Gameskraft to cut 120 jobs amid gaming ban, ex-CFO siphoning case

The move comes shortly after the Centre enacted the Promotion and Regulation of Online Gaming Act, 2025, which bans real-money gaming and has forced Gameskraft to suspend its platforms

Amid mounting troubles, online gaming firm Gameskraft has announced that it will lay off 120 of its employees as part of its wider restructuring drive, reported news agency PTI.

 

The firm added that the move was triggered due to the current regulatory landscape, which has forced it to halt all its business operations.

 

The move comes shortly after the Centre enacted the Promotion and Regulation of Online Gaming Act, 2025, which bans real-money gaming and has forced Gameskraft to suspend platforms such as RummyCulture, Gamezy, Pocket52, and Ludo Select.

 

It also comes at a critical juncture, as the company has accused its former chief financial officer (CFO), Ramesh Prabhu, of siphoning off hundreds of crores from company accounts to finance his personal stock market trades. A first information report (FIR) regarding the same has also been registered.

 

 

 

“After careful deliberation, as part of this restructuring, we will be, as of now, letting go of about 120 Krafters across teams and functions, a decision we make with a very heavy heart. As the business continues to evolve in response to external realities, further structural changes may be required," the company said, as quoted by PTI.

 

Its founder and chief executive officer (CEO), Prithvi Singh, told Storyboard18 that the decision was driven entirely by external factors and the company’s need to adapt to a new reality, stressing that it does not reflect on the abilities of those being laid off. 

"Our respect for our people remains unchanged, and we will try our best to support them as they transition into their next chapters," he added. 

The firm added that it will honour employee agreements, including leave encashment, and extend health insurance until March 2026 or until affected staff find new jobs.

 

Gameskraft is not the only real-money gaming company to lay off staff. Since the new legislation came into effect, other firms such as Games24x7, Baazi Games, and Mobile Premier League have also cut jobs.