Real-money gaming company Gameskraft is laying off about 120 employees across various teams and functions as part of a company-wide restructuring, becoming the latest casualty of the Indian government’s blanket ban on real-money games.
This move, however, also comes at a time when the company is embroiled in a fraud scandal involving its former CFO Ramesh Prabhu who has allegedly siphoned off funds amounting to Rs 270.43 crore over nearly five years. An FIR has been filed against Prabhu at Bengaluru's Marathahalli police station, following Gameskraft's complaint, Moneycontrol reported on September 16.
“This has been one of the most difficult decisions in Gameskraft’s journey. Every single Krafter has played a meaningful role in shaping who we are, and we are deeply grateful for their contributions, passion, and belief in our mission," Gameskraft founder Prithvi Singh said in a statement.
"While this step is driven entirely by the external environment and the need to adapt to a new reality, it in no way reflects on their talent or dedication. 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 number could further increase as the process is still ongoing. The company stated that further structural changes may be necessary as the business "continues to evolve in response to external realities".
Affected employees will receive severance as per their employment agreements, including leave encashment based on total salary.
Employee group health insurance cover will remain active until March 2026, or until an individual joins a new employer. Employees will also have the option to convert their corporate policy into an individual one, the company stated.
Gameskraft has joined a growing list of real-money gaming companies that have laid off employees at a large scale in past few weeks as the industry grapples with the fallout of the ban. India's new online gaming law prohibits online money games, where a user makes a deposit, directly or indirectly, with the expectation of earning winnings on that deposit.
Head Digital Works, which operates the online rummy platform A23 Rummy, recently laid off nearly 500 employees, representing over two-thirds of its workforce. Meanwhile, Zupee announced last week that it is cutting 170 jobs.
Mobile Premier League (MPL) is significantly downsizing its India team, with sources saying the company could lay off around 60-80 percent of its workforce, which currently numbers about 500-600 employees, Moneycontrol reported on August 31.
Nazara Technologies-backed Baazi Games (Moonshine Technology), which operates the online poker platform PokerBaazi, is also reducing its workforce by over 200 people, representing nearly 45 percent of its employees, Moneycontrol reported on September 1.
Games24x7, which operates the online rummy platform Rummy Circle and fantasy sports platform My11Circle, has also carried out significant layoffs at the company.
Gameskraft, founded by Prithvi Singh in 2017, discontinued its online rummy apps, including Rummyculture, last month after the legislation was passed by Parliament. The firm also paused operations of its online poker platform Pocket52 in May 2025.
Earlier this month, Gameskraft reported a 25 percent drop in its net profit to Rs 706 crore in FY25, from Rs 947 crore in FY24. This includes exceptional items worth Rs 270.5 crore.
The bootstrapped company, however, had attributed the decline in profit primarily to the full-year impact of the 28 percent Goods and Services Tax regime, which led to tax outflows increasing from Rs 1,512 crore in FY24 to Rs 2,526 crore in FY25. It also cited a one-time accounting adjustment of past unauthorised transactions amounting to about Rs 231 crore.
Gameskraft's revenues grew 13.9 percent to Rs 4,009 crore for FY25, from Rs 3,521 crore in FY24.
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