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Startup Deep Dive : Gensol Engineering — the Rs 978 crore EV loan behind a SEBI fraud order

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The Invincible India Startup Deep Dive featured graphic for Gensol Engineering.

Gensol Engineering raised ₹977.75 crore ($102 million) in loans from two government lenders between FY22 and FY24 to buy 6,400 electric vehicles for leasing to BluSmart. Only 4,704 vehicles, worth ₹567.73 crore, were ever delivered — and a Securities and Exchange Board of India (SEBI) order says part of the missing money paid for a Gurugram luxury apartment and a ₹26 lakh golf set.

Fourteen months earlier, credit rating agency ICRA had reaffirmed Gensol’s debt at investment-grade BBB-. By March 2025 it had cut that rating seven notches to D, the default grade, after discovering that letters the company submitted to prove timely loan repayment had allegedly been forged. This is the story of how a small Ahmedabad solar-engineering firm became, in the space of a year, both a stock-market favourite and the centre of one of India’s most closely watched corporate-governance investigations — and of the ride-hailing company, BluSmart, that its own promoters built on top of the same borrowed capital.

Quick facts

Company Gensol Engineering Limited
Founded 2007, as Gensol Consultants (renamed Gensol Engineering); headquartered in Ahmedabad
Founder(s) Anmol Singh Jaggi (Chairman and Managing Director) and Puneet Singh Jaggi (co-promoter and director); both barred from directorship/KMP roles by SEBI in April 2025
Businesses Solar EPC (engineering, procurement, construction and O&M for solar projects), EV leasing (via Gensol EV Lease, primarily to BluSmart), and EV manufacturing at a Chakan, Pune plant
Latest audited FY revenue ₹963 crore, FY24 (year ended 31 March 2024), consolidated, per Screener.in
Latest audited FY profit Net profit of ₹53 crore, FY24; FY25 accounts are qualified by an ongoing forensic audit and are not treated as reliable in this piece
Listed 15 October 2019, BSE SME platform (IPO priced at ₹83/share); now trades on the NSE and BSE mainboard
Market value About ₹64.8 crore as of this session (share price ₹16.8), down roughly 99% from its all-time high of ₹1,377.10 on 20 February 2024, per Screener.in
Key shareholders / control Promoter holding fell from about 96% at the 2019 IPO to 62.65% (31 December 2024) to 35.87% (March 2025 quarter, with 95.1% of that pledged); company has been under an interim resolution professional since June 2025

What they do

Gensol Engineering is a listed Ahmedabad company that, until 2025, described itself as running two connected businesses. The larger and older one is solar engineering, procurement and construction (EPC): it designs and builds rooftop, ground-mounted and floating solar plants for developers, public-sector utilities and government agencies, and also sells engineering advisory and operations-and-maintenance services once a plant is running. Gensol has executed more than 770 MW of solar projects and, as of April 2024, reported an order book of ₹1,783 crore for the year ahead, alongside large individual awards such as a ₹967.98 crore EPC contract for a 245 MW project at the Khavda Renewable Energy Park in Gujarat. The newer, faster-growing business was electric mobility: buying EVs and leasing them, chiefly to BluSmart Mobility, the ride-hailing app co-founded by the same two brothers who ran Gensol, and building an EV-manufacturing plant at Chakan near Pune with a disclosed capacity of up to 30,000 vehicles a year. It is this second business — financed almost entirely with borrowed money from state-owned lenders — that pulled the company into a fraud investigation in 2025.

The origin

Anmol Singh Jaggi, who studied applied petroleum engineering at the University of Petroleum and Energy Studies in Dehradun, started Gensol Consultants in 2007, before India’s solar sector had scaled up, betting that project developers would need specialised engineering and construction partners rather than trying to build solar plants in-house. His younger brother, Puneet Singh Jaggi, an alumnus of IIT Roorkee, joined as co-promoter. The firm renamed itself Gensol Engineering and spent a decade as a workmanlike solar EPC contractor before going public on the BSE’s SME platform in October 2019, raising a modest ₹17.93 crore at ₹83 a share — a small-company listing, not the launch of an obvious market darling. The founding insight that later defined the company was less about solar than about capital: the brothers realised that the same government financing designed to accelerate India’s green-energy transition — cheap, mission-aligned loans from renewable-energy lenders — could also fund a second, EV-leasing business built around a ride-hailing venture they controlled, BluSmart, which launched in January 2019 with a separate co-founder, Punit K Goyal.

The struggle years

Gensol’s early years as a public company were unglamorous. Its stock touched an all-time low of ₹15 on 22 June 2021, per Screener.in, reflecting a thinly traded SME listing with little institutional attention through the pandemic years, while the core EPC business grew slowly on the back of India’s early utility-scale solar buildout. The real struggle, though, was not visible in the share price until 2025 — it was structural, and it had been building since the company started drawing large loans from the Indian Renewable Energy Development Agency (IREDA) and Power Finance Corporation (PFC) between FY22 and FY24, ostensibly to buy 6,400 electric vehicles for its leasing arm.

None of this was softened by the fact that, on paper, the company was reporting some of its best-ever numbers right up to the point of collapse: FY24 revenue had grown 147% year-on-year and the December-2024 quarter still showed profit growth, per Business Upturn’s review of Q3 FY25 results.

