Ringing Bells, a tiny-known company that ran into controversy after announcing the Freedom 251 a Rs. 251 smartphone, now claims it will begin deliveries of the handset to customers from June 28.
Deliveries will launch to customers who have registered for buying the phone, Noida-based companys Managing Director Mohit Goel said.
We will foundation shipment of Freedom 251 from June 28 to customers who paid for it earlier in the region of COD (cash-concerning-delivery) basis, he told Press Trust of India.
Ringing Bells began selling the handset, Freedom 251, via its website in February. But the launch of the smartphone, touted to be the worlds cheapest, swirled into controversy, bearing in mind some calling it a fraudulent plot.
The website of the company moreover crashed during two-hours of daylight sale due to the gigantic response from prospective buyers. The company claimed that on the order of 30,000 customers had booked the phone in the first batch despite the glitch.
The company, however, withdrew the product and refunded the payments to customers following a muggy chemical analysis by supervision agencies. The company had said roughly 30,000 people paid for booking the phone and greater than 7 crore people registered for it. Later, the company said that it would speak to the phone regarding cash-upon-delivery mode to those who placed the order. Goel said that Ringing Bells has a foolproof plot to adorable family the price but did not consent to in it.
Ringing Bells President Ashok Chaddha had explained earlier that the manufacturing cost of the phone was approximately Rs. 2,500, which had to be recovered through a series of proceedings as soon as economies of scale, advanced publicity, reduction in duties and creating an e-commerce marketplace.
He had said that the company would make phones in India that would benefit to 13.8 percent savings upon duties and added save upon cost by selling it online.
The phone was to be manufactured in Noida and Uttaranchal.
Two nature will be set taking place for Rs. 250 crores each taking into consideration a skill of 5 lakh phones. The maintenance will come in the form of debt and equity (1.5:1), Chaddha had said.
However, industry players had expressed doubt more than the sworn verification. Telecom Minister Ravi Shankar Prasad too had asked the Department of Electronics and IT to see into the matter.
The company had moreover come out cold the scanner of Excise and Income Tax Departments between debate anew the feasibility of a 3G-enabled handset for Rs. 251.