In its response to BSE, Ola Electric clarified that the discrepancy in its sales and registration numbers was due to a temporary backlog in vehicle registrations, caused by operational changes involving its vendors.
21 Mar 2025 | 2149 Views | By Arunima Pal
Ola Electric has accused certain media outlets and vested interests of orchestrating a smear campaign against the company and denied that the company was embroiled in any legal or regulatory proceedings related to the difference between its reported February sales and the number of registrations on the Vahan portal.
This is an Autocar Pro Plus article. Subscribe to continue reading.
Ola Electric has accused certain media outlets and vested interests of orchestrating a smear campaign against the company and denied that the company was embroiled in any legal or regulatory proceedings related to the difference between its reported February sales and the number of registrations on the Vahan portal.
It, however, acknowledged that the central government had sought information about the discrepancy in numbers.
In a statement, the company referred to news articles published on March 20, 2025, by *Business Standard* and other mainstream media outlets captioned "Ola Electric Under Govt Scanner Over Sales, Registration Discrepancies."
The reports cited inquiries from the Ministry of Heavy Industries (MHI) on March 11, 2025, and the Ministry of Road Transport and Highways (MORTH) on March 18, 2025 on the gap between the company’s reported sales figures and the number of vehicle registrations recorded on the VAHAN portal.
Reiterating its stand taken in a February press release, the company attributed the gap to a temporary backlog in vehicle registrations caused by operational changes involving its vendors. The backlog was the result of the discontinuation of its contracts with two nationwide vendors responsible for managing the registration process, as part of a broader strategy to streamline operations and enhance profitability, according to the company.
Ola Electric emphasized that it is actively addressing the issue, with daily registrations now exceeding 50% of its three-month daily sales average. Approximately 40% of the February backlog has already been cleared, and the company expects full resolution by the end of March 2025.
The company also confirmed it has received notices in four states concerning trade certificates for some of its stores and is in the process of responding to these inquiries.
Trade certificates usually refer to the licenses needed by shops to remain open and carry on the business of selling two-wheelers, and are usually issued by local authorities.
In the statement, Ola Electric firmly denied any ongoing regulatory or legal proceedings, asserting that all material events have been disclosed to the stock exchanges.
'Smear Campaign'
Ola Electric accused certain media outlets and "vested interests" of orchestrating a smear campaign to misrepresent the registration backlog as a regulatory violation.
The company suggested that this narrative intensified following its decision to part ways with the two vendors, leading to "a coordinated effort to create confusion and trigger unnecessary scrutiny." Ola Electric reiterated its commitment to transparency and customer service, stating that its sales remain robust despite the temporary setback.