Rapido denies involvement in a ₹331cr money laundering case
What's the story
Leading ride-hailing company Rapido has denied any connection to a ₹331 crore money laundering case. The Enforcement Directorate (ED) is investigating suspicious deposits made into the bank account of a bike taxi driver associated with Rapido. The deposits, amounting to ₹331.36 crore, were made between August 19, 2024, and April 16, 2025.
Money laundering
ED's investigation into 'mule' account
The ED is probing a classic case of a "mule" account being used to launder money. A mule account is one that is used to funnel illegal funds from financial crimes, with the real owner not being its user. These accounts are created using fake or hired Know Your Customer (KYC) details, where an individual lends their account for a commission.
Company statement
Rapido's response to ED's investigation
Responding to the investigation, a Rapido spokesperson said, "The individual mentioned is one of the two crore registered captains associated with us for bike taxi services. As with many workers in the gig economy, he may be associated with multiple platforms." The company also stressed its commitment to transparency and compliance with the law.
Investigation details
ED's raid and findings
The ED raided the address listed in the driver's bank records after noticing suspicious multi-crore transactions over eight months. They found that the driver lived in a modest two-room shanty and spent all day riding his bike for a living. The agency also discovered that over ₹1 crore of these deposits were used to fund a "grand destination wedding" at a luxury hotel in Udaipur, Rajasthan.
Political connection
Wedding linked to Gujarat politician
The wedding funded through the driver's account is said to be connected with a politician from Gujarat. He may be summoned for questioning soon. The driver told ED investigators that he knew nothing about the bank transactions and couldn't identify those involved in the wedding event whose expenses were paid through his account.