Paytm moves NCLT against WinZO citing Rs 3.6 crore advertising dues

New Delhi: Paytm has filed an insolvency petition against online gaming platform WinZO at the National Company Law Tribunal (NCLT), alleging non-payment of approximately Rs 3.6 crore for advertising services. The fintech company claimed that WinZO ceased payments following the implementation of the online real money gaming ban, according to the Bar and Bench.

The matter was heard by a Bench comprising Judicial Member Justice Jyotsna Sharma and Technical Member Anu Jagmohan Singh. WinZO was granted two weeks to submit its reply, with the case scheduled for further hearing on December 15.

Appearing for Paytm, Senior Advocate Krishnendu Datta stated that the operational debt arose from four invoices raised under purchase orders issued by WinZO to promote its gaming products, including poker and rummy, on Paytm’s application.

“Invoices carried 60-day payment terms and were e-mailed to WinZO. A demand notice dated 1 October 2025 was also served but the dues remained unpaid,” Datta said.

Paytm further submitted that WinZO did not dispute delivery of advertising services, but instead contended that the invoices had “not been validated” and were under internal investigation, and therefore payment was not due. Datta described this as a “sham defence”.

“There is no communication or email where they say advertisements were not placed,” he argued, adding that validation data from the AppFlyer tool had been provided, fulfilling contractual specifications.

WinZO, through Senior Advocate Abhishek Malhotra, cited Clause 14 of the purchase order, which requires its email validation before invoices can be raised, and highlighted internal emails stating that invoices had not been validated and had been transferred to a central team for evaluation.

Datta countered that WinZO could not indefinitely delay validation, and that courts imply reasonable timelines where contracts are silent. He added that earlier invoices were cleared without dispute, and the default began only recently. “WinZO stopped paying only after the online real money gaming ban came into effect,” Datta argued, indicating that the company was unable to pay its dues due to the ban.

WinZO may present its defence in its counter statement. Notice was issued and the case adjourned to December 15, for further consideration.