‘False narratives being spread’: Ola Electric denies sales slump, blames registration backlog

The clarification comes amid heightened scrutiny from regulatory authorities.

Ola Electric Mobility Ltd has refuted claims of a sharp decline in its February 2025 sales, calling it a "false narrative" and attributing the temporary backlog in registrations to ongoing negotiations with vendors. The company asserted that its sales remain strong and that the backlog is being swiftly cleared.

In a filing to stock exchanges BSE and NSE, Ola Electric stated that daily registrations have now exceeded 50 percent of its three-month daily sales average, with 40 percent of the February backlog already resolved. The remaining backlog, the company said, will be fully cleared by the end of March 2025.

The clarification comes amid heightened scrutiny from regulatory authorities. Ola Electric confirmed that it has received information requests from the Ministry of Heavy Industries (dated March 11) and the Ministry of Road Transport and Highways (dated March 18), as well as notices from four states regarding trade certificates for some of its stores. The queries specifically address discrepancies between vehicle registrations on the VAHAN portal and the sales figures reported in its regulatory filing on February 28, 2025. The company said it is in the process of responding to these queries.

Ola Electric also alleged that certain media reports and "vested interests" have misrepresented the situation as a regulatory issue. "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," the company said in a press statement, calling the backlash a "coordinated effort to create confusion and trigger unnecessary scrutiny."

The company reiterated its commitment to resolving the backlog efficiently and maintaining transparency with customers and regulators.