The turning point

The hinge event was SEBI’s interim order of 15 April 2025, built on a forensic reading of where the IREDA-PFC EV loans actually went. Before the order: Gensol’s stock had hit an all-time high of ₹1,377.10 on 20 February 2024, promoter shareholding stood near two-thirds of the company as late as December 2024, and ICRA had rated its debt investment-grade five months earlier. After the order: SEBI found that of the ₹977.75 crore raised, ₹775 crore was routed to EV vendor Go-Auto Private Limited, which supplied only 4,704 of the 6,400 promised vehicles, worth ₹567.73 crore — leaving a shortfall reports have put at between roughly ₹207 crore and ₹262 crore depending on the calculation basis (cashahnawaz.com’s review of the order; BusinessToday, 16 April 2025). SEBI’s order traced a portion of that gap through related-party channels: ₹50 crore moved from Go-Auto to Capbridge Ventures LLP — a partnership in which the Jaggi brothers are partners — on the same day Go-Auto received it, and ₹42.94 crore of that was paid to DLF Limited within three days for a luxury apartment in “The Camellias” project in Gurugram. The order also itemised personal spending it attributed to loan proceeds: about ₹26 lakh on a TaylorMade golf set, ₹1.86 crore converted into foreign currency (UAE dirhams), lakhs more in credit-card and travel bookings by Anmol Singh Jaggi, and roughly ₹13.5 crore in personal and American Express-linked transactions attributed to Puneet Singh Jaggi (BusinessToday, 16 April 2025). A site inspection of the Chakan EV plant that SEBI’s team conducted, per the same report, found only two to three workers present and negligible power consumption — a physical check that undercut the company’s public narrative of a scaling EV manufacturing operation.

The money behind it

Unlike most companies profiled in this series, Gensol’s growth was not backed by marquee venture capital; it was funded through public markets and public-sector debt, which is central to why the fallout has been so severe.

What each lender changed, in effect, was scale: IREDA and PFC’s loans let Gensol’s EV-leasing book grow far faster than its EPC business or its own equity base could have funded, which is exactly the leverage SEBI’s order says was diverted rather than deployed.

How it makes money

The numbers

Figures below are consolidated, in ₹ crore, per Screener.in. FY25 and later figures are not included because Gensol’s accounts for that period are subject to the SEBI-ordered forensic audit and are not treated as reliable.

Year Revenue Net profit
FY21 64 3
FY22 160 11
FY23 398 23
FY24 963 53

On the last clean set of quarterly numbers before the scandal broke, Gensol reported Q3 FY25 (October-December 2024) revenue of ₹345 crore, up 30% year-on-year from ₹266 crore, with net profit of ₹18 crore, and nine-month FY25 revenue of ₹1,056 crore, up 42% year-on-year (Business Upturn’s review of company results, early 2025). Revenue nearly quadrupled from FY21 to FY24, a growth rate that itself should have invited more scrutiny of how a small EPC contractor was suddenly running a capital-intensive EV-leasing book at that pace.

Where the money comes from

The risks

The takeaway

Gensol’s collapse is a reminder that fast, debt-funded diversification into a business that sells almost exclusively to a company the same promoters also control is a governance red flag long before restated accounts or a regulator’s order confirm it. The lending institutions here were not anonymous banks assessing a borrower at arm’s length; they were development-finance lenders whose mandate was to accelerate India’s clean-energy transition, and the very mission alignment of that capital made it easier to wave through rapid disbursement against EV-purchase invoices that, per SEBI’s findings, were only ever partly real. The transferable lesson for anyone reading a growth story is simple: when a company’s fastest-growing revenue line is a related party, ask who is checking the invoice on the other side of that transaction — because in Gensol’s case, the answer turned out to be no one.

Frequently asked questions

What is Gensol Engineering accused of?

SEBI’s interim order, dated 15 April 2025, alleges that Gensol’s promoters, Anmol Singh Jaggi and Puneet Singh Jaggi, diverted a large part of ₹977.75 crore in loans from IREDA and PFC — raised to buy electric vehicles for leasing — into personal expenses and related-party entities, including a luxury Gurugram apartment, and that the company submitted forged documents to credit rating agencies. These are allegations from a regulatory order and ongoing investigations, not a final adjudicated finding of guilt.

Is Gensol Engineering still trading on the stock exchanges?

Yes, but its shares have collapsed. Per Screener.in, the stock traded around ₹16.8 in this session, down roughly 99% from its all-time high of ₹1,377.10 on 20 February 2024, and the company has been under an interim resolution professional since the NCLT admitted it to insolvency proceedings on 13 June 2025.

What happened to BluSmart, the ride-hailing app linked to Gensol?

BluSmart, co-founded by Anmol Singh Jaggi, Puneet Singh Jaggi and Punit K Goyal, leased most of its electric vehicle fleet from Gensol. When Gensol’s financing was frozen and its EV assets came under scrutiny following SEBI’s April 2025 order, BluSmart suspended ride bookings across Delhi NCR, Mumbai and Bengaluru and has not resumed normal operations since.

Where do the Jaggi brothers stand today?

Both have been barred by SEBI from holding director or key managerial positions at Gensol. Puneet Singh Jaggi was detained in Enforcement Directorate raids in April 2025, while Anmol Singh Jaggi has been reported to be in Dubai; the ED has sought look-out circulars against both, and the CBI registered a case against them in 2026 alleging forged lender documents. These are ongoing investigations.

Did Gensol’s business ever make money?

Yes, on the numbers reported before the scandal: consolidated revenue grew from ₹64 crore in FY21 to ₹963 crore in FY24, with net profit rising from ₹3 crore to ₹53 crore over the same period, per Screener.in. Whether those figures fully reflect the related-party dealings SEBI later flagged is one of the questions the ordered forensic audit is meant to answer.

Sources

Figures are as of September 2026. Currency converted at $1 ≈ ₹96.0 as of 18 September 2026 (Trading Economics).

Found an error? Write to us and we’ll correct it in the open, dated, on the piece.

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