Freedom 251 Smartphone maker gets bail in fraud case

Freedom 251 Smartphone maker gets bail

Freedom 251 Smartphone maker gets bail in fraud case or Makers of Freedom 251 gets bail in the fraud case. Goel and Sumit Kumar, director, Ringing Bells, were arrested in February after Ghaziabad-based Ayam Enterprises alleged that Goel ‘defrauded’ the company of Rs 16 lakh.

Freedom 251 Smartphone maker gets bail

The ‘Freedom 251’ smartphone that was supposedly supposed to be the cheapest smartphone made in India ended up being one of the largest fraud cases ever reported. The company “Ringing Bells”, headed by Mohit Goel and Sumit Kumar was accused of illegally obtaining Rs 16 lakhs. The duo was arrested after the company Ayan Enterprises based in Ghaziabad alleged that the company has illegally acquired 16 lakh rupees.

Freedom 251 went out of stock soon after launch

Freedom 251 Smartphone maker gets bail: Ayam Enterprises is a phone distributor and requested for the smartphones from the company Ringing Bells. Ayam Enterprises has paid Rs 30 lakhs to Mohit Goel but has received handsets that were worth Rs 13 Lakhs only. The distributor was in constant touch with the company and it reminded the company to supply the rest of the phones. However, the company failed to deliver despite the constant reminded. The company, Ringing Bells, also did not return back the money to the distributors.

According to more recent reports, the Allahabad high court has granted bail to the Freedom 251 makers. Freedom 251 Smartphone maker gets bail, Mohit Goel and Sumit Kumar, the directors of Ringing Bell, has also come in an agreement with Ayam Enterprises, details regarding which was not exposed.

The layer representing Ringing Bells said that due to lack of evidence, the directors were not charged in any way. However, the concerned parties agreed upon a compromise.

Company failed to meet promises

Freedom 251 was launched in February 2016. The company promised to come up with a smartphone at an unbelievable price. The smartphone was an entry level device, at par with another budget smartphone from other brands which had over twenty times higher price tag. Even though it did not have some essential hardware, such as GPS, or Accelerometer, the phone was the still way to underpriced. The media did not take much time to get to the roots of this scheme, quickly pointing it out as a scam.

The website that was launched for taking orders crashed. The customers ordering the phone would have to first pay to book the phone. However, later, the company offered cash of delivery. But it could not keep up to its promise. The website was mostly inaccessible and orders were canceled.

Don’t Miss: Man behind Freedom 251 Mohit Goel Detained for Fraud

The specs of the freedom 251 phone are as follows:

Display4 inches diagonally
Resolution540×960 pixels
Processor1.3GHz Quad Core
Connectivity2G/3G, Wi-Fi, Bluetooth
Storage8 GB
Rear Camera3.2 MP
Front Camera0.3 MP (VGA)
OSAndroid 5.1
Battery Capacity1450 mAh
GPSNot available

The company managed to deliver only 5000 phones whereas more than 70000 people booked the device. The company again started their campaign by June 2016, when 30,000 more orders were placed but the devices were not delivered. The company failed to meet the promises on a large scale. AyamEnterprises, a distributor, took the first legal step again Ringing Bell, launching and FIR complaint against the company.

At present, the Ringing Bells have closed down all their offices and the company has shut down.

Freedom 251 Smartphone maker gets bail in fraud case
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