Aman Gupta, co-founder of boAt and a judge on Shark Tank India, has shared his thoughts on the BluSmart fraud scandal, emphasising the importance of ethics and governance in business. In a widely circulated post on X, Gupta reflected on the fallout from BluSmart’s financial mismanagement, urging entrepreneurs to prioritise integrity over rapid growth.
Aman Gupta’s take on the BluSmart crisis
Aman Gupta’s post highlighted the far-reaching consequences of BluSmart’s troubles, stating, “Investors lost money, founders lost years of hard work, employees lost stability, and customers lost a service they genuinely loved.” He warned that incidents like this damage trust in the startup ecosystem, making future investors and customers more cautious.
Referencing a childhood lesson, Gupta wrote, “Bachpan mein jo parents ne sikhaya tha, woh kabhi na bhulo—jo bhi karo, dil se karo. Par galat na karo.” (Never forget what your parents taught you—whatever you do, do it wholeheartedly, but never do wrong.)
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Aman Gupta emphasized that compliance and ethics are fundamental to building a sustainable business, not merely procedural obligations. He urged founders to focus on clean financial records, timely audits, and transparent reporting, rather than chasing rapid expansion at any cost.
Read Aman Gupta’s complete post here
The BluSmart situation is tough. Sad for everyone involved. But also a much-needed reality check for all of us in the ecosystem.
I know what it feels like:
– Investors lost money
– Founders lost years of hard work
– Employees lost stability
– And customers lost a service they genuinely loved (Hope they get the money in Bluesmart wallet)
But more than that, this has also dented trust in the ecosystem. You’ll now hear: “Yaad hai Blusmart ke saath kya hua tha?!”
And, one might say that that’s the damage we can’t afford. But, let’s zoom out. Even global MNCs have had their meltdowns. What matters is how we as a country and ecosystem bounce back.
The Indian startup ecosystem is resilient. We always rise stronger. And we will this time too.
For all founders, here’s the biggest takeaway: Compliance and ethics aren’t boxes to tick. They’re the foundation.
Being a CA, I’ve seen this up close: Clean books, Timely audits, Transparent reporting. All so called “not so cool tasks” make businesses sustainable.
Aur bachpan mein parents ne sikhaya tha – Jo bhi karo, dil se karo. Par Galat na karo. Same rule applies in business too 🙂
EQ, IQ & GQ (Governance Quotient) sab important hote hai. I hope more founders push for real due diligence, not just in finance, but in culture, operations, and responsibility.
Because at the end of the day your vision matters. Your growth matters. But how you build matters just as much.
Let’s use this as a reminder: To build not just fast, but right
What is the BluSmart scam
The BluSmart scam involves allegations of financial mismanagement and fund diversion linked to its parent company, Gensol Engineering Ltd, and its promoters, Anmol Singh Jaggi and Puneet Singh Jaggi. According to SEBI’s investigation, Gensol allegedly misused Rs 262 crore from loans meant for procuring electric vehicles for BluSmart, directing funds toward luxury purchases, including a Rs 42.9 crore apartment in Gurugram’s DLF Camellias.
The investigation also revealed efforts to falsify financial records through forged loan letters, deceiving credit agencies and investors. As a result, BluSmart halted cab bookings, sparking concerns about its future in India’s EV sector. With Gensol’s stock plummeting nearly 90%, the scandal has raised serious questions about corporate governance and ethical business practices in India’s startup ecosystem.