Delhi High Court Orders Seizure of 129 EVs After ₹15 Crore Loan Default by Gensol, BluSmart

The Delhi High Court has directed the seizure and relocation of 129 electric vehicles financed by STCI Finance Ltd, after Gensol Engineering Ltd and BluSmart defaulted on a ₹15 crore loan.

Citing an imminent risk of asset dissipation, the Court exempted STCI from pre-institution mediation under Section 12A of the Commercial Courts Act, 2015.

Referring to SEBI’s interim order dated April 15, 2025, which flagged fund misuse and governance lapses by Gensol’s promoters, the Court empowered appointed receivers to recover the vehicles with police support.

The defendants were restrained from transferring or selling the vehicles, with the matter now listed for hearing on July 18, 2025.