Corporate Governance Lapse: Green Funds, Grey Deals-Misusing EV funds to Cammalies, Gurgaon.

The world is moving towards Green future and Gensol Engineering Ltd. Comes forward to charge this initiative with EV ambitions but this ambition becomes a cautionary tale of Corporate misconduct.

The Noble Mission to power India’s gree mobility revolution has now unravelled into a saga of financial misappropriation and regulatory crackdowns.

How it has started: -

The EV Pitch That Turned Heads

From 2021 and 2024, Gensol secured hefty term loans worth ₹978 crore from state-backed lenders IREDA and PFC. The mission for securing this loan was, To purchase 6,400 electric vehicles for BluSmart, a rising name in sustainable urban transport. With ₹664 crore earmarked for EV purchases and an additional 20% equity infusion, the total capital deployment was projected at ₹830 crore.

So far, so good.

₹262 Cr Hole.

By Start of 2025, Gensol reported having procured only 4,704 EVs, spending ₹568 crore—leaving a suspicious ₹262.13 crore gap. Where did the rest go?

SEBI’s interim investigation uncovers the unsettling truth.

Luxury Living with Green Funds?

The money trail begins at Go-Auto, the EV supplier, where funds were routed. Instead of going toward vehicles, large sums were mysteriously redirected back to Gensol or to Capbridge, a related party(a firm controlled by Anmol Singh Jaggi). From there, ₹42.94 crore landed at DLF, funding an apartment in the ultra-luxury Camellias project in Gurugram.

SEBI Slams the Brakes

On April 15, SEBI dropped the hammer.

• Anmol & Puneet Singh Jaggi were removed from all directorial posts

• Both were debarred from accessing the securities market

• Gensol’s stock split was frozen

• The company’s shares hit lower circuit, crashing 5%