CCPA ups probe into Ola Electric over consumer complaints
Central Consumer Protection Authority (CCPA) has asked for additional documents as part of its ongoing investigation into alleged consumer rights violations
PTI
New Delhi, 11 Jan
The Central Consumer Protection
Authority (CCPA) has deepened its investigation into Ola Electric Mobility
Limited and asked for additional documents as part of its ongoing investigation
into alleged consumer rights violations.
This latest request, made via email on 10 January, follows an earlier notice
issued to the company on 4 December, 2024. "In continuation of the earlier
letter received from the Central Consumer Protection Authority dated 04 December,
2024, by Ola Electric Mobility Limited we would like to inform you that the
company has received further requests for information via email dated January
10, 2025," Ola Electric said in an exchange filing on Friday.
This comes days after the Karnataka High Court granted the Bhavish Aggarwal-led
firm a six-week extension to submit its response to the CCPA. The CCPA first
issued the show-cause notice to Ola Electric on 8 October, 2024, over alleged
consumer rights violations, misleading advertisements, and unfair trade
practices.
The investigation centres on consumer complaints regarding the quality of Ola's
electric vehicles and shortcomings in after-sales support. The matter has also
reached the Karnataka High Court, where legal proceedings are currently
underway. The court has granted Ola Electric six weeks to respond to the CCPA's
notice, highlighting the seriousness of the allegations and the regulatory
body's focus on consumer protection.
Ola Electric faces significant scrutiny from both consumers and regulators.
Allegations of quality issues and inadequate customer service have brought
attention to challenges within the industry, where maintaining consumer trust
is paramount.
The exchange filing by the company says that the nature of the action is a
request for additional information, aimed at furthering the ongoing inquiry
into Ola Electric's operations.
Ola Electric has also stated that the request for information has not had any
quantifiable impact on the company's operations, assuring stakeholders that
there has been no immediate effect on its financial or operational activities. -ANI
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