CD Projekt conducted a months long investigation into the allegations against Konrad Tomaszkiewicz, according to an email to staff reviewed by Bloomberg and cleared him of all the allegations.
However Tomaszkiewicz said that a lot of people are feeling fear, stress or discomfort when working with him. He apologised to staff "for all the bad blood I have caused".
Tomaszkiewicz's work on Witcher 3 inspired the creation of a popular Netflix series, both based on novels by the author Andrzej Sapkowski, and at one point turned CD Projekt into Poland's most valuable company.
He was expected to play a significant role in the company's next game in the Witcher series.
Tomaszkiewicz said he was "sad, a bit disappointed and resigned".
In the email to employees, Tomaszkiewicz said the decision was agreed upon with the company's board. "I am going to continue working on myself. Changing behaviour is a long and arduous process, but I'm not giving up, and I hope to change."