The Enforcement Directorate has asked the Bureau of Immigration to issue a look-out circular against Puneet Singh Jaggi and Anmol Singh Jaggi, the promoters of Gensol Engineering Ltd, in connection with an investigation into the diversion of funds from the scam-hit company, reports said on Friday.
A portion of the loans raised by Gensol from financial institutions is suspected to have been diverted overseas in violation of the Foreign Exchange Act (FEMA). Investigations are on to collection information on other firms linked to the Jaggi brothers that may have been used as front companies to route funds to foreign accounts, an NDTV Profit report said.
Anmol Singh Jaggi is reportedly in Dubai, while Puneet Singh Jaggi was questioned by ED officials for over 6 hours in connection with the case on Thursday. Earlier in the day, a news report had cited sources to say that Puneet Singh Jaggi had been taken into custody, but a senior ED official later denied any arrest or detention of the businessman.
The ED has searched multiple premises in Delhi, Gurugram, and Ahmedabad linked to the Jaggi brothers. The ED is investigating suspected foreign exchange violations involving unauthorised remittances of around Rs 200 crore to Rs 300 crore.
Government-owned Power Finance Corporation Ltd (PFC) has already filed a complaint with the Delhi Police against Gensol Engineering Ltd for allegedly filing false documents to take loans for buying electric vehicles.
The public sector undertaking said it is also examining the matter internally under its anti-fraud policy. The investigation will focus on tracking missing delivery receipts for EVs financed by the PFC.
Gensol had taken loans to the tune of Rs 978 crore from the PFC and the Renewable Energy Development Agency (IREDA) to buy electric vehicles for running an online green taxi service, which had become quite popular in Delhi NCR and Bengaluru.
These loans were supposed to be used for buying EVs, but over Rs 200 crore of the amount was routed through a car dealership and sent to other companies linked to the promoters. Some of the money was used for luxury purchases, including flats in DLF Camellias, where the price of an apartment starts at Rs 70 crore. A SEBI investigation revealed that Gensol has not been able to account for Rs 262.13 crore of the amount.
On April 15, 2025, the SEBI released a detailed interim order showing what went wrong at Gensol. The order said the promoters of Gensol, including the Jaggi brothers, had treated the company like their personal ‘piggy bank’. There were no proper financial controls in place, and the promoters had diverted loan money to themselves or related entities.
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