The Enforcement Directorate (ED) has arrested Congress MLA K.C. Veerendra from Karnataka in connection with an illegal online and offline betting case. Following his arrest in Gangtok, Sikkim, where he was allegedly attempting to lease land for a casino, Veerendra was brought to Bengaluru for further investigation.

The arrest followed extensive searches across 31 locations in India, including Gangtok, Chitradurga district, Bengaluru, Hubli, Jodhpur, Mumbai, and Goa. These searches resulted in the seizure of approximately ₹12 crore in cash, including ₹1 crore in foreign currency, gold jewellery worth around ₹6 crore, 10 kg of silver articles, and four high-end vehicles. The ED also froze 17 bank accounts and two bank lockers. Property documents were also recovered from the premises of Veerendra's brother, K.C. Nagaraj, and his son, Pruthvi N Raj.

According to the ED, Veerendra was running multiple betting platforms under names such as King567 and Raja567. His brother, K.C. Thippeswamy, was allegedly operating three Dubai-based firms—Diamond Softech, TRS Technologies, and Prime9 Technologies—linked to call center and gaming operations connected to the betting network.

The ED's investigation revealed that Veerendra and his associates had recently traveled to Gangtok to explore leasing land for a casino. Documents and digital evidence indicate "complex layering" of funds to conceal illicit proceeds. As part of the money laundering case, the ED searched five casinos in Goa: Puppy's Casino Gold, Ocean Rivers Casino, Puppy's Casino Pride, Ocean 7 Casino, and Big Daddy Casino.

The arrest and subsequent investigation highlight the ED's crackdown on illegal betting operations following the government's bill to ban online gaming. The agency is probing the alleged involvement of the Karnataka legislator and his associates in illegal online and offline betting, with potential national and international links. Incriminating material seized during the search proceedings indicated a complex layering of cash and other funds. Veerendra was produced before a Judicial Magistrate in Sikkim, and a transit remand was obtained to present him before the jurisdictional court in Bengaluru.