Ola Electric Gets Big Jolt, Karnataka High Court Directs It to comply with CCPA Investigation

Ola Electric, one of the big electric two-wheeler companies, has received a big blow from the Karnataka High Court. The High Court has refused to dismiss a notice issued by the Central Consumer Protection Authority (CCPA). This notice was given as part of the investigation against the company. In this, additional documents were sought after more than 10,000 complaints from customers regarding Ola Electric’s electric scooters.

a media Report According to, Justice R Devdas of Karnataka High Court said that this notice has been issued by a competent investigating officer and Ola Electric will have to provide the sought documents. The CCPA had conducted a preliminary investigation into a large number of complaints against Ola Electric. In this, violations related to violation of customers’ rights, misleading advertising and deficiencies in service were found. After this the CCPA directed its Director General of Investigation to investigate the matter.

Ola Electric had argued that the officer issuing the notice was not authorized under the Consumer Protection Act. The company had said that the officer who issued the notice has not been given the post of director or additional director. On this, the High Court clarified that the Director General has authorized an officer of the rank of Senior Director to conduct the investigation.

Last month, Ola Electric has increased the number of its stores four times. The company has 4,000 stores. Bajaj Auto has overtaken Ola Electric to gain the highest share in the electric two-wheeler market. In December, Bajaj Auto’s share in the electric two-wheelers segment has increased to about 25 percent. This is an increase of about three percent compared to the previous month. According to vehicle portal data, retail sales of Ola Electric declined by about five percent in December to about 19 percent. TVS Motor retained its second position with about 23 percent share. Ola Electric had performed well at the beginning of the current financial year. However, after the reduction in subsidies given by the government, competition among companies regarding pricing has increased in this segment.