After Maharashtra at the stores of electric two-wheeler company Ola, now RTO has also killed in Madhya Pradesh. Transport officials took action on 2 stores in Jabalpur and 4 stores in Indore. Due to lack of trade certificate to these 6 stores, show cause notices have been given and 14 electric vehicles have also been seized during this period.

Electric two-wheeler company Ola are taking raids of states across the country. Till now, 32 stores in Maharashtra and Madhya Pradesh have been processed. Apart from this, action has also been taken on some stores in Rajasthan. During this period, more than 50 electric vehicles have been seized so far.

Due to the news of the raid, Ola electric stocks declined by 4.18% on Thursday. The stock has fallen by Rs 2.25 to close at Rs 51.60 today. Ola's stock has fallen more than 16% in a month. At the same time, the stock has broken more than 50% in 6 months.

Raid 4 times on Ola's showrooms

• On March 8, there were reports of raids on several stores of Ola across the country. Due to lack of trade certificate, vehicles were seized by closing several showrooms.
• On March 12, it was raided in Jabalpur, Madhya Pradesh. Transport officials seized 14 vehicles.
• On March 18, the showrooms were raided in Indore. Due to lack of trade certificate, a show cause notice was given.
• Between 17 and 19 March, it was raided at 26 stores in Mumbai and Pune in Maharashtra. In this, 36 vehicles were seized and notices were given.

Action after complaints from other companies

Pratap Singh and Associates Company of Gurugram had filed a complaint against Ola Electric and some other companies for not having a trade certificate. After the complaint, transport officials of Maharashtra have taken action.

Basic certification is not on 95% showrooms

Ola Electric has opened 4,000 showrooms since 2022. According to the report, only about 3,400 showrooms of these are available. Out of 3,400, there were only 100 showrooms who had the necessary trade certificates under the Motor Vehicle Act.

More than 95% of the showrooms of the company do not have basic certification necessary to display, sell and offer their Test rides.

Ola Electric said- action is wrong and biased

On Tuesday's action, a spokesman for Ola Electric said that no vehicle has been seized. Earlier, Ola described the investigation as wrong and biased. The spokesperson had said that there are inventory of unregistered vehicles in Ola's distribution centers and warehouses in many states.

These motor vehicle acts fully follow the guidelines of the Act and the necessary approvals exist. The company did not give any information about the red on the showrooms.

8% fell on the petition of insolvency action

Ola Electric's shares had fallen by about 8% on March 17. The company's stock had declined after the company's petition was filed against a subsidiary of a subsidiary.

Understand the whole matter in 3 points

Three companies Ola Electric Mobility are associated with its subsidiary Ola Electric Technology Private Limited and Rosmarta Digital Services Limited.

• Rosmarta Digital, a company making high security number plate, has accused Ola Electric Technology Private Limited of stopping the arrears of Rs 18 to 20 crore.
• For this, RoSmarta Digital has filed a petition to initiate bankruptcy proceedings against Ola Electric Technology in the Bengaluru Bench of the National Company Law Tribunal.
• Ola Electric in the case says that she dismisses these allegations. She is taking legal advice in the case and will strictly challenge the allegations.

65% dropped from all time high

After a listing of shares in August 2024, Ola's stock has fallen by about 65% from its peak of Rs 157.53. The company's shares have fallen by about 20% in the last one month. Apart from this, by December 2024, the company's market share fell from 49% to 23%.

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