Papara Founder Arrested in Turkey: Illegal Gambling and Crypto Transfers Case
The Istanbul Prosecutor’s Office arrested the founder and former CEO of the payment system Papara, Ahmet Faruk Karslı, along with 12 other suspects in a case related to illegal gambling.
Case Details: Scale of the Operation
According to the investigation and MASAK reports, the company Papara was used as a tool for financial operations connected to illegal gambling. Since 2016, Papara has been actively involved in money transfers related to illegal bookmakers.
Through 26,012 platform accounts, 102 illegal operators conducted transactions totaling approximately $430 million. Authorities estimate the funds were routed to 274 bank accounts and then to 16 different crypto wallets.
Seizures and Assets
As a result of the operation, assets worth approximately 5 billion Turkish liras were seized. These include:
- 8 companies, including PPR Holding
- 1 yacht and 5 motorboats
- 3 safes
- 74 vehicles
- 8 properties, including a historical mansion (kırmızı yalı) on the Bosphorus valued at $6.7 million
By court decision, Papara and affiliated companies are temporarily under external administration by TMSF (Savings Deposit Insurance Fund).
Table: Key Investigation Data
| Parameter | Value |
|---|---|
| Number of Papara accounts | 26,012 |
| Number of illegal operators | 102 |
| Total transaction volume | 12,879,558,000 ₺ (~$430 million) |
| Seized assets | 5 billion ₺ |
| Appointed administrator | TMSF |
Authorities’ Response
Interior Minister Ali Yerlikaya released a video of the special operation, emphasizing that the fight against illegal betting continues. He noted that such crimes pose a threat to citizen safety.
The Central Bank of Turkey also announced that temporary payment limits are being implemented during the investigation, and all user funds are protected in special bank accounts.
Scheme Mechanism
The investigation found that Papara received a commission for each transaction involving money transfers from players to illegal bookmakers. Accounts were created in the names of citizens, and transfers were disguised as standard transactions, helping avoid early detection.
MASAK reports emphasize that Papara was systematically used to facilitate illegal financial activities, including attempts to launder money through cryptocurrency.
Conclusion
The investigation into Papara has become the largest illegal gambling case in Turkey. Clear connections have been established between the payment platform and criminal organizations using modern technology to conceal income. The temporary TMSF management and regulatory oversight aim to prevent further abuse.
Keywords: Papara, Ahmet Faruk Karslı, illegal gambling, cryptocurrency, TMSF, MASAK, arrest, Turkey