Capital markets regulator SEBI on Tuesday barred Gensol Engineering and its promoters, Anmol Singh Jaggi and Puneet Singh Jaggi, from accessing the securities markets until further notice in connection with a case involving fund diversion and governance lapses.
In addition, SEBI has prohibited both Anmol and Puneet Singh Jaggi from serving as directors or key managerial personnel at Gensol Engineering Ltd (GEL) until further orders, PTI reported.
Who is Anmol Singh Jaggi?
Anmol Singh Jaggi is the Chairman and Managing Director of Gensol Engineering Ltd, a major player in solar engineering, procurement, and construction (EPC) as well as electric mobility solutions.
Under his leadership, Gensol has executed more than 15 GW of renewable energy projects and manages a 4.5 GW solar operations and maintenance portfolio.
In 2019, Jaggi co-founded BluSmart Mobility, India’s first all-electric ride-hailing platform. Positioned as a green alternative to traditional cab services like Uber and Ola, BluSmart aims to reshape urban mobility with a focus on sustainability and zero-emission transport.
Education
Anmol Singh Jaggi completed his Bachelor of Technology (B.Tech) in Applied Petroleum Engineering from the University of Petroleum and Energy Studies (UPES), Dehradun, graduating in 2007.
What did the Sebi order say?
SEBI’s recent action against Gensol Engineering Ltd follows the downgrade of the company’s credit ratings due to concerns over liquidity problems and poor corporate governance, Reuters reported.
The market regulator revealed that Gensol took out loans worth ₹9.78 billion (around $114 million) from IREDA and PFC, a large portion of which was used to acquire electric vehicles for BluSmart, the electric ride-hailing service co-owned by Gensol’s promoters.
Although Gensol denies defaulting on the loans, SEBI referenced statements from IREDA and PFC, confirming that the company has indeed defaulted on its repayments. This has raised further concerns regarding Gensol’s financial practices and its association with BluSmart.
In a 29-page interim order, Sebi said, “The prima facie findings have shown mis-utilisation and diversion of funds of the company (GEL) in a fraudulent manner by its promoter directors, Anmol Singh Jaggi and Puneet Singh Jaggi, who are also the direct beneficiaries of the diverted funds”.
“The company has attempted to mislead Sebi, the CRAs (credit rating agencies), the lenders and the investors by submitting forged conduct letters purportedly issued by its lenders,” the regulator said.
The prima facie findings have shown mis-utilisation and diversion of funds of the company in a fraudulent manner by its promoter directors.
The noticees 1, 2 and 3 (GEL, Anmol and Puneet Singh Jaggi) are alleged to have violated the provisions of PFUTP (Prohibition of Fraudulent and Unfair Trade Practices) rules, it added.
(With inputs from agencies)
Leave a Reply