# ED's Gold Rush: 40 Kg Seized from Karnataka Congress MLA's Network in Massive Online Betting Probe
October 11, 2025**
In a stunning escalation of its crackdown on money laundering tied to the shadowy world of online gambling, the Enforcement Directorate (ED) has uncovered a glittering hoard of 40 kilograms of 24-carat gold bullion—valued at over Rs 50.33 crore—from bank lockers linked to arrested Karnataka Congress MLA K.C. Veerendra and his associates. The seizure, executed during fresh raids on October 9 in Chitradurga district, pushes the total assets confiscated in this case beyond Rs 150 crore, painting a picture of a sprawling Rs 2,000 crore betting empire allegedly orchestrated by the MLA from behind bars. As the probe deepens, questions mount over Veerendra's "Puppy" empire—complete with casinos, mule accounts, and international jaunts—exposing how digital dice rolls allegedly funneled illicit fortunes into physical gold.
## The Raid: Lockers Cracked Open in Challakere
The operation unfolded under the Prevention of Money Laundering Act (PMLA) at the Bengaluru Zonal Office of the ED, targeting premises in Challakere, the heart of Veerendra's Chitradurga constituency. Investigators, armed with leads from Veerendra's ongoing interrogation in judicial custody, zeroed in on two lockers at a Federal Bank branch. What they found: pristine 24-carat gold bars stacked like contraband treasure, weighing a hefty 40 kg and clocking in at Rs 50.33 crore at current market rates.
This isn't the first windfall in the case. Back in August, ED raids across 30+ locations in Karnataka, Goa, and Sikkim netted Rs 12 crore in cash (including Rs 1 crore in foreign currency), gold jewelry worth Rs 6 crore, 10 kg of silver, and four luxury vehicles. Additional hauls included 21 kg of gold bars, frozen bank accounts holding Rs 55 crore, and six high-end Mercedes Benz cars with VIP number plates. The agency has also attached 17 bank accounts and two more lockers, with digital trails pointing to layered hawala transactions and cyber mule networks.
On X, the visuals of the gold bars sparked a frenzy. One user quipped, "Congress ke 'garib' vidhayak ka khazana! 40 kg sone se zyada toh unka corruption chamak raha hai," while another posted memes of Veerendra as a high-roller, captioned "From MLA to MGM VIP." TIMES NOW's live coverage, featuring reporter Neha Hebbs, amplified the drama with footage of the seized bullion glinting under ED lights.
## The Betting Bonanza: King567 to Puppy's Casino
At the core is an alleged nexus of illegal online platforms—King567, Raja567, Lion567, and Puppy's003—raking in over Rs 2,000 crore through rigged games and cheated punters. Funds flowed via gateways like FonePaisa into a web of mule accounts, sourced nationwide for pennies per setup, before being laundered into high-stakes luxuries: international flights, Dubai visas, bulk SMS blasts for app promotions, and even SEO for shadowy sites.
Veerendra, 50, and his brothers—K.C. Thippeswamy and K.C. Nagaraj—stand accused of masterminding the ops, with Thippeswamy allegedly running Dubai-based fronts like Diamond Softech and Prime9 Technologies. Raids hit five Goa casinos—Puppy's Casino Gold, Ocean Rivers, and Big Daddy—tied to the family, yielding casino membership cards from global heavyweights like MGM and Bellagio, plus Taj and Hyatt elite statuses. Veerendra's August arrest in Gangtok, mid-plot to lease Sikkim casino land, capped a 20-hour raid marathon.
This echoes Veerendra's 2016 brush with infamy: Demonetization raids unearthed Rs 5.7 crore in fresh Rs 2,000 notes from a bathroom safe, plus 28 kg gold and 4 kg jewelry—though that probe fizzled. Now, with Parliament's fresh online gaming ban, the ED's net tightens on cybercrimes feeding these apps.
## K.C. Veerendra: From Chitradurga to Casino Kingpin?
The 2023 election winner declared Rs 134 crore in assets, a fortune dwarfed by the probe's revelations. Nicknamed "Puppy," the MLA's portfolio spans mining, real estate, and now, allegedly, digital dice. Associates like Pruthvi N. Raj (his nephew) handled Dubai ops, while family jets to the UAE masked hawala flows.
On X, the silence from Congress loyalists is deafening—one post mocked, "Pin drop silence because it's Congress. BJP ke time toh 'ED dictatorship' chillata rehta hai." BJP voices, meanwhile, crow "CongressCorruption" with gold bar emojis. No official party response yet, but the optics sting amid Karnataka's coalition churn.
## Wider Ripples: Betting's Black Market and Political Heat
This bust spotlights India's underground gaming underbelly, where apps lure the unwary into Rs 2,000 crore traps via cyber mules and offshore shells. ED links it to broader cyber frauds, with funds greasing everything from marketing to Veerendra's VIP Vegas cards. As seizures mount, expect more attachments—perhaps even Dubai extraditions.
For Chitradurga's voters, it's a betrayal: Their "garib" MLA, a gold-hoarding gambler? The ED vows no stone unturned, but in poll season, this could redraw Karnataka's map.
*Is this the tip of the betting iceberg in politics? Sound off below.*
**Sources and Further Reading:**
- [Asianet Newsable: ED Seizes 40 Kg Gold Worth Rs 50 Crore](https://newsable.asianetnews.com/karnataka-news/illegal-online-betting-case-ed-raids-in-karnataka-seizes-40kg-of-gold-articleshow-na1q3y8)
- [Times of India: Illegal Betting Case - Karnataka Congress MLA Arrested](https://timesofindia.indiatimes.com/india/illegal-betting-case-karnataka-congress-mla-arrested-with-massive-hoards-of-cash-gold-worth-6-crore-seized/articleshow/123468474.cms)
- [India Today: ED Seizes 40 Kg Gold in Betting Case](https://www.indiatoday.in/india/story/ed-seizes-40-kg-gold-worth-rs-50-crore-in-betting-case-linked-to-karnataka-mla-kc-veerendra-2800726-2025-10-09)
