Ola Electric Faces Scrutiny Over EV Sales Discrepancy

New Delhi, Mar 21 (PTI) Ola Electric Mobility Ltd on Friday said ministries of heavy industries, and road transport and highways have sought information from the company over gap in vehicle registrations as per the Vahan portal and sales as per the firm's regulatory filing.

Besides, the ministries have also sought clarification on reports "regarding non-compliance to the requirement of trade certificates", Ola Electric Mobility said in a regulatory filing.

The queries from the two ministries pertain to the "large gap in vehicle registration as per VAHAN portal and sales as per the company's regulatory filing dated February 28, 2025 for the month of February 2025", it said.

"The company is in the process of responding to the above," Ola Electric said.

While the total number of registrations by Ola Electric on the Vahan portal for February stood at 8,652, the company had reported sales of over 25,000 units during February 2025.

As of March 20, the company's registrations stood at 11,781 on the Vahan portal.

Further, the company said it has received notices in four states with regard to trade certificates for few of its stores in these states. The company is in the process of responding to the same, it added.

In a separate statement, Ola Electric asserted its sales remain strong, and the temporary backlog in February was due to ongoing negotiations with its vendors responsible for vehicle registrations.

"This backlog is being rapidly cleared, with daily registrations exceeding 50 per cent of our three-month daily sales average. 40 per cent of the February backlog has already been cleared, and the remaining will be fully resolved by the end of March 2025," it said.

Claiming that vested interests have "deliberately misrepresented" facts and undertaking "misinformation and smear campaigns", the company said.

"This intensified after we discontinued contracts with two nationwide vendors managing our registration process as part of our strategy to streamline operations and drive profitability. Since then, a coordinated effort has been made to create confusion and trigger unnecessary scrutiny," it said.

The company further said, "Our focus remains on resolving the backlog efficiently and continuing to serve our customers with transparency and reliability."

Last week, Ola Electric Mobility had said its vehicle registration service provider Rosmerta Digital Services had sought initiation of insolvency proceedings against its wholly-owned arm Ola Electric Technologies.

Rosmerta Digital Services had submitted a petition before the National Company Law Tribunal - Bengaluru Bench, alleging default in payment towards the services rendered by the operational creditor and seeking initiation of the corporate insolvency resolution process (CIRP) Ola Electric Technologies Pvt Ltd.

In February, Ola Electric Mobility had stated that it was renegotiating the terms of agreement with its agencies, Rosmerta Digital Services Pvt Ltd and Shimnit India Pvt Ltd, to reduce cost and enhance registration process efficiencies.

The company had stated that it would have a temporary impact on its Vahan registration.