CCPA Slaps ₹10 Lakh Penalty on Rapido for Misleading Ads, Orders Consumer Compensation
The company has also been ordered to discontinue such misleading advertisements with immediate effect.
New Delhi, August 21: The Central Consumer Protection Authority (CCPA) has imposed a penalty of ₹10 lakh on online ride-hailing platform Rapido (Roppen Transportation Services) for running misleading advertisements that promised “Auto in 5 min or get ₹50”.
In addition to the monetary penalty, the regulator directed Rapido to reimburse all consumers who availed the offer but did not receive the promised compensation. The company has also been ordered to discontinue such misleading advertisements with immediate effect.
Investigation Findings
The CCPA found that Rapido’s ads, which ran for nearly 1.5 years across multiple languages and cities, were false, unfair, and deceptive.
- The promised ₹50 compensation was not paid in currency but offered as “Rapido coins”, with restrictions: capped at “up to ₹50”, valid only for bike rides, and expiring in seven days.
- The disclaimer “T&C Apply” was displayed in tiny, unreadable font.
- Terms stated the guarantee was from individual captains rather than Rapido itself—contradicting the main claim.
According to CCPA, these omissions created a false impression of assured service, compelling consumers to use other Rapido services within a short timeframe.
Complaints and Consumer Grievances
Data from the National Consumer Helpline (NCH) revealed:
- 575 complaints against Rapido between April 2023 and May 2024.
- 1,224 complaints between June 2024 and July 2025.
Most grievances cited service deficiencies, non-refunds, overcharging, and failure to honour the “5-minute” guarantee. CCPA noted that despite being shared with the company, many complaints remained unresolved.
CCPA’s Warning
The Authority stressed that disclaimers cannot contradict or conceal material information under the Guidelines for Prevention of Misleading Advertisements and Endorsements, 2022. By violating these norms, Rapido engaged in unfair trade practices, CCPA ruled.
Rapido, which operates in over 120 cities, was asked to compensate affected users without delay.
Consumers were advised to remain alert against advertisements making “guaranteed” or “assured” claims without adequate disclosure. Complaints can be filed via the NCH helpline (1915), mobile app, or website.
