PakkaHyderabadi 
Rapido faces penalty for misleading advertisement claims by CCPA
The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 10 lakh on the ride-hailing platform Rapido for misleading advertisements and unfair trade practices. The action was taken after investigating Rapido’s claim that promised a “Guaranteed Auto. Auto in 5 mins or get Rs 50” offer. The CCPA found the advertisement to be misleading as it did not clearly mention important terms and conditions.
CCPA directed Rapido to immediately stop these advertisements and to compensate customers who did not receive the promised cashback. Although Rapido clarified that the offer applied to coins worth “up to Rs 50”, which could be redeemed for bike rides within 7 days of being credited, the authority noted that the advertisement did not include the phrase “up to” and the “T&C Apply” disclaimer was hardly visible to the consumers.
This penalty by the CCPA sends a strong message to companies to ensure transparency in their promotional claims and highlights the importance of clear communication to protect consumer rights. Customers are now assured that misleading advertisements will be scrutinized and regulated to prevent unfair practices.
