Ola Electric Mobility Limited faced a setback as its shares dropped 3% following an administrative warning from the Securities and Exchange Board of India (SEBI) regarding violations of disclosure norms. The SEBI warning pertains to the breach of regulations under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, including provisions ensuring equal and timely access to information for all investors.
The warning letter issued on January 7, 2025, flagged Ola Electric’s non-compliance with regulations 4(1)(d), 4(1)(f), 4(1)(h), and 30(6), emphasizing the need for better adherence to timely and transparent disclosures. The violation centers around the company disseminating critical information on social media before informing stock exchanges, raising concerns about equitable access to material information.
Ola Electric clarified that the warning would not have any monetary impact on its financial or operational activities and assured investors of improved compliance in the future.
Adding to its challenges, the Karnataka High Court denied relief to Ola Electric in a case filed by the Central Consumer Protection Authority (CCPA). The court granted the company a six-week extension to respond to additional documents sought by the regulatory body.
As of 9:15 am, Ola Electric shares were trading 2.73% lower at ₹77.00 on the NSE, reflecting investor concerns.
