ED Grills Top Tollywood Stars in Online Betting App Money Laundering Probe

Hey movie fans! Tollywood stars like Rana Daggubati and Vijay Deverakonda are facing ED investigation for allegedly promoting illegal betting apps.



Hyderabad, July 21, 2025:  The Enforcement Directorate (ED) has turned up the heat on Tollywood with its investigation into a sprawling online betting app scam. Four celebrated figures from the Telugu film industry – Rana Daggubati, Prakash Raj, Vijay Deverakonda, and Manchu Lakshmi – have been summoned by the ED over the coming weeks for their alleged involvement in the promotion of illegal betting platforms.


Celebrities Under the Scanner

The ED issued notices requiring Rana Daggubati to appear on July 23, Prakash Raj on July 30, Vijay Deverakonda on August 6, and Manchu Lakshmi on August 13. The agency suspects these stars were compensated for endorsing betting apps that are now at the center of a high-profile money laundering investigation.

The developments come after a series of FIRs were registered in Cyberabad and Hyderabad, detailing the illegal operations of several online betting apps. Officials believe that the celebrities not only promoted these platforms but may have invested their earnings into ventures suspected to be linked to laundered money.


Probing the Money Trail

Investigators are meticulously examining payment records and social media campaigns that promoted apps such as Junglee Rummy, ZeetWin, Lotus365, and others. According to early findings, the celebrities allegedly received large endorsement fees to appear in advertisements, social media campaigns, and influencer posts for these platforms.

The ED is now focused on tracking the financial trail from the proceeds of these endorsements – specifically whether any of the income was layered or invested in a manner typical of money laundering operations.

“Many of these online betting apps have their servers outside India, making it a challenge to trace the flow of funds,” said an official on condition of anonymity. “The celebrities’ role, especially in popularizing these apps among millions of their fans, cannot be taken lightly.”


Legal and Industry Repercussions

Under the Prevention of Money Laundering Act (PMLA), the ED is empowered to interrogate individuals suspected of receiving and concealing earnings derived from illegal activities, such as unregulated betting. If found complicit, those involved could face hefty fines, asset forfeiture, and even prison time.

The investigation has set off shockwaves across Tollywood and the advertising industry. Brand endorsement agencies and celebrities are suddenly on high alert, with social media managers re-evaluating the risk of associating with online gaming and betting platforms.


Celebrity Responses

While no official statements have been released by the actors or their representatives, sources close to the stars suggest that they are preparing to cooperate fully. Legal counsel for several celebrities are also reviewing the details of their contracts to ascertain the extent of their involvement.

Industry watchers believe this could be a watershed moment for celebrity brand endorsements. “Digital endorsements have become a major source of income for film stars. This episode will force the entire industry to bring in stronger due diligence while taking up such offers,” said a prominent PR executive.


What’s Next?

The ED will begin recording statements next week and will likely summon more personalities if additional links are found. In parallel, the agency is working with local cybercrime units to comb through digital footprints, advertising contracts, and payment records associated with these promotions.

In the coming weeks, the probe is expected to cast a wider net, with more film personalities and social media influencers possibly under scrutiny.


FAQs on Celebrity Endorsements and Betting Apps

Are all online betting apps illegal in India?

Most real money online betting platforms operate in a legal grey area. While “games of skill” are allowed in some states, outright betting and gambling remain illegal in many regions.


What penalties could celebrities face?

If found guilty under the PMLA and other related laws, individuals could face up to 7 years in prison and significant financial penalties.


How does this affect the movie industry?

The scandal has already made brands, producers, and celebrities much more cautious. Endorsement agreements, especially for digital promotions, are likely to face stricter compliance checks.

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Mandava Sai Kumar
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