Gameskraft accuses ex-CFO of siphoning Rs 231 crore, files police complaint
The complaint came alongside the company’s FY25 earnings announcement, where it reported a 25% year-on-year drop in profit after tax (PAT) to Rs 706 crore, compared to Rs 947 crore in FY24
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Bengaluru-based online gaming company Gameskraft has filed a police complaint against its former Chief Financial Officer (CFO) for allegedly siphoning off Rs 231 crore, according to PTI. Storyboard18 could not independently verify the development.
The complaint came alongside the company’s FY25 earnings announcement, where it reported a 25% year-on-year drop in profit after tax (PAT) to Rs 706 crore, compared to Rs 947 crore in FY24. Revenue for the year stood at Rs 4,009 crore.
Gameskraft attributed the profit decline to two key factors: the full-year impact of the 28% GST on online gaming and a one-time accounting adjustment related to the alleged financial fraud. Tax outflows rose sharply to Rs 2,526 crore in FY25, up from Rs 1,512 crore in the previous fiscal.
The regulatory climate for online gaming has worsened further. In September, the GST Council raised the tax rate on casinos, race clubs, lotteries, betting, and online money gaming to 40%, with input tax credit. In August, the Centre passed the Promotion and Regulation of Online Gaming Act, 2025 (PROGA), which banned real-money online gaming in India. The industry is also grappling with retrospective tax demands worth Rs 2.5 lakh crore, currently under Supreme Court review.
In response to PROGA, Gameskraft halted “Add Cash” and “Gameplay” services on its rummy platforms and shut down its poker platform Pocket52 in July. The company said it has cleared regulatory dues and taken steps to protect stakeholders.
Despite sector-wide turbulence, Gameskraft extended three months’ advance salary to its 600–700 employees — a move that contrasts with rivals Games24x7 and Moonshine Technologies, both of which have resorted to layoffs.
Looking ahead, the company has launched an internal ideathon, drawing more than 300 employee submissions on potential pivots. These ideas, along with strategic inputs from leadership, are under review as Gameskraft explores its next phase.
