India, Aug. 21 -- The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 10 lakh on Rapido (Roppen Transportation Services Pvt. Ltd.) for running misleading advertisements and engaging in unfair trade practices.
The action follows Rapido's promotional claims such as "Auto in 5 min or get ?50" and "Guaranteed Auto", which CCPA found to be false, misleading, and unfair to consumers. The authority has directed the company to immediately discontinue such advertisements and ensure reimbursement of the promised compensation to all eligible users.
Investigations revealed that the ?50 benefit was not actual cash but "Rapido coins", redeemable only for bike rides within seven days, with the amount capped at "up to ?50." The d...