Yuji Naka, Sonic the Hedgehog co-creator and game director, was arrested on Friday by the Tokyo District Public Prosecutors Office on suspicion of insider trading.
A number of Square Enix employees have been arrested for insider trading in connection with the mobile game Dragon Quest Tact and its developer Aiming.
Naka is accused of purchasing 10,000 shares in Aiming prior to the studio’s announcement that Dragon Quest Tact will be created. Most likely on the belief that after the news became public, the share price would rise.
While Naka purchased 10,000 shares, other Square Enix employees, including Taisuke Sazaki and Fumiaki Suzuki, purchased significantly more and are suspected of insider trading.
Naka is already involved in a lawsuit after leaving Square Enix and being removed from the development of Balan Wonderworld, so his arrest comes at an inopportune time.
Many people remember Naka as a core member of the original Sonic Team and his work on and co-creation of the Sonic the Hedgehog series.