Maharashtra Orders Shutting Down of 121 Unauthorized Ola Electric Stores

Ola Electric Mobility Ltd appears to be in a fresh regulatory soup as the authorities in Maharashtra, the country's largest electric two-wheeler market, are looking to shut down at least 121 out of the company's nearly 450 stores in the state for not having proper documents to sell vehicles.

- Ayaan Kartik

NEW DELHI:

The joint transport commissioner of Maharashtra has asked local transport authorities to close all 121 stores operating without trade certificates. Mint has reviewed a copy of the letter sent to the local authorities. In fact, the state's transport commissioner confirmed to Mint that 270 more Ola Electric stores will be issued show-cause notices.

As per the letter, 75 of these 121 stores have already been closed and the local authorities have been asked to close the remainder.

In the letter dated 16 April, the joint transport commissioner wrote, "If the showroom or store cum service center of the company M/s Ola Electric Mobility Limited in your area of operation is doing business without obtaining a trade certificate from the transport office, action should be taken to close that center or showroom."

To be sure, Maharashtra recorded 212,000 sales of electric two-wheelers in financial year ended 31 March, making it the largest electric two-wheeler market in the country.