Gensol Engineering, a company involved in renewable energy and electric vehicle (EV) services, recently made headlines after a sharp drop in its stock price. The stock price of Gensol Engineering has fallen by a big margin and SEBI has banned the company and its promoters from taking part in the securities market (such as buying or selling shares) until further notice.
Soon after, it was revealed that the family offices of Indian cricketer MS Dhoni and Bollywood actress Deepika Padukone had invested in Gensol Engineering. Both were part of the ₹420 crore funding round, which was one of the highest-valued Series B fundraises in India, with participation from top firms like BP Ventures, Mayfield India Fund, and Sumant Sinha.
The crash came amidst allegations of financial misconduct in the company’s EV segment. However, Gensol’s CEO, Anmol Singh Jaggi, firmly denied any wrongdoing or involvement in any kind of falsification. Adding to the drama, Gensol’s Independent Director, Mr. Arun Menon, also resigned, raising further questions.
Interestingly, Deepika Padukone’s family office, KA Enterprises LLP, had also invested in Gensol during its seed funding round back in January 2019. This long-standing association drew public attention, especially after the recent controversy.
Many social media users (netizens) were quick to criticize the celebrity investors, calling it a “clear case of poor due diligence.” Some defended them, stating that actors and sportspersons are not financial experts, and the real responsibility lies with those managing the investment portfolios and company compliance.
This isn’t the first time MS Dhoni’s family office has faced trouble. Earlier, they had invested in the Amrapali Group, which also ran into legal and financial issues.
As of now, Gensol Engineering’s stock has dropped drastically from a high of ₹1,126 per share to just ₹122, bringing its market value down from ₹4,300 crore. Credit rating agencies like ICRA and CARE also downgraded the company, adding more pressure.
SEBI has issued an interim order under various sections of the SEBI Act of 1992 against Gensol Engineering, its CEO Anmol Singh Jaggi, and another key figure Puneet Singh Jaggi.
The entire situation highlights how celebrity investments in high-growth startups can sometimes go wrong if not backed by strong research and due diligence. It’s a reminder that even big names like MS Dhoni and Deepika Padukone can face financial risks in the volatile world of startups and stock markets.
This clearly shows that stock market is a risky investment and investment should be done only after proper due diligence.
