The government has sent notices to seven EV makers to recover nearly Rs 500 crore.
The Government of India is planning to penalize electric scooter manufacturers that have been found guilty of wrongfully claiming subsidies under the FAME II scheme.
According to a media report, the government is considering several measures, including banning these companies from availing subsidies in the future as well as blocking the subsidy on vehicles sold over the last 15 months. It is said that the Ministry of Heavy Industries would discuss this with other departments of the government before finalizing the penalties as it would have an impact on investments.
Earlier, the government sent notices to seven EV makers including Hero Electric, Okinawa Autotech, Ampere EV, Revolt Motors, Benling India, Lohia Auto and AMO Mobility to recover nearly Rs 500 crore. The centre had also suspended subsidy disbursal of Rs 1,400 crore to 13 companies that were being investigated by the ARAI.
Meanwhile, companies that have been cleared of any wrongdoing should receive a subsidy by the end of this month. According to a government official Rs 200 crore has already been paid and the pending claims would be cleared by month’s end.
Keyword: Govt to penalize e-scooter makers guilty of FAME II violations