NEW DELHI — Anmol Singh Jaggi, co-founder of BluSmart and promoter of Gensol Engineering, once celebrated as a visionary in India’s clean mobility sector, is now at the center of a growing financial scandal. A sweeping interim order by the Securities and Exchange Board of India (SEBI) has barred both Anmol and his brother Puneet Singh Jaggi from serving in any director or managerial capacity across listed companies after allegations of large-scale misuse and diversion of company funds.
SEBI’s findings accuse the Jaggi brothers of treating company coffers as a personal piggybank—redirecting funds toward luxury real estate, designer goods, foreign travel, and golf equipment. Perhaps more alarmingly, the regulator found evidence of misleading regulators and financial institutions using falsified documents. Gensol’s shares, once high-flying, have nosedived by over 83% in 2025.
₹978 Crore Missing: The Financial Web Behind Gensol and BluSmart
According to SEBI, the saga dates back to a 2024 complaint that triggered a forensic probe into the Gensol Group. The investigation uncovered that loans totaling ₹977.75 crore, sanctioned by state-run lenders IREDA and PFC to purchase 6,400 electric vehicles, had been grossly misused. Only 4,704 vehicles were procured, with ₹207 crore remaining unaccounted for.
The regulator mapped a complex web of alleged fund diversions, pointing toward promoter-linked entities including Capbridge Ventures and Go-Auto, many of which appear to have been used for personal expenses. A breakdown of spending includes:
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₹1.35 crore in foreign currency transactions
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₹1.5 crore to Mayo Design and TaylorMade, allegedly for home and golf luxury items
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Over ₹50 lakh in credit card payments and designer purchases
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₹11.75 lakh for a Gurgaon apartment
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Transfers to relatives under questionable justifications
The SEBI report describes a “complete breakdown of corporate governance,” with auditors denied access to books, manipulated records submitted to rating agencies, and misleading disclosures to investors.
Once Icons of Clean Tech, Now Poster Boys of Regulatory Reform?
Anmol and Puneet Singh Jaggi, who co-founded Gensol Engineering and BluSmart Mobility, were viewed as champions of India’s green tech revolution. Their meteoric rise, however, now appears emblematic of a larger rot within the startup ecosystem—where explosive growth has frequently outpaced regulatory compliance.
Investors and analysts are drawing parallels with other recent corporate crises, including the Byju’s governance collapse, pointing to a need for sweeping reforms in startup accountability. As scrutiny intensifies, SEBI has ordered a forensic audit, and multiple agencies are expected to review related loan disbursement and disclosures.
Despite the firestorm, Gensol has publicly stated it will “fully cooperate” and denied any plans for a merger or sale. The company acknowledged investor concerns and blamed media coverage for its collapsing share price, promising to “remain focused on operational stability.”
The Road Ahead
As SEBI moves toward a full hearing, the implications of the Jaggi case may extend far beyond the boardrooms of Gensol and BluSmart. With over $10 billion in VC investments flowing into Indian startups in the past year, experts say this case could prompt a major recalibration in how the country oversees high-growth enterprises.
“The bubble of unregulated ambition is bursting,” said one venture capitalist on condition of anonymity. “This is a wake-up call—not just for founders, but for regulators, investors, and policymakers.”