India’s Consumer Protection Authority Orders Investigation Into Ola Electric’s Quality and Refund Issues

Explainer Briefly Slides The Central Consumer Protection Authority (CCPA) has ordered an inquiry into Ola Electric, after receiving thousands of complaints on its online portal, Business Today reported . The Consumer Affairs Ministry instructed the Director General (DG) Investigation, CCPA’s investigative arm, to carry out the probe last week. A report will be submitted in 15 days, after which the CCPA will take a decision.

Background: The agency sent a show cause notice to Ola last month after the National Consumer Helpline received 10,644 complaints about the company. Most of the complaints related to unreliable manufacturing quality, poor post-sale services and a number of issues related to overcharging and refunds. Ola rejected these accusations and claimed that it was able to resolve 99.



1% of the complaints to the “complete satisfaction of the customer.” However, the CCPA had carried out its own investigation which contradicted the company’s statements, ET Now reported. The agency reached out to the complainants, more than 99.

2% of whom stated that not only did Ola not resolve their concerns, it also closed their complaints aggressively. Ola Electric vehicles have received a great deal of criticism over their manufacturing and service quality. According to The Mint , the company saw as many as 80,000 complaints per month, with 6,000-7,000 complaints on some days.

Many users have taken to social media to express their dissatisfaction, including a famous spat between comedian Kunal Kamra and Ola founder Bhavish Aggarwal. In one instance, a disgruntled customer sued the company and received Rs. 1.

94 lakh as compensation. Ola Electric’s sister company, ride-hailing app Ola, also came under CCPA’s scanner recently. The agency forced Ola to make a number of changes to its refund and complaint resolution mechanisms.

Also Read:.