BluSmart, once seen as a competitor to Uber and Ola in India’s electric ride-hailing space, has been rebranding its fleet under Uber Green, as per a report by NDTV Profit. The move comes after the company halted cab bookings across Delhi-NCR, Bengaluru and Mumbai due to a major financial fraud, involving its financial backer Gensol Engineering, that SEBI had flagged this week. The company, which took a Rs 900 crore loan for EVs, has allegedly diverted Rs 262 crore to purchase a DLF Camellias flat.
NDTV Profit reported that BluSmart, which is co-founded by Gensol’s Anmol Singh Jaggi, is in discussions with Uber India to lease out 8,000 to 1,000 EVs under the Uber Green brand. The company has been changing the livery of a few cabs to Uber Green, the outlet quoted that a taxi driver in Bengaluru confirmed.
Company’s email to employees
As part of the transition, the drivers were instructed to stop accepting bookings for three-four days due to an internal “audit”. NDTV Profit reported that as many as 200 cabs are sitting idle at a charging facility in Bengaluru’s Sarjapur.
The company, in an email to employees per the outlet, said, “Due to vehicle audits, operations will be temporarily halted for the next few days starting tomorrow.”
It added, “As soon as the audit is completed and operations resume, you will be called back immediately. You will receive a message for slot booking.”
Company to customers after Gensol fraud
In an email to its customers, the company said, “We’ve decided to temporarily close bookings on the BluSmart app. We truly appreciate your support. While we strive to be back soon to serve you with the same warmth and smile, we will initiate a refund within the next 90 days if services do not resume before then.”
Although users can still download the app, all booking slots remain marked as unavailable.
What is Gensol Engineering fraud?
SEBI, in a 20-page interim order, stated that Gensol diverted Rs 262.13 crore from a Rs 663.89 crore EV loan from IREDA and PFC to procure 6,400 EVs. However, they only bought 4,704 EVs worth Rs 567.73 crore and diverted the remaining funds through a former employee’s company, Wellray Solar Industries, to related parties, including large transfers to the Jaggi brothers for personal use.
Wellray Solar Industries, a company owned by a former Gensol employee, was functioning as the main organisation to move funds. It received Rs 424.14 crore from Gensol over two financial years and transferred Rs 246.07 crore to Gensol-related parties, including Rs 25.76 crore directly to Anmol and Rs 13.55 crore to Puneet.
SEBI noted that a company called Capbridge Ventures LLP paid Rs 42.96 crore to DLF for the apartment. The company, in which both Jaggi brothers are partners, received funds from Go-Auto, which on the same day received Rs 93.88 crore from Gensol. Gensol received Rs 71.41 crore from IREDA and Rs 26.06 crore from another account.
The advance booking for the flat was paid by Anmol’s mother, Jasminder Kaur, using Gensol’s funds. When they got their advance amount back, they diverted it to Matrix Gas and Renewables, another Jaggi-controlled entity.
Further transactions included the purchase of a Rs 26 lakh golf set, over Rs 1.8 crore in foreign currency (AED), Rs 17.28 lakh to Titan Company, spa sessions worth Rs 10.36 lakh, and an investment of Rs 50 lakh in Ashneer Grover’s startup, Third Unicorn.
SEBI also revealed that Wellray handled 99% of its trading in Gensol’s stock, conducting over ₹338 crore in share transactions from November 2022 to November 2024. These trades were allegedly funded by Gensol itself, inflating the company’s stock value artificially.
The probe began in June 2024 after SEBI received complaints about stock manipulation and fund diversion. During a site visit to Gensol’s Pune plant, officials found no manufacturing activity, despite the company’s claims of receiving 30,000 pre-orders for a new two-seater EV. Electricity bills suggested minimal operations, with consumption under Rs 1.6 lakh monthly.
‘…our job is to punish them’: SEBI Chair
“There will be companies like Gensol in the system. Sebi’s job is to find and punish them,” SEBI Chairperson Tuhin Kanta Pandey was quoted by India Today as saying.
How to Request a Wallet Refund from BluSmart?
As part of ongoing investigation by SEBI into Gensol Engineering, the company that backs BluSmart, over fund misappropriation, customers can get their money back from the wallet by following the below steps.
1- Log in to your BluSmart mobile app.
2- Navigate to the Help section by clicking on the menu in the top-left corner.
3- Select ‘Blu Wallet’.
4- Tap ‘Does this resolve your issue’ and tap the thumb-down icon.
5- A BluSmart chat support window will now open where you can contact their team and request a refund.