NewzVille Desk
In the protection of consumer rights, the Central Consumer Protection Authority (CCPA) has ordered Rapido to pay a penalty of ₹ 10,00,000 for publishing misleading advertisements and unfair trade practices.
In addition, the Authority has also directed the online ride platform to ensure that any consumer who availed the “AUTO IN 5 MIN OR GET ₹50” offer and did not receive the promised ₹50 compensation shall be reimbursed the said amount in full without any further delay or condition.
CCPA took cognizance of the misleading advertisements of Rapido that promised consumers “AUTO IN 5 MIN OR GET ₹50” and “Guaranteed Auto”. After detailed examination, CCPA has held these advertisements to be false, misleading and unfair to consumers and has directed to discontinue the misleading advertisements with immediate effect.
Data from the National Consumer Helpline (NCH) showed:
- 575 complaints against Rapido between April 2023 and May 2024.
- 1,224 complaints between June 2024 and July 2025.
CCPA’s investigation found that the disclaimer “T&C Apply” in Rapido’s advertisements was displayed in extremely small and unreadable font. The promised ₹50 benefit was not actual currency (in rupees) but “Rapido coins”, and even then, the benefit was “up to ₹50” and not always exactly ₹50.
These coins could only be redeemed against Rapido bike rides and carried a validity of just 7 days. Such restrictions materially reduced the value of the offer and effectively compelled consumers to use another service from Rapido within an unreasonably short time.
Such omissions created a false impression of assured service and misled consumers into choosing Rapido.
Further, while the advertisement prominently claimed “Auto in 5 min or get ₹50”, the Terms and Conditions stated that the guarantee was being offered by individual captains and not by Rapido itself.
This contradictory stance attempted to shift liability away from the company, misleading consumers about the very assurance made in the advertisement.
