CCPA intensifies investigation into Ola Electric over consumer complaints, asks for additional information
Jan 11, 2025
New Delhi [India], January 11 : 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 January 10, follows an earlier notice issued to the company on December 4, 2024.
"In continuation of the earlier letter received from the Central Consumer Protection Authority dated December 04, 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 October 8, 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.
