Ola Electric Suffers Big Jolt, Maharashtra Govt Shut Down 75 Stores of Company

There are difficulties for Ola Electric included in large electric two-wheeler companies. The state government of the company’s stores in Maharashtra is scrutiny due to disturbances about trade certificates. 146 stores were inspected in the state of Ola Electric. Of these, about 121 stores were being run without a trade certificate. 75 of these stores have been closed by the state government.

NDTV Profit “Action should be taken against such stores and canceled the actual trade certificate,” has said on the issue related to the trade certificate of Ola Electric, quoting the Joint Transport Commissioner of Maharashtra and canceling the actual trade certificate. ” However, the representative of Ola Electric had said, “Your claims about our stores in Maharashtra are wrong and misleading. We are working in Maharashtra with the concerned authorities in Maharashtra to resolve any questions or apprehensions.”

Earlier, the Maharashtra government had given notice to Ola Electric for not having a trade certificate for some of its stores in the state. The company raided several stores in Maharashtra in March. The notice stated, “It has been found that your company is operating with unauthorized showrooms and stores and illegally selling vehicles. This is a very serious matter. It is a very serious matter. You are requested to provide a clarification about it why action should not be taken against your company for this activity.” The notice was sent to the letterhead of the office of the Transport Commissioner of Maharashtra on 31 March. The notice was signed by Joint Transport Commissioner, Ravi Gaikwad.

According to Rule 33 of the Central Motor Vehicle Act and Central Motor Vehicles, manufactures and distributors of vehicles need a business certificate for registration of vehicles. Rules 35 of the Central Motor Vehicle Rules states that a separate business certificate has to be taken from the sale of vehicles or the authority of every estabelization, showroom or dealership related to trade. If there is no trade certificate, then action can be taken on the manufacturer and distributor of the vehicle under section 192 of the Motor Vehicle Act.