Dealers to Be Refunded Over Unsold Tata Nano Forms

Tata Motors has decided to refund dealers across the country for unsold Nano bookings forms. Tata Nano is the world's cheapest car, to be first launched in India.

As the hype over Tata Nano launch went hysteric levels, each dealer was picked up between 2,000 and 10,000 applications. The dealers had bought every form for Rs 250 and sold it at a premium for Rs 300 to customers. The company had sold 6.10 Lakh forms.

But when bookings closed on April 25, the dealers had sold only 30-35 percent of it, including the top dealers in the country. They were then left burdened with thousands of unsold forms.

Earlier, when the Tata Motors bookings started on April 9, 2009, the dealers were told that the amount spent on the forms will not be refunded. But after the bookings closed, many dealers had approached the company and requested to make good their loss in the unsold forms.

While a dealer has confirmed that the amount would be refunded, a spokesperson for Tata Motors said the company does not wish to comment on it as it was their internal matter. The lower tan estimate number of bookings were attributed the reasons like -lack of test drive facility, confusion over procedure to make bookings and uncertainty of delivery schedule. Tata Motors had received over 2.03 lakh bookings for the Nano. This was below the 5 lakh bookings estimated by the company when Tata Nano was launched in March, 2009.