RAIPUR: In what is likely one of the largest-ever tax evasion crackdowns, the Directorate General of GST Intelligence (DGGI), Raipur Zonal Unit, has issued massive show-cause notices demanding over Rs 40,603 crore in unpaid Goods and Services Tax (GST) from the Mahadev Online Book betting network, sources revealed.
The probe, overseen by Director General Sujit Kumar and Joint Director (Raipur Zonal Unit) Shivi Sangwan, revealed that the betting syndicate generated an extremely large taxable value of approximately Rs 1.45 lakh crore between April 1, 2020, and March 31, 2024.
Tax notices have been issued across different operational periods to 97 individuals, including the syndicate's chief promoter Saurabh Chandrakar, co-promoter Ravi Uppal, key associates, and panel operators.
How the Massive Syndicate Operated
DGGI investigators found that Mahadev Book is not a single app or website, but a massive umbrella network operating dozens of online betting portals, including Gold365, Laser247, Play247, 11xPlay, Betbook247, Silver Exchange, and Cricket Bet9.
The illegal gambling and sports-betting network ran via approximately 2,000 panel operators. Each panel averaged daily cash/digital receipts between Rs 5 lakh and Rs 10 lakh, generating an estimated cumulative daily turnover of Rs 99 crore.
Panel operators contacted punters via WhatsApp, directing deposits into fictitious, benami bank accounts in exchange for betting points and credits.
Approximately 80% of total profits were channeled directly back to key promoters Saurabh Chandrakar and Ravi Uppal.
DGGI's investigation established that core servers and command operations were hosted in Dubai and other foreign locations. To launder the proceeds of the illicit betting empire, the syndicate set up more than 50 shell companies, moving billions into stock markets, cryptocurrency, and high-value real estate.
Both Chandrakar and Uppal fled India to the United Arab Emirates (UAE). Following Red Corner Notices issued at the request of the Enforcement Directorate (ED) and the CBI, Indian investigative agencies alongside the Chhattisgarh Police are actively pursuing their legal extradition from the UAE.
Under Supreme Court rulings and current GST provisions, real-money online gaming and betting platforms are subject to mandatory 28% GST. Since Mahadev Book completely bypassed GST registration and filings, authorities are aggressively tracking the international money trail to recover the vast revenue losses inflicted on the state exchequer.
Mahadev betting app scam, unearthed in the year 2022 during the previous Congress regime, was being investigated by the anti-money laundering probe agency Enforcement Directorate (ED). After BJP came to power in Chhattisgarh, the EOW-ACB registered an FIR under IPC section 120 B (criminal conspiracy), 420 (cheating) and the Prevention of Corruption Act. Later, the Chhattisgarh government issued a notification to transfer the probe to the Central Bureau of Investigation.
Breakdown of the Rs 40,603 Crore Tax Demand
April 1, 2020 – September 30, 2023: Rs 35,517.22 crore in unpaid GST dues
October 1, 2023 – March 31, 2024: Rs 5,085.80 crore in IGST dues
Total Tax Demand: Over Rs 40,603.02 crore