The probe agency also raided other individuals allegedly involved in the case.
Businessman Raj Kundra's house and offices were raided today by the Enforcement Directorate (ED) today as part of a money laundering probe related to the production and distribution of pornographic content through mobile apps. The ED's operation involved searches at around 15 premises, including Mr Kundra's Juhu residence
Mr Kundra, the husband of Bollywood actress Shilpa Shetty, has been under the ED's lens for months, following allegations that he was a key player in a scheme that monetised explicit content streamed via the now-defunct 'Hotshots' application. The app, previously available on platforms like Apple and Google Play, was removed after public and legal scrutiny.
The ED's case alleges that Mr Kundra utilised his company, Armsprime Media Pvt Ltd, to manage the app's operations. It is further claimed that Armsprime facilitated the sale of the app to UK-based Kenrin Pvt Ltd, which became instrumental in uploading and streaming explicit content.
The app allegedly lured aspiring actors under the pretext of web series auditions. However, the actors were reportedly coerced into filming semi-nude or nude scenes against their wishes. The police claimed that Mr Kundra's phone contained WhatsApp chats evidencing financial transactions linked to Kenrin, including discussions about selling 119 adult films for USD 1.2 million.
Mr Kundra has denied wrongdoing, claiming no active involvement in producing pornographic content. He has stated that he was falsely implicated and called himself a "scapegoat" in the case.
Mr Kundra's legal battles are not new. In 2021, he was arrested by Mumbai police in a related case involving obscene material and was later released on bail.
The ED is also probing his alleged involvement in a crypto-ponzi scheme spearheaded by Amit Bhardwaj, the mastermind behind the Gain Bitcoin scam. Earlier this year, the ED attached assets worth Rs 98 crore belonging to Mr Kundra and Ms Shetty, claiming they were acquired using proceeds from illicit activities, including the Gain Bitcoin scam.