Ofo boss urges firm to 'carry on work'

Imaginechina

Shared bike service ofo has failed to provide a timetable for the return of riders’ deposits, with more than 10 million people now in the queue.

“We failed to make a proper operation adjustment following the changing capital and business environment and have been under huge pressure from tight cash flow,” founder and Chief Executive Officer Dai Wei said in a letter to employees.

“But we still have to carry on with our work because riders are still using our bikes and still rely on our services,” he added, despite previous thoughts about filing for bankruptcy.

A Shanghai rider surnamed Yang asked for a deposit refund yesterday and was told more than 11.23 million user are ahead of him

Hundreds of users have been queuing up outside ofo’s headquarters in Beijing’s Zhongguancun area after China Youth Daily reported on Sunday that a user had managed to retrieve her deposit there after making unsuccessful attempts through online channels.

Ofo’s Dai urged employees to stay responsible to users and to overcome whatever difficulties lay ahead.

Ofo officials yesterday declined to respond to the Shanghai Daily’s request for the number of refund requests, and said official releases will be posted through social media accounts.

At its peak ofo had nearly 200 million users but didn’t reveal its cash flow situation or profitability.

Last year, the Ministry of Transport, along with nine other government institutions, urged bike sharing companies to set up a special deposit account but this was not legally binding.