BluSmart Engages Grant Thornton for Forensic Audit Amid SEBI Probe into Co-Founder’s Financial Misconduct

BluSmart Mobility, India’s all-electric ride-hailing pioneer, has appointed global consulting firm Grant Thornton to carry out a forensic audit of its financial records, according to a report by Reuters.

The move comes in the wake of allegations of fund misappropriation against co-founder Anmol Jaggi, prompting regulatory action from the Securities and Exchange Board of India ( SEBI ).

Republic Business could not independently verify the development as BluSmart founders were unreachable for comments. Neither BluSmart nor Grant Thornton has issued a formal statement so far. Gensol Engineering, meanwhile, has pledged full cooperation with the ongoing probe.

According to sources cited by Reuters, the audit will delve deep into BluSmart’s financial operations, tracking fund flows and evaluating internal controls. The objective is to determine whether investor and loan funds were diverted, as alleged by SEBI.

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One person aware of the situation described the startup’s liquidity status as “alarming,” hinting at possible financial irregularities.

The controversy centers around a reported $78 million in loans obtained by Gensol Engineering—an EV leasing firm linked to BluSmart and also co-founded by Jaggi brothers.

SEBI has reported that the funds were misused for personal luxuries, including a Rs 42 crore apartment and a Rs 25 lakh golf set. The regulator has since barred Jaggi and his brother from accessing the capital markets and has ordered a forensic review of Gensol as well.

Following the mounting scrutiny, BluSmart suspended its services last week. The company operated a fleet of over 8,000 electric taxis across cities like Delhi, Mumbai, and Bengaluru, and had grown its market share to around 9% in the capital by 2023.

The decision to initiate the audit was taken at the board level, with active involvement from key investors, including BP Ventures—British energy giant BP’s investment arm, and one of BluSmart’s prominent backers.

While BP Ventures declined to comment on the current situation, insiders say the firm is closely tracking the developments.

The scandal has sent shockwaves through the electric mobility ecosystem, casting a shadow on investor sentiment and raising broader concerns about corporate governance in India's emerging EV sector, as per industry observers.

Gensol shares have plunged nearly 90% this year, underscoring the depth of market concerns.