ED Detains BluSmart Cofounder Puneet Jaggi In Gensol Group Case

The Enforcement Directorate (ED) detained blusmart co-founder Puneet Jaggi from a Delhi hotel on Thursday, after conducting raids related to Gensol Engineering Ltd, according to PTI.

The raids were carried out at company offices in Delhi, Gurugram, and Ahmedabad under the Foreign Exchange Management Act (FEMA).

Both Puneet and his brother Anmol were already being investigated by the ED after SEBI found that Gensol Engineering took loans from Power Finance Corporation and IREDA to buy electric vehicles and work on projects. But instead of using the funds as planned, the company allegedly used it to buy assets in the names of the promoters, their relatives, or shell companies.

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Sources say the ED will soon file a money laundering case after the Delhi Police’s Economic Offences Wing registers a formal complaint from IREDA and PFC.

This development comes just a day after reports said the ED planned to question the Jaggi brothers about a separate Rs 20,000 Cr betting scam linked to the Mahadev Book app.

Recently, the ED froze over 5 lakh shares of Gensol Engineering, suspecting price manipulation by a Dubai-based firm, Zenith Multi Trading DMCC.

Adding to the trouble, BluSmart co-founder Punit K Goyal posted on social media to distance himself from the Jaggi brothers. 

Meanwhile, BluSmart is reportedly struggling with cash, hasn’t paid March salaries, and might miss April salaries too if new funds don’t come in. The company has also paused its services, facing a serious financial crunch.

Earlier this month, SEBI raised concerns over misuse of funds by Gensol’s promoters and announced an audit of Gensol and its related companies, including BluSmart.

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