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Published on
April 24, 2025
5 min read
BluSmart Hires Grant Thornton for Audit After ₹470 crore Loss
BluSmart has hired the professional services firm Grant Thornton for a forensic audit. This came after whistleblowers raised complaints about financial misconduct across the organization. According to The Economic Times, BluSmart made this decision after its financial losses more than doubled to ₹470 crore in FY24.
When discussing fundraising last year, the company’s management had earlier claimed to have ₹400–500 crore in cash. But only a few months later, BluSmart was running low on funds.
Losses Grow as Debt Rises
BluSmart’s financial situation worsened significantly in FY24. The company posted a loss of ₹470 crore, up from ₹216 crore the previous year. By FY25, it was reportedly burning up to ₹50 crore a month in cash. “As of April, the company was burning more than ₹20 crore cash a month,” said one source.
To keep operations running, BluSmart took on more loans. Between June and October 2024, it borrowed over ₹130 crore. This raised interest payments and reduced cash reserves to just ₹73 crore by October, compared to ₹280 crore a year before.
Revenue from operations grew to ₹127 crore in FY24, which doubled the ₹57 crore reported during FY23. However, the number of ride bookings slowed during FY25 compared to the previous year. In April, BluSmart was completing only half the number of daily rides compared to its peak of 25,000–30,000.
The company had to cancel a $50 million fundraising plan after existing investors demanded new backers be brought in.
In a major shift, BluSmart halted its ride-hailing operations to become an Uber fleet partnership.
Investors Worry as Leadership Crisis Grows
Concerns among investors grew after the SEBI barred BluSmart founder Anmol Singh Jaggi from accessing the capital markets. The action was taken in a case involving alleged fund diversion at Gensol Engineering, a company he co-founded. Gensol provides vehicle leasing services for BluSmart in a structure that potentially raises concerns about investor capital misuse.
“Investors are watching the developments closely,” said a spokesperson for BP Ventures, BluSmart’s largest external investor with a 14% stake. Anmol Jaggi and his brother, Puneet Singh Jaggi, jointly own about 25% of the company. BP Ventures said, “We are monitoring the ongoing situation about our minority investment in BluSmart closely.”
The BluSmart board also includes Sophia Nadur of BP Ventures, representing Asia Pacific and the Middle East, Azure Power founder Inderpreet Singh Wadhwa, and Dharmichand Sunil Kumar. Independent director Rupa Devi Singh, who joined the board in October 2024, resigned on April 3rd, 2025.
Investors have grown more anxious due to delayed payments. On April 19, it was reported that BluSmart had outstanding bond payments worth ₹85 crore. “If there is a forensic audit in the firm, then the uncertainty around the repayments only worsens; the auditor will need to first find where the money went if there was misuse, and only then will the repayments happen,” said an investor in BluSmart.
The last bond repayment reportedly occurred around April 14, with the next due at the end of the month.
BluSmart’s decision to hire Grant Thornton for a financial audit comes at a time of deep concern. The company is now confronting major concerns about its operational and financial management. This is due to the rising losses, growing debt levels, and falling growth rates. The results of the BluSmart financial audit may decide its future in the electric cab sector.
