Following the revelation of a large fraud by the capital markets regulator, the shares of Gensol Engineering Limited, the parent company of EV manufacturer BluSmart, fell by a further 5% on Thursday, bringing the overall decline from the 52-week high of Rs 1,124.90 to roughly 90%.

Following the Securities and Exchange Board of India’s (SEBI) interim ruling that exposed significant financial irregularities and prohibited the company’s proprietors from holding any leadership positions, there has been a sharp fall.

On Thursday, Gensol’s shares remained stuck in the lower circuit of the National Stock Exchange (NSE) at Rs 116.54.

Since SEBI accused Gensol’s proprietors, Anmol Singh Jaggi and Puneet Singh Jaggi, of large-scale money diversion, the stock has been heavily pressured to sell.

The Jaggi brothers are not allowed to access the securities market or hold any important management roles in firms that are listed, according to the regulator.

Promoter Anmol Singh Jaggi reportedly moved firm cash to family members and for personal use, according to the SEBI investigation.

The decision states that Jaggi handed his mother Rs 6.2 crore and his wife Rs 2.98 crore.

Additionally, he spent a lot of business funds on luxuries, such as golf equipment that cost Rs 26 million, Titan shopping that cost Rs 17 lakh, and spa treatments that cost more than Rs 10 lakh.

MakeMyTrip was used to spend around Rs 3 lakh on personal trips. The order also noted a Rs 50 lakh deal with Third Unicorn, a firm founded by Ashneer Grover, a co-founder of BharatPe.

Jaggi is accused of embezzling Rs 25.76 crore from BluSmart, using some of it for credit card payments, investments, foreign exchange, and other extravagant expenses.

BluSmart has apparently stopped scheduling rides and is preparing to join Uber’s fleet, which is further causing chaos.

In Bengaluru, the business has reportedly started rebranding its electric taxis as Uber Green. Following the SEBI crackdown, the Jaggi brothers resigned from their senior positions, which prompted this action.

The rebranding process has already begun, according to an NDTV Profit ground report. Uber Green livery has started to be applied to a few BluSmart taxis at the Bengaluru airport.

According to the article, “a taxi driver at the location confirmed the transition and even shared a photo of a cab being repainted.”