Mahua Moitra Drops Insider Trading Bomb on Rekha Jhunjhunwala's Nazara Tech Exit Ahead of Online Gaming Bill

Rekha Jhunjhunwala, who inherited a major stake in Nazara Technologies from her late husband Rakesh Jhunjhunwala, is currently making headlines by selling her entire holding of about 13 lakh shares on the BSE and 14.23 lakh shares on the NSE by mid-June 2025 at an average rate of Rs. 1,225 per share, as per a report from Mint. This divestment, which is valued at approximately Rs. 334 crore, came just weeks before Parliament passed the Online Gaming Bill 2025, which took the gaming companies by Storm.

After the sale, her holdings dropped from 7.06% (61.8 lakh shares at end-March) to 5.07%. While the rest of the shares were offloaded in June via market and block deals.

Nazara Tech Share Price

After the Online Gaming Bill was passed on August 21st, which bans real-money gaming, the Nazara Technologies share plunged 20% in the last five days. This wiped out around Rs. 916 crore in market value. Brokerages have reduced the traget price and downgraded the stock.

For companies like Nazara Technologies, which had exposure to real-money gaming through subsidiaries and partnerships, the online gaming bill is a severe blow to the company. Analysts estimate that up to 15-20% of Nazara's revenue streams could be directly affected, alongside long-term growth opportunities in the fast-scaling online gaming market.

As of Today, August 25, Nazara Tech Shares closed at Rs. 1,111.80 a piece on the NSE, dropping another 3.91% today

Political Uproar & Insider Trading Accusations

TMC MP Mahua Moitra publicly slammed Rekha Jhunjhunwala's sale as "insider trading, pure and simple", demanding regulatory action. In her latest post on X, Moitra said:

"In the US, the SEC would do a full investigation, including subpoenas, phone & digital records. In India, Bhakts applaud while @SEBI_India sleeps."

Public Backlash & Reaction

The timing of the sale has sparked debate on social media, where a lot of people pointed to "information asymmetry," saying that elite investors systematically benefit from privileged access while the retail investors bear the brunt.

One tweet read: "Rekha Jhunjhunwala saved Rs. 334 crore... this is not the first time rich make money from information asymmetry, while retail people lose."

Another one said, "I agree on this one. You are 100% correct. It's impossible to time the market or a particular stock without insider information."

Some believe that Rekha Jhunjhunwala's exit was just smart timing because of the upcoming rule changes, while others are demanding a probe to make sure everything in the stock market is fair.

As of now, SEBI has neither confirmed nor denied an investigation into the trades.

The Online Gaming Bill 2025

The Promotion and Regulation of Online Gaming Bill, 2025, was passed by the Parliament on 21st August 2025. The law imposes a nationwide ban on real-money online games, including poker, rummy, fantasy sports, and betting-linked apps, while allowing only "skill-based, non-monetary" gaming formats.