Here's the chronological update as it happened.
1) I had been in touch with my SA as well as Sundaram VW sales head almost once every 2-3 days the entire month of Feb. The communication as always was "sir, you will get it shortly, hopefully within 8-10 days". The same message was reiterated as late as 26-Feb.
2)On 28-Feb, I get an email from an employee at Sundaram VW.I had not met this lady before. She advised me that basis information received from VW the blue color will not be available before April.
3) I expected this. I wrote back to an ID provided by Salman_ferrari, copied it to customercaresales@VW and the dealership detailing the delivery promise, booking amount (50k), and latest communication. I did not make it a crib session but just mentioned that the least I could expect was a call from the very gentlemen (SA/sales head) I had been in touch with for 3 months.
01-March
4) I called up Kun VW and they confirmed that the beige color was still available. It was. I was out of station and hence couldn't book it personally but they managed to send a runner boy to my bank RM who paid them the booking amount.
03-March
5) I received a call from a Bangalore number who introduced himself as a VW employee and he called to discuss my email. He advised me that the color blue will begin to be manufactured by 2-April and will not be available before 7th/8th of April and that I should choose another color in Chennai.
5) My SA finally called me and apologized for not calling up earlier. He advised that his sales head was distraught with my feedback. he informed me that the dealer was desperately trying to get me the car but the company wouldn't manufacture it. Apparently VW was admonishing the dealer no end for improper and inconsistent communication method/channels I was also told that "it was a blackmark on the sales heads performance".
I told him that I understand it wasn't the dealers fault that the car was not available, it was also not my intention to point fingers but I did tell him that over the last few weeks, I would have called the dealer 15-20 times without ever receiving a call in return and finally the news of the delay came through an unknown email ID. i have been in a customer facing job in a bank for 7 years, and this was not how it was done.
6) PDI of the beige car done and full amount paid. Insurance taken through HDFC. Dealer offers 7k corporate discount on behalf of my wife who's an employee. Marriage certificate is taken as proof. (I was denied this benefit by Sundaram VW, who said that the booking has to shift to my wife's name to avail this benefit)
5-March
7) Sundaram VW sends two people to return my deposit amount through a DD. They also request me to sign a feedback form which essentially stated that my overall experience with the dealership was very good and had some over the top praise for their service levels. I courteously declined to sign it saying that my experience did not reflect what was written on this form and hence it would be unfair for me to sign. They acknowledged and left.
8) Delivery taken from Kun VW, Annanagar. The entire process was very smooth. Full demo was given, I spoke to a service manager about any specific instructions to run-in/maintain the engine, DSG etc. they cut a cake
, fired up some pop-up color papers, gave me a car cover and ushered me off. I found the Kun VW guys more friendlier and eager to close the deal. They're new, so may be thats the reason.