CBI files FIR against Gensol, BluSmart co-founders for diverting IREDA loan funds

Anmol and Puneet Jaggi stepped down from the company as managing director and whole-time director, respectively, in May last year.

Updated on: Aug 19, 2026, 20:45:41 IST

By Neeraj Chauhan, NEW DELHI

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The Central Bureau of Investigation (CBI) has registered a case against Gensol Engineering Ltd (GEL) and its promoters - Anmol Singh Jaggi and Puneet Singh Jaggi - for alleged diversion of funds borrowed from the Indian Renewable Energy Development Agency Limited (IREDA).

FILE PHOTO: There has been no reaction from the promoters or the company to the development. Gensol didn’t respond to an email sent after office hours seeking comments. (REUTERS)

Other than Jaggis and GEL, its sister concern Gensol EV Lease Ltd and unknown persons have been named in the first information report (FIR), registered on July 31 on a complaint by IREDA.

Anmol and Puneet Jaggi stepped down from the company as managing director and whole-time director, respectively, in May last year.

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There has been no reaction from the promoters or the company to the development. Gensol didn’t respond to an email sent after office hours seeking comments.

Gensol’s financial irregularities

HT first reported on August 5 last year that investigations into Gensol’s alleged financial irregularities would be handed over to the CBI. The IREDA sent its complaint to CBI on July 23.

The Enforcement Directorate (ED) is already conducting a parallel money laundering investigation against Jaggi brothers and has already attached two apartments in Gurugram’s top-end condos, Camellias and Magnolias, registered in the name of a Gensol group company.

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According to market regulator, Securities and Exchange Board of India (Sebi), Gensol and its promoters received ₹977.75 crore in loans, of which ₹663.89 crore was meant specifically for the purchase of 6,400 electric vehicles (EVs). However, Gensol procured only 4,704 EVs — far less than 6,400 for which it had received funding.

According to SEBI, the total expected outlay for the EVs was around ₹829.86 crore. By that calculation, ₹262.13 crore remains unaccounted for.

Funds diverted

The regulator found that funds, in many instances, were routed to Anmol and Puneet either directly or indirectly. SEBI’s analysis revealed that some of these funds were used for purposes entirely unrelated to the sanctioned loans. These included personal expenses of the promoters, such as the purchase of a luxury apartment, transfers to relatives, and investments benefiting private entities owned by the promoters.

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According to the FIR, IREDA “suffered a loss of ₹453 crore (principal outstanding as on June 30, 2026) on account of Gensol Engineering Ltd and ₹218.97 crore on account of Gensol EV Lease Ltd, excluding interest and other applicable charges”.

HT has reviewed the FIR that accuses the two brothers of criminal conspiracy, cheating and forgery.

In its complaint, IREDA said its internal investigation revealed that there was forgery, misrepresentation and submission of false information to credit rating agencies by Gensol and loan funds were diverted instead of being used for the original purpose.

In January this year, ED said its probe had revealed that GEL and EV ride-hailing service BluSmart collaborated with Go Auto Private Limited (GAPL) in a criminal conspiracy to systematically divert public funds disbursed as loans from public lenders under the guise of expanding their electric vehicle fleet.

It is not clear if the Power Finance Corporation (PFC) has also filed a complaint with CBI.

ABOUT THE AUTHOR
Neeraj Chauhan
Neeraj Chauhan is a senior journalist with Hindustan Times and an investigative reporter specialising in national security, terrorism, organised crime, narcotics, corruption, financial crime and complex investigations. With over 21 years of experience across Hindustan Times, The Times of India, The Indian Express and The Pioneer, he has built deep expertise in India’s internal security and law-enforcement landscape. Neeraj has extensively covered India’s principal investigative, intelligence and security agencies, including the NIA, CBI, ED, IB, R&AW, MHA and other central security forces. His work has included deeply reported investigations into terrorism, terror financing, cross-border crime, narcotics trafficking, cybercrime, financial fraud and political and corporate corruption. He has reported on some of the most significant terror attacks and security developments in India over the past two decades, including the Delhi serial blasts, the 26/11 Mumbai attacks, the 2019 Pulwama terror attack and the recent Pahalgam attack. His reporting has also chronicled the rise and decline of the Indian Mujahideen, the activities and subsequent crackdown on the Popular Front of India (PFI), Islamist extremist networks, the conflict in Jammu and Kashmir, insurgencies in the Northeast and Maoist violence. Some of Neeraj’s major breaking stories are in Aryan Khan drug case, Sushant Singh Rajput suicide, interception of a 3,000-kg Afghan heroin consignment worth about ₹21,000 crore at Mundra port, Sri Lanka easter bombings, Aarushi-Hemraj murders in Noida, 2G scam, coal block allocation scam, AgustWestland VVIP chopper deal and major bank frauds and extradition cases involving Mehul Choksi, Nirav Modi and Vijay Mallya. His reporting is marked by an ability to cultivate sources, analyse confidential and complex documents, and follow investigations over several years—from the initial breakthrough to chargesheets, trials and international legal proceedings. He specialises in making complicated security and investigative developments accessible while examining their wider implications for governance and public policy. A Chevening South Asia Journalism Programme Fellow at the University of Westminster, Neeraj also spent time at the Financial Times as part of the fellowship. He was also a Robert Bosch Media Ambassadors India-Germany Fellow, studying at the University of Tübingen and working with Der Tagesspiegel in Berlin. He has previously taught investigative journalism and crime reporting as a guest faculty member at the Times School of Journalism. Over more than two decades, Neeraj has established himself as an authoritative voice on India’s national security and investigative landscape, with his reporting closely followed by officials, investigators, lawyers, policymakers and readers seeking insight into some of the country’s most complex and consequential developments.Read More

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