Vijay Deverakonda appeared before the Enforcement Directorate (ED) in Hyderabad on Wednesday in connection with a money laundering probe involving the alleged promotion of illegal online betting platforms.
The ED’s investigation is said to be based on an Enforcement Case Information Report (ECIR) linked to multiple FIRs filed by the Telangana Police. These allege that a group of 29 actors, influencers, and television personalities promoted betting apps suspected of being fronts for laundering funds generated through illegal gambling.
Deverakonda’s legal team previously issued a clarification stating his endorsement was only for A23, a skill-based gaming platform legally permitted in certain regions. They emphasised that his contract, which ended in 2023, complied fully with the law. “Our legal team vetted the agreement thoroughly. The Supreme Court has repeatedly distinguished skill-based games from gambling,” the statement read.
Prakash Raj, also summoned in the case, appeared before the ED on July 30 and said his association with a gaming app dated back to 2016 and was ended on moral grounds without any payment. Rana Daggubati has been rescheduled to depose on August 11 after seeking an extension, while Lakshmi Manchu and Nidhhi Agerwal are among others summoned.
The ED is expected to record statements from all those involved under the Prevention of Money Laundering Act (PMLA). The probe was initiated after a complaint filed by businessman Phanindra Sharma alleged that promotions by celebrities were encouraging users, causing financial distress in families.
Vijay Deverakonda was recently seen in Kingdom, which fared with a mixed reception. He will next be seen in VD14 and Rowdy Janardhana.