Unknown Credit Cooperative Society
Pune, India
On July 25, 2026, India's Enforcement Directorate (ED) disclosed an investigation into Edsom Fintech Pvt. Ltd., a Pune-based fintech firm, alleging it played a central role in laundering hundreds of crores of rupees tied to the 'ALL PANEL EXCHANGE' online betting and investment fraud syndicate. The probe uncovered an ₹800-crore money trail routed through the bank account of a credit cooperative society, which ED says is directly linked to proceeds of illegal online betting and gaming scams. Funds were reportedly routed through shell entities, converted into cryptocurrency, and transferred to offshore entities. ED conducted searches at multiple locations in Mumbai, Pune, and Bengaluru under the Prevention of Money Laundering Act (PMLA), seizing documents, digital devices, and freezing several bank accounts linked to the entities and individuals under investigation. While not a traditional BaaS enforcement action, the case highlights risks around fintech firms using bank and cooperative society accounts as conduits for illicit fund flows.
Verified from source: The ED investigated Pune-based Edsom Fintech Pvt. Ltd. for laundering approximately ₹800 crore in proceeds from the 'ALL PANEL EXCHANGE' illegal online betting syndicate through shell entities, cryptocurrency, and a credit cooperative society's bank account. ED conducted raids in Mumbai, Pune, and Bengaluru, seizing documents, digital devices, and freezing several bank accounts under PMLA.
- Highlights money laundering risks when fintech firms use bank or cooperative society accounts as payment conduits
- Demonstrates regulatory scrutiny of fintech-facilitated fund flows involving crypto conversion and offshore transfers
- May prompt Indian regulators to tighten oversight of fintech-bank account relationships and KYC requirements