betting platform. In a statement, the startup noted:
“Zepto has fully cooperated with the Enforcement Directorate and shared all information available to the company. The matter referenced relates to an advertisement placed (March 2025) through a third-party media agency arrangement for a merchandise entity. Zepto did not directly onboard, contract with, or manage the advertiser in question, and had no involvement in any betting, gaming, payments, user acquisition, or operational activity linked to the entity under investigation. Since the advertisement was managed externally, Zepto also connected the investigating team with the concerned agency to support any further inquiry. Any suggestion that Zepto had an operational role in the matter is incorrect.”
Original | June 6, 11:30
The Enforcement Directorate asked IPO-bound quick commerce platform Zepto to join its investigation into alleged money laundering linked to Parimatch, a Cyprus-based betting platform banned in India.
Citing sources, ET reported that the ED found that Zepto ran promotional campaigns on Parimatch, which was operating in India through mirror websites after facing a ban. Further, the agency allegedly discovered that Zepto circulated flyers with its customer orders promoting the betting platform.
As per the report, the regulator questioned Zepto on whether it was aware of Parimatch’s credentials before it ran an advertising campaign for the betting platform. Notably, the information and broadcasting ministry issued an advisory in 2022 against promoting online gambling or betting through advertising campaigns.
However, sources close to the startup told ET that Zepto was not the only quick commerce platform that ED reached out to in connection with the money laundering probe against Parimatch. “Information pertaining to Parimatch was sought over email. The agency was informed that a third-party managed the said ads. Their details were shared with the agency, following which no communique was received from them. To be clear, nobody was summoned,” one of the sources was quoted as saying.
Last week, the ED raided 17 locations across six states linked to Parimatch after it found that the online betting platform raked in ₹3,000 Cr within a year through its operations in India. The officials seized ₹1.2 Cr in cash and froze bank balances worth ₹3.8 Cr. So far, assets worth ₹112 Cr have been frozen in the case, the ED said.
The platform adopted surrogate advertising campaigns under names such as “Parimatch Sports” and “Parimatch News” to expand its reach in India, the investigation agency said in a statement last week.
The ED further noted at the time that the platform promoted betting-related advertisements through quick commerce applications and circulated promotional material along with grocery deliveries to attract and onboard new users. “Such advertisements were strategically displayed to users during app usage and order placements,” it said.
The platform also adopted a hyperlocal advertisement strategy by sponsoring teams in local cricket leagues across more than 15 states, besides supporting hockey and football tournaments.
Notably, Parimatch has been on the radar of Indian investigative agencies for years over alleged money laundering. Despite repeated bans on their apps and websites, betting platforms such as Parimatch continue to find new ways to reach Indian users.
As per the ED, many illegal betting platforms in India are advertising their platforms, especially through social media platforms like Instagram where they run regular sports content that redirects to their platforms. India’s rapidly expanding digital payments ecosystem is also posing fresh regulatory and financial enforcement challenges, it said.
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