MCA launches suo motu probe into Gensol Electric, firm’s regulatory filings will be examined: Sources

Sources told Business Toys TV on Sunday that the Ministry of Companies Affairs (MCA) began to achieve Suo Motu at Gensol Electric. The sources said that the ministry is looking into violations in Gensol Electric, adding that Suo Moto has started and the company’s files and company accounts will be examined. The sources added that any action against the company depends on the results of the investigation. No timetable has been fixed to inquire yet.

This development comes in the wake of a temporary order approved by the Securities and Stock Exchange Council in India (SEBI) that prevented the Gensol Anmol Singh Jaggi and Puneet Singh Jaggi from participating in the stock market and who held any position as a manager or major administrators in any listed company.

Sebi launched the procedure after receiving complaints about the manipulation of arrow and shortening prices. The organization’s investigation has found widespread widespread money for the company’s funds and intense phones in the financial controls. “The promoters were running a listed public company as if it were a suitable company,” Sibi said in her temporary order.

“The primary results of the face showed misuse and the transfer of the company’s funds in a fraudulent manner by its promotional managers, Anmol Singh Jaggi and Puneet Singh Jaggi, who are also the direct beneficiaries of the limited funds,” added.

According to SEBI, Gensol got loans of up to 975 rupees from institutions including the Indian Renewable Energy Development Agency (Ireda) and Power finance (PFC) to buy electric cars. However, only a small part of the money was used for the specified purpose.

More than 200 rupees were directed through the auto agency and then transferred to entities linked to promoters. Sebi results indicate that some of these funds were used for personal purchases, including expensive properties. Sibi said that the promoters “dealt with the company’s money like their pork,” which directs the money to the relevant parties and for non -commercial activities.

These funds transfer operations may be removed from the company’s books, causing potential losses to shareholders. In addition, Sebi revealed the provision of fake documents to credit rating agencies aimed at showing the payment of loans in a timely manner. The organizer noted that even loans with a photo-which were strictly redirect for specific commercial purposes-have been arbitrary. The investigation highlighted the absence of strong internal systems in Gusol.

Gensol Engineering is working in renewable energy space, mainly focusing on Solar EPC projects (engineering, purchases and construction). In recent years, it has also been involved in electric car rental.

While the company reported a strong growth – as it recorded revenues of 61 rupees in the fiscal year 17 to 1,152 rupees in the 24th fiscal year, with a net profit from 2 router crores to 80 rupees – SEBI note that the promoter contribution decreased from 70.72 % in 20 to 35 % in the square. This sharp decrease in ownership was marked as disturbing during the investigation.