CCPA issues show-cause notice to Ola Electric
According to a report in ANI, the CCPA took official action against Ola Electric on October 8, issuing the notice to the company in response to a growing number of grievances from consumers regarding the its electric scooters. According to a filing made by Ola Electric, the company acknowledged receipt of the notice, confirming that it would respond to the CCPA within the 15-day timeline provided.
The notice, which currently does not impose financial penalties, signals the government’s intent to address concerns over
Complaints against Ola Electric
The notice from the CCPA comes amid a surge in consumer dissatisfaction regarding Ola Electric’s scooters, which has become increasingly evident both through official channels and on social media. The National Consumer Helpline has received over 10,000 complaints regarding issues such as delayed deliveries, service inefficiencies, and persistent mechanical problems with Ola scooters. Allegations of
Specifically, many complaints have centered around recurring issues with vehicle components, delays in promised services, and unfulfilled refund requests following booking cancellations. This growing wave of discontent has pushed the regulatory spotlight onto the company, forcing it to confront its service shortcomings more directly.
Kunal Kamra vs Bhavish Aggarwal
The growing backlash against Ola Electric came into sharp public focus when comedian Kunal Kamra took to social media to criticize the company’s service failures. In a post on X, Kamra shared a photograph of an Ola dealership with several scooters gathering dust. He tagged prominent figures like Nitin Gadkari, Minister of Road Transport and Highways, questioning the state of EV adoption in India and calling on the Department of Consumer Affairs to weigh in on the matter.
Kamra’s post quickly garnered attention, inviting frustrated consumers to share their experiences with Ola Electric in the comments.
In response, Ola Electric CEO Bhavish Aggarwal fired back, accusing Kamra of engaging in a “paid tweet” to damage the company’s reputation. Aggarwal challenged Kamra to work with Ola to improve services, offering to pay him more than what he supposedly earned from his comedic career. The heated exchange between the two personalities quickly went viral and got people talking.
Share Prices plummet
The consumer dissatisfaction and negative publicity surrounding the company have had immediate repercussions in the financial markets. Following the social media spat between Kamra and Aggarwal, Ola Electric’s share prices took a significant hit, falling by 8% to Rs 90.82 on the BSE. This marks a 43% drop from the company’s all-time high of Rs 157.5, though the stock remains 18% above its IPO price of Rs 76.