India’s high product certification company will examine e-scooter maker Ola Electrical’s deficiency in service requirements and product points, India’s shopper affairs secretary informed Reuters on Thursday.
Final month, the Central Shopper Safety Authority (CCPA) despatched Ola Electrical a discover looking for a proof from the SoftBank-backed firm after the buyer rights company acquired an unusually excessive 10,000 complaints.
Ola, India’s high e-scooter maker, responded that it had resolved 99.1 p.c of the complaints.
After reviewing that response, the CCPA has now requested the Bureau of Indian Requirements to conduct an in depth investigation into the matter, shopper affairs secretary Nidhi Khare mentioned on Thursday.
Ola Electrical didn’t instantly reply to a Reuters e-mail looking for remark.
The complaints have been principally for “minor” points, Ola’s founder Bhavish Aggarwal mentioned on an earnings name final week.
“Two-thirds of it really are simply minor points like free elements or prospects unfamiliar with the software program used,” Aggarwal mentioned.
The rising complaints and ensuing regulatory scrutiny have forged a shadow on the e-scooter maker, following its stellar market debut in August.
Ola Electrical’s shares are down about 7.6 p.c from their itemizing value of 76 rupees. On the day, its shares have been down about one p.c, whereas auto shares had risen 0.5 p.c.
© Thomson Reuters 2024
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