In a significant development linked with online gaming investigation, GST intelligence, Hyderabad, arrested Shri Pankaj Kumar, founder and director of Adsum Advisory Service Pvt Ltd. This firm provides services for fraud detection and customer verification/ digital KYC verification.
Evidence gathered during investigation pointed to identification of an organized syndicate worth Rs 13,000 crore involved in operating illegal online gaming websites with assistance of associated fintech companies including payment aggregator, payment gateway and third-party technology service providers, wherein Shri Pankaj Kumar is one of the masterminds responsible for fraudulent KYC verification of merchants and shell entities on behalf of RBI Regulated Entities like Payment Gateways and Banking as Payment Aggregator (BAPA).
Being director of a company responsible for KYC verification process, Shri Pankaj Kumar failed to develop risk profiling of customers based on ownership and control structure and helped in onboarding of shell entities for UPI integration required for flow of money from online gaming. He is one of the beneficiaries who received illegitimate proceeds of crime generated by online gaming syndicate.
As per one estimate in the year 2025, gross valuation of online gaming in India is about USD 23 bn (two Lakh Crores). DGGI, Hyderabad has launched massive crackdown on Online Gaming syndicates including action against associated Fintech companies, freezing bank accounts to the tune of Rs 100 crores and arresting masterminds.
Further investigation is under progress.
The Press Note can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2026/02/Hyderabad-DGGI-Press-Note-19.02.2025.pdf
