In a shocking development, Ramesh Prabhu, former Group Chief Financial Officer (CFO) of Gameskraft Technologies, has confessed to diverting company funds worth over Rs 250 crore into high-risk futures and options (F&O) trading.
A costly gamble
On March 5, Prabhu sent a “voluntary” confession email to Gameskraft, admitting that he had been siphoning off funds over the past three to four years to fuel his personal trading activities. He acknowledged massive losses and conceded that his actions amounted to a serious breach of trust.
The disgraced executive emphasized in his mail that no other company employees were complicit, describing the misconduct as a “lone wolf” act.
How the revelation surfaced
The confession later formed the basis of a First Information Report (FIR), registered against Prabhu on September 9 at the Marathahalli police station in Bengaluru. The complaint was filed by Gameskraft itself, which alleged misappropriation of funds by its former top finance executive.
The FIR details reviewed indicate that Prabhu, a resident of Bengaluru’s Hebbal area, diverted company money over a sustained period before losses spiraled out of control.
What’s next?
The case raises serious concerns over internal controls and corporate governance at startups handling large volumes of cash flow. Investigations are underway, with authorities expected to probe deeper into how the fraudulent transfers went unnoticed for so long.
