1. 

   Subsequently, on February 23, SFIO sent its research report along with proposal to call for information from Registrar of Companies (RoC). "On the basis of the report of SFIO, Ministry of Corporate Affairs vide letter dated February 25, 2016 has advised Regional Director (North Region) to direct RoC, Delhi to take up the matter with the company and its directors under Section 206 (1) of the Companies Act, 2013 and send a report through the Directorate," Prasad said.

2. 

   Freedom 251 mobile case: "The company has decided that we will, henceforth, offer 'cash on delivery' mode of payments for those who have placed an order for the 'Freedom 251' smartphone. This will ensure further transparency and clear any misgivings," Chadha added. The company plans to give 25 lakh handsets in the first phase before June 30. It received 30,000 orders on the first day and rest of the customers will be selected via first-come-first-serve basis as it received a mammoth over seven crore registrations.

3. 

   The minister said concerns were raised regarding the offer made by Ringing Bells. The Indian Cellular Association (ICA) informed that a smartphone with the technical specifications advertised by the company cannot be manufactured and made available at such a low price of Rs 251.

4. 

   Freedom 251 mobile case: The Noida-based startup claimed to have tied up with the payment gateway provider PayUbiz so that it receives payment only on the submission of proof of delivery (POD) to the payment gateway. "The company's decision to switch to the 'cash on delivery' payment method further obviates any doubts expressed by any quarter regarding the transparency of the company," Ringing Bells President Ashok Chadha pointed out.

5. 

   Freedom 251 mobile case: Reacting to allegations that Ringing Bells has nothing to do with "Make in India" or "Digital India" initiatives, the official said the firm has clearly developed its business plan in sync with the government initiatives to promote those plans, including the "Startup India" initiative. "Our humble beginning to provide a high-tech gadget that will benefit all in the hinterlands and bridge the huge gap that clearly exists between the metros and semi-urban/rural areas is in keeping with the government's initiatives," Chadha pointed out. On the preparedness of Ringing Bells to provide a smartphone for Rs 251 or whether it will have the BIS (Bureau of Indian Standards) certificate, Ashok Chadha assured that there will be no breach of trust.

6. 

   Freedom 251 mobile case: Earlier in the day, set to file an FIR against Ringing Bells, another Noida-based data centre and BPO Cyfuture, met a senior police official and was deliberating on filing a defamation suit too. According to Anuj Bairathi, Cyfuture founder and CEO, they met Vishwajeet Srivastava, Gautam Budh Nagar Superintendent of Police (crime branch), who looked into the matter and assured them a suitable course of action. "After deciding to file an FIR for fraud and non-payment of dues, we are now thinking to file a defamation suit against Ringing Bells as their allegation of non-performance has tarnished our image," Bairathi said.

7. 

   "The Directorate of Enforcement is investigating the matter for possible contraventions of provisions of Foreign Exchange Management Act (FEMA) 1999," Prasad said. Taking suo moto action based on news coverage related to the company, the Corporate Affairs Ministry on February 19 asked SFIO to keep a watch on the activities of the firm.

8. 

   Under Section 206, RoC can inspect books of a company, among others. Also, an internal committee was constituted by Deity on February 20 to review the issues related to 'Freedom 251'. "Ringing Bells was informed vide Deity's letter dated February 22, 2016 that mobile phones have been mandated under 'Electronics and Information Technology Goods (requirements for compulsory registration) Order, 2012' for compliance to Indian safety standards effective September 13, 2015. Therefore, the company was required to comply with BIS registration based on Indian safety standards," he added.