Ashneer Grover’s Role in Gensol-BluSmart Fiasco Explained

Former BharatPe chief Ashneer Grover has addressed the ongoing Gensol‑BluSmart saga, denying any direct involvement in the fiasco. While some media reports speculated Grover’s involvement in the case, the Shark Tank India fame tells a different story.

In a post on X (formerly Twitter), Grover criticised media reports for unfairly linking him to the issue. Calling himself a “victim” of the fiasco, he added that his personal investments of ₹1.5 crore in BluSmart and ₹25 lakh in Matrix are at risk.

Grover emphasised that he holds no operational role in either company and offered to share his financial records to prove the legitimacy of his involvement, arguing that private companies are not responsible for verifying shareholders’ fund sources.

This comes after the Securities and Exchange Board of India (SEBI) revealed that Anmol Singh Jaggi, a Gensol promoter, invested ₹50 lakh in Grover’s fintech start‑up Third Unicorn and reports claiming the funds were diverted from Gensol’s coffers.

The Background

SEBI’s interim order against Gensol Engineering Limited, Anmol Singh Jaggi and Puneet Singh Jaggi highlighted Anmol Jaggi’s purchase of 2,000 shares by investing ₹50 lakh in Third Unicorn Pvt Ltd during the seed funding round in February 2023.

SEBI’s examination of Jaggi’s bank statements prima facie indicated that his investment in Third Unicorn were diverted funds probably transferred from Gensol Engineering via a related entity.

Shortly after the order was issued, several stories speculated on Ashneer Grover’s involvement in the fiasco as his camaraderie with Jaggi had been public.

In April 2023, Grover sent Jaggi a copy of his book Doglapan with a hand‑written note that read, “With you, I want to beat Ola + Uber. Think and do big.”

Later, Jaggi shared a photo of the note on LinkedIn, writing, “Ashneer Grover bhaiya, thanks for the personally signed copy of your book. Super proud to be on your friend list,” and added, “Getting wisdom from you is key to success.”

Investment Exchanges

Soon after Anmol Singh Jaggi invested ₹50 lakh in Third Unicorn, Grover participated in the pre‑IPO funding round of Matrix Gas & Renewables, a company promoted by Jaggi and identified as a related party to Gensol Engineering.

According to the company’s draft red herring prospectus, Ash Grove LLP, a limited liability partnership where Grover and his wife Madhuri Jain are designated partners, also invested in this round. Together, Grover and Ash Grove LLP invested around ₹1 crore in Matrix Gas & Renewables in 2023.

In 2022, Grover revealed that he was investing ₹1.5 crore in Jaggi’s ride‑hailing start‑up BluSmart.

Can Ashneer Grover be Blamed?

A private limited company under the Companies Act, 2013, is a separate legal entity from its shareholders, whose liability is usually limited to any unpaid amount on their shares, thus protecting personal assets from corporate debts or wrongdoing.

At present, SEBI has not directly charged Grover; therefore, legally he cannot be held responsible for Gensol Engineering’s lapses.

Legally, Ashneer Grover is not responsible for Gensol Engineering's problems. Being a passive investor with no operational control, Indian law shields him under the corporate veil. Unless there is clear proof that he was directly involved in any wrongdoing or a court decides to lift that protection, there is no basis to hold him responsible for the Gensol lapses.