BluSmart halts bookings in NCR, Bengaluru as Sebi probes fund diversion

BluSmart co-founder Anmol Singh Jaggi has been accused by Sebi of diverting ₹26 crore from Gensol for personal expenses, including transfers to linked entities

Electric ride-hailing startup BluSmart has suspended ride bookings in several regions in Delhi-NCR and Bengaluru, raising questions about its operational future, according to a Moneycontrol report. While the app remains live on the Play Store, it no longer allows users to schedule rides — suggesting a potential pause in services.

 

BluSmart founder accused of misusing funds

The abrupt suspension follows troubling findings by the Securities and Exchange Board of India (Sebi) in an ongoing investigation involving Gensol Engineering, a company closely linked to BluSmart. Gensol, which leased electric vehicles (EVs) to BluSmart, is accused of misusing over ₹200 crore sanctioned for EV procurement. 

 

Sebi alleges that BluSmart co-founder Anmol Singh Jaggi redirected ₹25.76 crore from Gensol to personal accounts and related entities — including a transfer to Third Unicorn, a startup founded by Ashneer Grover. Following the revelations, Sebi barred Gensol and associated entities from trading in the securities market and temporarily disqualified the promoters from holding directorial or key managerial roles.

 

Is BluSmart closing operations?

Earlier this week, reports surfaced suggesting that BluSmart may be winding down its core ride-hailing business and transitioning into a fleet partner for Uber. Several media outlets reported that the shift would begin with the transfer of 700–800 EVs to Uber’s platform, though no official timeline has been disclosed.

 

Uber, which launched its own electric vehicle service, Green, in 2023, aims to deploy 25,000 EVs through partners such as Everest Fleet, Lithium Urban Technologies, and Moove.

 

High-profile exits deepen uncertainty

These developments come in the wake of a series of senior leadership exits at BluSmart. Last month, CEO Anirudh Arun, Chief Business Officer Tushar Garg, and Chief Technology Officer Rishabh Sood stepped down. Their departure was widely viewed as a sign of the company’s mounting financial and operational challenges.