Ola Electric is under investigation by ARAI following a government directive
Ola Electric is currently under the scanner after concerns emerged over a mismatch between its reported sales figures and official registration data.
The Ministry of Heavy Industries has instructed the Automotive Research Association of India (ARAI) to initiate a detailed investigation into the matter. The probe comes after discrepancies surfaced between the company’s declared sales and data available on the Vahan Portal — the national vehicle registration database.
In February, Ola Electric reported sales of approximately 25,000 units. However, data from the Vahan Portal shows only around 8600 registrations for the same period, raising questions about the validity of the figures.
As part of its mandate, ARAI will assess Ola Electric’s explanation for the disparity and determine whether any regulatory or legal norms have been violated. The scope of the probe also includes investigating instances where scooters may have been sold without valid trade certificates, as well as verifying the presence of service centres in all cities where the company operates.
The Ministry has asked ARAI to compile and submit a comprehensive report based on its findings.
Separately, regional transport authorities have also initiated actions at the state level. In Maharashtra, RTO officials conducted inspections at Ola Electric outlets in Mumbai and Pune, resulting in the seizure of 36 scooters reportedly lacking compliance documentation. Meanwhile, in Punjab, several Ola Electric showrooms have been shut down, while in Jabalpur, notices have been issued over alleged sales of unregistered vehicles without the requisite trade certifications.
Ola Electric has yet to issue a formal public response to the ongoing investigations. The outcome of the probe could have broader implications for the electric vehicle sector, particularly around sales practices and regulatory compliance.
