New Delhi, Aug 21 (UNI) The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 10 lakh on Rapido (Roppen Transportation Services Pvt. Ltd.) for publishing misleading advertisements and engaging in unfair trade practices, delivering a stern warning to the online ride-hailing platform amid growing consumer grievances.
The CCPA under the Union Consumer Affairs Ministry also took serious view against the online ride-hailing platform’s apathetic services as reflected in a sharp rise in complaints from the consumers. It cited data from the National Consumer Helpline (NCH) which showed 575 complaints from April 2023 to May 2024, and 1,224 complaints between June 2024 and July 2025.
The grievances predominantly concerned service deficiencies, non-refund of amounts, overcharging, and failure to deliver the guaranteed 5-minute auto service, said the CCPA in its statement here.
The CCPA directed the online ride-hailing platform to immediately discontinue its misleading advertisement campaign promoting “AUTO IN 5 MIN OR GET Rs 50” and “Guaranteed Auto.” The authority also mandated that consumers who availed the offer but did not receive the promised Rs 50 compensation must be reimbursed in full without delay or any conditions, said the statement.
The investigation revealed that the disclaimers indicating terms and conditions were displayed in an extremely small font, making them practically unreadable. Furthermore, the Rs 50 compensation was not paid in actual currency but as “Rapido coins,” which could only be redeemed for bike rides and had a validity of just seven days. The benefit was often less than Rs 50 and thus failed to meet the claims made in the advertisements.
Additionally, while the advertisements asserted “Auto in 5 min or get Rs 50,” the fine print clarified that the guarantee was offered by individual drivers (‘captains’) and not by Rapido itself. This contradictory information misled consumers by shifting responsibility away from the company, creating a false assurance, said the statement.
Rapido’s misleading campaign spanned nearly 1.5 years (approximately 548 days) and was broadcast in multiple regional languages across over 120 cities. Given the wide reach and prolonged duration, the CCPA—under Sections 10, 20, and 21 of the Consumer Protection Act, 2019—stepped in to protect consumer interests, noted the CCPA as per the statement.
