Rapido Fined ₹10 Lakh for Misleading Advertisements, Ordered to Compensate Consumers
Rapido Fined ₹10 Lakh, the Central Consumer Protection Authority (CCPA) has imposed a penalty of ₹10 lakh on Rapido, the online ride-hailing platform operated by Roppen Transportation Services Pvt. Ltd., for publishing misleading advertisements and engaging in unfair trade practices.
False Promises and Consumer Misleading
The penalty follows an investigation into Rapido’s advertisements that claimed “AUTO IN 5 MIN OR GET ₹50” and “Guaranteed Auto”. CCPA found these claims to be misleading, deceptive, and unfair to consumers. The platform has been directed to immediately discontinue such misleading ads.
Further, Rapido must compensate all consumers who availed the offer but did not receive the promised ₹50. The reimbursement must be provided in full, without delay or conditions.
Misleading Terms and Limited Value
The investigation revealed that the fine print in Rapido’s ads was unclear and displayed in an unreadable font. Contrary to the main claims, the ₹50 benefit was not in actual currency but in “Rapido coins” worth up to ₹50. These coins could only be used for bike rides on the platform and expired within just seven days. These terms significantly limited the value of the offer and pushed consumers to use another service quickly.
Additionally, while the advertisement promised ₹50 compensation for delays, the Terms and Conditions stated that the guarantee came from individual captains, not from Rapido. This contradiction misled users into believing the platform itself was accountable.
As per the 2022 Guidelines for Prevention of Misleading Advertisements and Endorsements, disclaimers must not contradict the main claim or conceal essential information. Rapido’s failure to clearly disclose the actual limitations of its offer was a direct violation of these rules.
Rising Complaints and Regulatory Action
Complaints against Rapido have sharply increased over the past two years. Data from the National Consumer Helpline shows:
575 complaints from April 2023 to May 2024
1,224 complaints from June 2024 to July 2025
Most grievances relate to service deficiencies, overcharging, delayed refunds, and failure to meet guaranteed timelines. Many remain unresolved despite being escalated to the company.
CCPA highlighted that the misleading campaign ran for about 548 days in multiple regional languages across more than 120 cities. The prolonged duration and widespread reach of the ads prompted the authority to act in the interest of consumer protection.
Advisory to Consumers
CCPA has urged consumers to stay vigilant about ads that promise “guaranteed” or “assured” services without explaining the conditions. If consumers encounter misleading claims or unfair practices, they can report them through:
National Consumer Helpline (Call 1915)
NCH App or official website
