‘Victim’ Ashneer Grover Defends Rs 1.5 Cr BluSmart Investment Amid SEBI Probe Into Gensol

Markets regulator SEBI has cast a spotlight on the financial dealings of Gensol Engineering Ltd and its promoter Anmol Singh Jaggi — a move that’s now rippling into the startup ecosystem.

Among the entities linked to the ongoing investigation is BluSmart, the electric mobility startup co-founded by Jaggi, which is now facing scrutiny following revelations of alleged fund diversion.

According to SEBI’s interim order dated April 15, 2025, Jaggi’s investment in Ashneer Grover’s new venture, Third Unicorn Pvt Ltd, formed part of a wider pattern of suspicious transactions involving Gensol-linked entities. The order states that Jaggi acquired 2,000 shares of Third Unicorn for Rs 50 lakh and held the stake as of March 31, 2024.

Ashneer Grover Connect to BluSmart?
Responding to media coverage, Grover disclosed on X (formerly Twitter) that he has personally invested ₹1.5 crore in BluSmart and ₹25 lakh in Matrix, another company associated with Jaggi.

“In fact, I am the ‘victim’ of the current scenario,” Grover said, distancing himself from the financial irregularities flagged by SEBI.
He added, “I hope the business / company can survive the current fiasco for the sake of its stakeholders.”

No Red Flags in Investment Process, Says Grover
Grover emphasised that Third Unicorn Pvt Ltd had no responsibility to perform due diligence on the source of funds of its investors. He stated that all incoming investors provide representations under the Share Subscription Agreement (SSA) and Shareholders' Agreement (SHA) confirming the legality of their funds.

Read More 
Gensol Engineering SEBI Order: Rs 50 Crore Flat, Startup Investment, And Others – How BluSmart Promoters' Misused Funds?


“A private limited company is not liable for the conduct of a shareholder or for ascertaining their source of funds,” he said, pointing out that this is a global norm in the startup ecosystem.

SEBI's Actions
To hold Gensol accountable, SEBI has ordered a forensic audit of Gensol’s accounts and those of its related entities. This audit will help determine the full extent of the financial mismanagement. Additionally, SEBI has suspended Gensol’s planned stock split, which was intended to attract more retail investors, until further investigation is completed.