India, Aug. 21 -- The Central Consumer Protection Authority (CCPA) has slapped a penalty of INR 10 Lakh onride-hailing major Rapido for misleading advertisements and unfair trade practices.

The CCPA had taken suo motu cognisance of Rapido's two ad campaigns - 'Auto in 5 min or get INR 50' and 'guaranteed auto '- and found they were "misleading" and asked the startup to discontinue them immediately.

In addition, the authority has also directed Rapido to ensure that any commuter who availed the 'Auto in 5 min or get INR 50' offer and did not receive the promised INR 50 compensation shall be reimbursed the said amount in full without any further delay or condition. The CCPA's investigation found that the benefit offered was in Rapido coins...