BluSmart Faces Scrutiny from SEBI Over ₹262 Crore Fund Misuse; Trip Bookings Paused
New Delhi | April 17, 2025 — Electrical mobility startup BluSmart is at present below investigation by the Securities and Trade Board of India (SEBI) for alleged fund mismanagement totaling ₹262 crore. This has induced important disruption inside India’s startup scene, compelling BluSmart to halt journey bookings throughout its platforms.
SEBI Investigation Underway
Sources point out that SEBI’s inquiry was triggered by studies of irregular fund transfers, undisclosed transactions, and violations of agreements with buyers. Preliminary findings reveal {that a} appreciable portion of the ₹262 crore raised by way of fairness and debt might have been redirected to entities which have little or no connection to BluSmart’s main operations.
SEBI’s investigation features a thorough examination of economic statements, transaction histories, and investor communications courting again to 2022, alongside a commissioned forensic audit.
Trip Bookings Suspended Amid Uncertainty
In an sudden announcement, BluSmart said the suspension of all journey bookings, citing “technical upgrades and operational restructuring.” Nevertheless, business insiders counsel this resolution is instantly tied to the continuing investigation and potential inner audits.
Customers have expressed their confusion and frustration on social media, because the BluSmart app and web site at present show no journey availability in key cities similar to Delhi-NCR and Bengaluru.
Investor Issues Enhance
BluSmart has established itself as India’s premiere all-electric ride-hailing service, having raised over $100 million (roughly ₹830 crore) from buyers together with BP Ventures, Mayfield India, and Inexperienced Frontier Capital. The present situation has alarmed stakeholders, with some calling for an pressing board assembly.
A senior govt from one of many investing corporations famous, “We’re intently monitoring the scenario with BluSmart’s management and await the result of the SEBI investigation. Any violations of belief or governance will necessitate corrective actions.”
Potential Business Affect
This controversy arises at a crucial second as India aggressively promotes electrical mobility by means of subsidies and collaborations. Consultants warn that this incident may undermine investor confidence within the electrical automobile sector, significantly relating to startups reliant on overseas and institutional funding.
BluSmart’s Place
Whereas BluSmart has not offered a complete assertion, a spokesperson has assured, “We’re absolutely cooperating with regulatory authorities. Our precedence stays to be clear, compliant, and to keep up the belief of our prospects and buyers.”
What Lies Forward?
With SEBI’s investigation progressing, consideration turns to BluSmart’s subsequent steps—whether or not it may successfully handle the allegations, resume operations, and rebuild stakeholder belief. Moreover, regulatory our bodies are anticipated to extend scrutiny over startup funding practices shifting ahead.
