India’s corporate world witnessed three major controversies in 2025, raising serious questions about corporate governance and exposing gaps in regulatory oversight. These included the collapse of a high-profile startup, a power struggle within the country’s most prestigious conglomerate, and a legal battle over billions of rupees following the death of a veteran industrialist.
1. Startup Failure: BluSmart and Gensol Collapse
The year began with the fall of a startup that aimed to challenge ride-hailing giants in India. BluSmart Mobility, founded by Anmol Jaggi and Puneet Jaggi, promised comfortable rides, green mobility, and reliable drivers. Their fleet, at its peak, had around 8,000 electric cabs, mostly leased from Gensol Engineering—a renewable energy EPC company also founded by the Jaggi brothers.
Drivers received fixed salaries and benefits like medical insurance, and customers enjoyed clean, electric cabs. However, in April, SEBI ordered a forensic audit on Gensol’s promoters for alleged misuse of funds, citing luxury apartment purchases and expensive golf equipment.
Following these allegations, BluSmart faced insolvency, and Gensol’s stock plummeted by nearly 99% from its peak. The collapse exposed severe lapses in internal controls and corporate governance.
2. Power Struggle in the Tata Group
Even India’s oldest and most respected industrial house, the Tata Group, faced a major internal conflict in 2025, challenging its long-standing consensus-based decision-making culture.
The dispute surfaced in September between two factions of the Tata Trusts: one led by chairman Noel Tata and the other by former trustee Mehli Mistry. Mistry, along with three other trustees, voted to remove Vijay Singh—a former Defense Secretary and close ally of Noel Tata and vice-chair Venu Srinivasan—from the Tata Sons board.
This boardroom conflict came nearly a year after Ratan Tata’s death and also involved discussions on the exit of Shapoorji Pallonji Group, which holds an 18% stake in Tata Sons. The standoff ended when Mehli Mistry resigned from the Tata Trusts, stating that he did not want to involve the Trust in disputes that could harm the group’s legacy.
3. Family Inheritance Battle: Sanjay Kapoor Estate Dispute
On June 12, 2025, industrialist Sanjay Kapoor passed away, triggering a legal battle between his current wife, Priya Sachdev, and children from his previous marriage to actress Karishma Kapoor.
The controversy centered around a will, which Karishma Kapoor’s children claimed was forged. Priya Sachdev was named as the heir to approximately ₹30,000 crore in assets. Sanjay Kapoor’s mother, Rani Kapoor, also challenged the will, questioning its validity.
Karishma Kapoor’s children, Samaira and Kiaan, filed a case in the Delhi High Court. Sanjay Kapoor’s sister, Mandira Kapoor, publicly accused Priya of attempting to seize the family estate through legal and financial maneuvers, claiming that Priya was not the rightful heir to the family’s wealth.
Conclusion
The year 2025 highlighted critical issues in India’s corporate and business landscape: startup failures due to governance lapses, internal conflicts in legacy conglomerates, and complex inheritance disputes involving billion-dollar assets. These controversies underscored the importance of robust corporate governance, transparency, and legal safeguards in protecting stakeholder interests.
If you want, I can also make a shorter, punchy version with just the key points that’s suitable for social media or a quick news digest. It’ll summarize all three controversies in 5–6 lines. Do you want me to do that?
