Olectra Greentech Denies Direct Penalty in PMPML Bus Contract Dispute


By Robin Kumar Attri

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Updated On: 17-Sep-2025 10:53 AM


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Olectra Greentech denies direct penalties in PMPML dispute, clarifies penalties relate to other contractors, and confirms its 150-bus operations remain unaffected.

Key Highlights

Hyderabad-based Olectra Greentech Limited has clarified that no direct penalties have been imposed on the company in connection with PMPML bus operations, countering recent media reports.

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Company Clarifies Position

Olectra Greentech Limited issued a formal clarification to stock exchanges on September 16, responding to a news report published in Hindustan Times on September 15. The company stated that it has not been penalized for its 150-bus operations with Pune Mahanagar Parivahan Mahamandal Limited (PMPML).

Penalties Relate to Other Contractors

According to the filing, the penalties mentioned in the news report are linked to EVEY Trans Private Limited and OHA Commute Private Limited, which manage 350 and 150 buses, respectively, under concession agreements with PMPML.

PMPML had issued penalty orders in October 2023 against:

These penalties were reportedly imposed for alleged late delivery and non-delivery of buses, which had been procured from Olectra under tender agreements.

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Legal Proceedings Underway

Both EVEY Trans and OHA Commute have challenged the penalties before the Bombay High Court. The court referred the disputes to arbitration. PMPML has filed review petitions against the court’s earlier orders, and the matter is still pending.

Regulatory Compliance and Market Impact

The clarification was made under Regulation 30(11) of SEBI’s Listing Obligations and Disclosure Requirements (LODR), 2015, which mandates companies to clarify news reports that may impact stock prices.

Olectra Greentech is one of India’s leading electric bus manufacturers, supplying EV buses to multiple state transport undertakings. Its shares are listed on BSE (scrip code: 532439) and NSE (symbol: OLECTRA).

The filing was signed by P. Hanuman Prasad, Company Secretary and Head of Legal at Olectra Greentech Limited.

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CMV360 Says

Olectra Greentech’s clarification ensures investors and stakeholders that no direct penalties have been imposed on the company regarding PMPML operations. The ongoing legal matters involve separate contractors, and their resolution is still pending in arbitration.