ICAI probe into Gensol, BluSmart advances, referred to disciplinary committee

The probe by audit regulator Institute of Chartered Accountants of India (ICAI) of engineering company Gensol and mobility services provider BluSmart is at an advanced stage and has been referred to the regulatory body’s disciplinary committee to contemplate further action, President CA Prasanna Kumar. D said on Monday (February 16, 2026).

“The Financial Reporting Review Board (FRRB) has completed their review of Gensol Engineering and BluSmart Mobility, and it has been sent to the disciplinary committee,” he stated in response to a query from The Hindu.

Additionally, Mr. Kumar informed the FRRB review of private lender IndusInd Bank is expected to complete in another two months. He stated that an internal informal group within the FRRB would be constituted to look into similar high-profile cases of public interest.

“The group would be looking to place their report in the next two months,” he said.

For context, the FRRB is entrusted with conducting the initial review, that is, evaluating for the use of correct audit standards and accounting practice; and should they find anything suspicious, it is referred to the disciplinary committee for further investigation and contemplating further course of action. Among other things, it may recommend to either temporarily or permanently suspend or accord financial penalties to the entity determined guilty.

The audit regulator had commenced the review of Gensol Engineering and BluSmart’s financial statements and statutory auditor’s books in April last year, following concerns over potential illicit diversion of funds. Probe into IndusInd Bank’s books had commenced a month earlier in March last year.