Kannada actor Ranya Rao has admitted to using the illegal ‘hawala’ system to send money to purchase gold, the Directorate of Revenue Intelligence told a court . The actor was arrested earlier this month for her suspected role in a gold smuggling case.

Advocate Madhu Rao from the DRI said that the accused admitted to carrying out the financial transaction through unofficial methods, PTI reported.

Authorities Start Investigation Into Financial Issues

After the confession, the authorities took action and sent a notice under Section 108 of the Customs Act for a court inquiry into the matter. The process is part of a legal investigation, not a police questioning, as required by the section.

The authorities are trying to find out how big the financial problems are in this case and if any laws were broken.

Gaurav Gupta To Probe Ranya Rao’s Father’s Role

The Karnataka government has assigned Additional Chief Secretary Gaurav Gupta to investigate the suspected misuse of power and the involvement of Ranya’s father, Director General of Police (DGP) K. Ramachandra Rao.

Ranya Rao’s For Gold Smuggling

Ranya Rao, a Kannada actor, was arrested on March 4, 2025, for allegedly trying to smuggle 14.8 kilograms of gold worth Rs 12 crore into India. She was caught at Bengaluru’s Kempegowda International Airport while returning from Dubai.

The Directorate of Revenue Intelligence (DRI) found the gold hidden in a special waist belt. After searching her house in Bengaluru, they also found gold jewellery worth Rs 2.06 crore and Rs 2.67 crore in cash. In total, the authorities seized assets worth Rs 17.29 crore.

Alleged Smuggling Trips To Dubai

As per DRI, Ranya Rao made 52 trips to Dubai between 2023 and March 2025. DRI also informrd the court that the actress was accompanied by Raju on at least 26 of them and they suspect that these same-day return journeys were used to smuggle gold into India.