A case has been registered against the former Group Chief Financial Officer of an online gaming company, for allegedly diverting company funds to invest in future and options (F&O) trading, leading to an estimated loss of Rs 250 crore, police said on Tuesday.
The case was registered against Ramesh Prabhu (47) on September 9 at Marathahalli police station following a complaint by the company's Assistant Vice President Gulshan Yadav under sections of Bharatiya Nyaya Sanhita for criminal breach of trust by employee, cheating, and forgery, among others, they said.
According to the company that offered online gaming services, it has discontinued its operations following the Centre's recent passing of the Promotion and Regulation of Online Gaming Act, 2025.
"In compliance with the promotion and regulation of online gaming act, 2025, ...has discontinued its operations until further notice," the company's website stated.
According to the FIR, on March 5, Prabhu addressed the company in an email, voluntarily admitting that, over the past three to four years, he had misused company funds for personal equity and derivatives trading.
He further stated that the total loss from such Equity F&O Trading, as per his estimate, exceeded Rs 250 crore.
"In the email, the accused stated that he would take full responsibility for his conduct, including for breaching the trust reposed in him in his capacity as Group Chief Financial Officer of the company and claimed that none of the current or former employees of the company were aware of his conduct," it said.
He joined the company in 2018 and has not reported to work since March 1, police said, adding that he has been untraceable since he sent the email.
Following this, the company carried out a comprehensive fact-finding review, and based on the records available with the company, it appeared that the accused had executed unauthorised financial transactions totalling Rs 231.39 crore from FY 2019-20 up to FY 2024-25, the FIR stated.
The complainant further stated in the FIR that in view of the above, the company was required to write off Rs 270.43 crore in its financial statement for the Financial Year 2024-25.
"The company discovered that these transactions were carried out in an unauthorised and unilateral manner by the accused," it added.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
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