I had heard about the scandal that Yuji Naka, ex Sega’s Team Sonic and recognized creator of Sonic The Hedgehog, was arrested for insider trading as he benefited from certain movements of Square Enix that he knew beforehand that was going to happen and hence, the illegality of this.

For those who don't know, it is against the law to benefit from stock trading if you now will be manipulated or are about to be manipulated and being an effect of a known move that is going to happen.

This includes Japan and that is why Yuji Naka was indicted this week after his arrest along with former Square Enix executive Taisuke Sasaki several weeks ago.

According to Tokyo District Public Prosecutors Office (via HNK) Naka and Sasaki were aware thanks to Sasaki) that Square Enix  had planned to develop a Final Fantasy spin-off, Final Fantasy VII: The First Soldier with mobile developer ATeam Entertainment and with this information, Naka went ahead and bought ¥144.7 million yen ($834,000) of company stock while Sasaki, bought ¥105 million yen ($787,318).

This purchase was with the complete knowledge that the stock will rise as the news was expected to be well received from fans and investors.

The scheme was exposed after both Yujo Naka Taisuke Sasaki were previously busted for doing the same thing but thanks to Dragon Quest next game in-development news that was circulating and expected to produce good returns due the well reception.

In this arrest, Naka and Sazaki was in accomplice with fellow Square Enix employee Fumiaki Suzuki.

In a public response, Square Enix announced that they are fully cooperating with requests from the Securities and Exchange Surveillance Commission and internally, all involved employees will receive their applicable disciplinary actions.

It is not known when all the accused will face trial.