IREDA Identifies Gensol Engineering and Gensol EV Lease as Fraudulent; Reports to RBI

The state-owned Indian Renewable Energy Development Agency Ltd (IREDA) announced on Friday (July 10) that it has classified the loan accounts of Gensol Engineering Ltd and its subsidiary Gensol EV Lease Ltd as fraudulent and has reported this to the Reserve Bank of India (RBI) as per regulatory requirements.

The agency stated that this action was taken in accordance with the Reserve Bank of India Master Direction – Fraud Risk Management in Non-Banking Financial Companies (NBFCs) Directions, 2024.

IREDA reported that Gensol Engineering Ltd was marked as fraud due to misappropriation, criminal breach of trust, and forgery aimed at committing fraud through the creation of false documents and/or electronic records.

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The outstanding balance in Gensol Engineering’s account was ₹453.77 crore, with IREDA having made 85% provisions as of March 31, 2026.

The account of Gensol EV Lease Ltd, a subsidiary of Gensol Engineering, has also been declared fraudulent due to misappropriation and criminal breach of trust. The outstanding amount in Gensol EV Lease’s account was ₹218.97 crore, with 85% provisions noted as of March 31, 2026.

Brothers Anmol Singh Jaggi and Puneet Singh Jaggi, who promote both Gensol and BluSmart, are facing regulatory scrutiny by the Securities and Exchange Board of India (SEBI) for alleged diversion of loan funds intended for electric vehicle purchases.

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SEBI has imposed a ban on the duo from participating in capital markets, preventing them from holding positions in listed companies. Gensol Engineering specializes in solar consulting services, engineering, procurement, and construction (EPC) services, as well as leasing electric vehicles, among other operations.

In June 2024, SEBI received a complaint regarding the manipulation of share prices and the diversion of funds from Gensol, leading to an investigation. SEBI has also instructed Gensol Engineering to delay its proposed stock split of 1:10.

Shares of Indian Renewable Energy Development Agency Ltd closed at ₹126.40, an increase of ₹4.65, or 3.82%, on the BSE.

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