Ola Electric Denies Receiving Notice to Shut 100 Showrooms in Maharashtra

Ola Electric reacted to news regarding a Maharashtra transport department directive for the closure of more than 100 showrooms across the state. Ola Electric stated that it was unaware about any official order to shut down its showrooms and promised to investigate the situation.

According to Economic Times, the company said in its BSE filing, “ We wish to submit that we are not aware of any such negotiations or events regarding a notice from the authorities ordering immediate closure of over 100 showrooms in Maharashtra. Additionally, we have already informed the exchange via our intimation dated March 21, 2025, regarding the receipt of notices in four states pertaining to trade certificates for certain stores located in those states.”

RTO Action Triggers Uncertainty

Reports show that the Maharashtra RTO initiated action against Ola because of how the company utilized its trade certificate even though it did not complete vehicle registrations beforehand. The authorities were planning to issue a temporary ban because Ola allegedly did not follow specific rules during scooter sales through its showrooms.

The Ola trade certificate issue is at the center of this matter because the RTO suspects improper certificate usage. This has reportedly led to the department issuing notices to more than 100 dealerships operating under the Ola Electric banner in Maharashtra.

Ola Electric Responds

In a public declaration, Ola Electric indicated it had not received any official communication regarding the rumored closure of a dealership and had no knowledge of a directive to cease operations. The company further indicated that it was committed to respecting all local legislation and is prepared to cooperate with authorities in clearing any concerns.

Ola assured that its teams are coordinating with the concerned government authorities to sort out the issue. The company also assured customers that all its services and deliveries are going on as usual throughout Maharashtra.

What It Means for Customers and Dealers

While the situation is still developing, many dealership owners say they haven’t received formal closure orders yet but have been verbally informed by RTO officials. This has created confusion and uncertainty among business partners.

For customers, Ola EV has assured that there is no change in its delivery timelines or service availability. The company has advised customers to stay in touch with local dealerships for updates and clarified that no vehicles are being withheld or delayed as of now.

While Ola continues negotiations with the transport department, the EV sector closely observes. What happens to Ola’s trade certificate issues and the way the company handles regulatory compliances may establish the precedent for the way direct-to-customer sales of EVs function in India.

Although the specifics are not yet known, Ola has assured complete cooperation and a commitment to openness as it moves toward a resolution.