The Enforcement Directorate (ED) has filed a supplementary chargesheet naming Nishant Pitti, co-founder of online travel firm EaseMyTrip, in connection with the ongoing Mahadev online betting app money laundering investigation. The agency alleges that Pitti played a crucial role in injecting illegal betting proceeds into the Indian equity market through foreign portfolio investments.
Allegations of Money Laundering and Stock Manipulation
According to the ED, evidence gathered during its probe indicates that Pitti, 40, maintained a close association with Hari Shankar Tibrewal, the Dubai-based owner of the Skyexchange betting platform. The chargesheet details allegations that Pitti was directly involved in facilitating the entry of illicit funds into India's stock market. Furthermore, it claims Pitti engaged in a pre-arranged stock price manipulation scheme with a Tibrewal associate to artificially inflate the share price and market capitalization of Easy Trip Planners Ltd.
The ED has accused Pitti of knowingly assisting Tibrewal in layering proceeds generated through Skyexchange, actively acquiring, possessing, concealing, and utilizing these funds derived from criminal activities.
ED Actions and Provisional Attachments
As part of its investigation, the ED provisionally attached DEMAT shares belonging to Pitti, valued at ₹59.60 crore, under the Prevention of Money Laundering Act (PMLA). This action was taken on September 10, when the agency submitted its fifth supplementary chargesheet before a special PMLA court in Raipur. The ED is now seeking court permission to confiscate these shares, categorizing them as proceeds of crime.
Pitti's Response and Company Statement
In response to the allegations, Nishant Pitti stated that he was unaware of any chargesheet being filed against him and had not received any court summons. He affirmed his full cooperation with law enforcement agencies and expressed his intention to provide evidence to substantiate his bona fide conduct. Pitti asserted, "All my transactions comply with the applicable laws, and all my assets have been obtained from lawful sources of income and through formal banking channels."
Easy Trip Planners, the parent company of EaseMyTrip, issued a statement indicating that it had not received any formal intimation regarding legal proceedings against either the company or Pitti.
Broader Scope of the Mahadev App Case
The latest chargesheet extends beyond Pitti, also naming 41 other individuals and entities, including Vikas Garg, Chairman of EBIX Group. The ED alleges that Garg and entities under his control received ₹765.77 crore from Tibrewal-controlled entities, subsequently using these funds to acquire US-based Ebix Inc.
The agency estimates that Skyexchange has generated approximately ₹12,000 crore in criminal proceeds since its inception in 2016. The Mahadev app, a central focus of the investigation, is alleged to have generated a staggering ₹80,000 crore since 2019. To date, the ED has arrested 14 individuals, attached assets worth ₹1,885 crore, named 116 accused across six chargesheets, and conducted searches at 190 premises in connection with the case.