- By Kamal Kumar
- Fri, 15 Nov 2024 08:29 AM (IST)
- Source:JND
OLA Consumer Complaints: Top Consumer affairs watchdog of the country will investigate the product quality and service issues in the e-scooters of the electric vehicle (EV) maker Ola, Reuters reported on Friday. Ola was served a notice by the Central Consumer Protection Authority (CCPA) to explain its position last month after it received unusually high numbers of complaints against the company's flagship electric scooter.
While CCPA said that it received over 10,000 complaints against Ola, the company maintained that it has resolved over 99.1 per cent of the complaints.
After careful consideration of Ola's response, the Consumer Protection Authority has asked the Bureau of Indian Standards to launch a detailed investigation into the matter, consumer affairs secretary Nidhi Khare said on Thursday, Reuters reported.
ALSO READ: Ola Electric Share Price Falls 3% To Touch New 52-Week Low After Company Reports Loss In Q2
The SoftBank-backed company did not immediately respond to the development.
Ola's founder-CEO Bhavish Aggarwal has termed the issues in the e-scooters as 'minor' problems of loose parts or customers' unfamiliarity with the product software. His comments came during an earnings call last week.
"Two-thirds of it are just minor issues like loose parts or customers unfamiliar with the software used," Aggarwal said.
Increasing complaints and regulatory scrutiny have clouded the outlook for the e-scooter maker following its impressive market debut in August.
Ola Electric's shares have fallen roughly 7.6% from their listing price of 76 rupees. On the day, its shares dipped around 1%, contrasting with a 0.5% rise in auto stocks.
Meanwhile, Comedian Kunal Kamra remained at the forefront of amplifying the issues against the issues arising in Ola's e-scooters. Both Bhavish and Kamra remained at loggerheads on social media platform X where the duo engaged in heated discussion over Ola's service and product quality.
In a recent jab at India's largest e-scooter maker, Kamra wrote: "Breaking News:- OLA to put two pedals & one chain to upgrade your electric bike into hybrid cycle… Big move by CEO @bhash in the National Interest. Putting India on India’s map."