“Unexpected Guests” and a WFH order: WinZO Founders’ message to employees hours before arrest

A day before the Enforcement Directorate (ED) arrested WinZO co-founders Saumya Singh Rathore and Paavan Nanda on money-laundering charges, the duo sent an internal message to employees acknowledging the ongoing raids and urging staff to “stay focused” while the company dealt with “unexpected” developments.

Employees who spoke to Storyboard18 said the founders’ message — a mix of reassurance, gratitude, and a sudden shift to work-from-home — offered little clarity about the gravity of the situation.

“We are still shocked and have no clue what is the way forward,” said one employee. “We have been working from home for two days. Multiple employees have already quit. We’re trying to ascertain our future.”

The Message Before the Arrest

In the note addressed informally as “Hello Doston,” Nanda and Rathore apologised for the silence, telling staff the company had been caught up in “something that came our way in an unexpected manner.” They acknowledged an ongoing “search and survey stage for many user complaints for the period before 22-Aug,” promising to elaborate in an upcoming town hall.

They praised employees for “holding the fort,” saying they had “seen some leaders truly emerge,” and announced a week-long work-from-home arrangement due to the “unexpected guests” — a reference interpreted internally as the ED officials conducting raids.

The message ended with: “Let’s continue to build and keep at it. Lots of love, Saumya and Paavan.”

Less than 24 hours later, both founders were in custody.

On Wednesday, the ED arrested the WinZO founders in Bengaluru after a round of questioning at the agency’s zonal office. They were produced before a local court the same night and remanded to one-day custody. The duo is expected to be presented again on Thursday at 11:30 am.

The agency says it has frozen ₹505 crore worth of bonds, fixed deposits, and mutual funds belonging to WinZO. It also alleges that USD 55 million (₹490 crore) from the Indian entity was parked in a US-based shell company while operations continued to be run from India.

The ED has alleged that WinZO held ₹43 crore belonging to gamers even after the Union government banned real-money gaming from August 22, 2025, allowed players to unknowingly compete against algorithms instead of human opponents, operated real-money games in the US, Germany, and Brazil through the same India-based platform, limited or prevented customer withdrawals, and diverted funds overseas under the guise of investments.

A company spokesperson had rejected the allegations, saying: “Fairness and transparency are core to how WinZO designs and operates its platform. Our focus remains on protecting our users and ensuring a secure, trustworthy experience.”

The platform, which offers over 100 games in 15 Indian languages, has raised $100 million from global investors including Griffin Gaming Partners, Maker’s Fund, Courtside, and Kalaari Capital.

Inside the company, the mood remains tense. Employees say the founders’ upbeat, affectionate sign-off stands in stark contrast to the sudden escalation that followed.

“Nothing in that message indicated arrests were imminent,” an employee said. “Now everyone is worried about what happens next.”

With more resignations underway and communication limited, many staffers say they are preparing for prolonged instability as the investigation deepens.