Remember Ringing Bell? The company which promised to give a smartphone for Rs. 251? It is reported that the company has closed down its operations. The company has shut down and a new company named MDM Electronics Private Limited has been created. The official site is not working though some of its products are available on Amazon India.
It has been reported that the new company has on its board of directors the very same persons who were also on the Ringing Bells Board – Mohit Goel, Shashank Goel and Ashok Chadha. It is not clear what products this new company will sell, but it has a registered office in New Delhi.
Ringing Bells courted controversy when it announced that it would sell the smartphone for Rs. 251 and even named the brand Freedom 251. However, sceptics questioned the economic viability of the project. The company also failed to keep up with its deadlines and allegations from it being a Ponzi scheme to fraudulently deceiving the customers were levelled against the company. Meanwhile, the company started to diversify its portfolio and began launching low-cost TVs and smartphones.
The company was selling its products via e-commerce platform Amazon India. Its product range includes LED TV, smartphones, mobile handsets and power banks. It is possible that the company has stopped taking orders on its website and is now focusing on selling its wares through e-commerce sites.
Ringing Bells is also embroiled in a messy legal battle and was summoned by a Delhi Court in a Rs. 2 Crore check bounce case. The company had issued a check for AIPL, but it defaulted. The company had earlier promised to ship 200,000 units of Freedom 251. A huge number of consumers had registered for the device to the extent that the server tripped due to the rush. In July, the company said that it had delivered 5000 units of the device and will deliver another 65000 units soon.