Ringing Bells, a touch-recognized agency that ran into controversy after saying the freedom 251 – a Rs. 251 telephone, now claims it’s going to begin deliveries of the handset to customers from June 28.
Deliveries will begin to customers who have registered for purchasing the telephone, Noida-based totally organisation’s dealing with Director Mohit Goel said.
“we can start shipment of Freedom 251 from June 28 to customers who paid for it earlier on COD (cash-on-shipping) foundation,” he instructed Press agree with of India.
Ringing Bells started selling the handset, Freedom 251, thru its internet site in February. however the launch of the cellphone, touted to be the world’s cheapest, swirled into controversy, with some calling it a fraudulent scheme.
The website of the corporation also crashed at some stage in -day sale because of the large response from people searching for products/services. The agency claimed that around 30,000 customers had booked the smartphone in the first batch no matter the glitch.
The business enterprise, but, withdrew the product and refunded the payments to customers following a near scrutiny via authorities businesses. The business enterprise had said approximately 30,000 people paid for booking the phone and over 7 crore people registered for it. Later, the organisation stated that it’d supply the phone on cash-on-delivery mode to individuals who placed the order. Goel stated that Ringing Bells has a foolproof plan to support the price but did not reveal it.
Ringing Bells President Ashok Chaddha had explained in advance that the manufacturing cost of the cellphone turned into about Rs. 2,500, which had to be recovered via a series of measures like economies of scale, innovative advertising, discount in duties and creating an e-trade market.
He had said that the business enterprise would make phones in India that could lead to thirteen.eight percentage financial savings on duties and similarly save on value by means of promoting it on-line.
The phone was to be manufactured in Noida and Uttaranchal.
“two flora might be set up for Rs. 250 crores each with a ability of 5 lakh phones. The cash will come in the shape of debt and equity (1.5:1),” Chaddha had stated.
however, enterprise players had expressed doubt over the claim. Telecom Minister Ravi Shankar Prasad too had asked the branch of Electronics and IT to investigate the matter.
The enterprise had also come underneath the scanner of Excise and income Tax Departments amid debate over the feasibility of a 3G-enabled handset for Rs. 251.
