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Central Consumer Protection Authority sends notices to Ola, Uber for unfair trade practices

Vibha Sharma

New Delhi, May 20

The Central Consumer Protection Authority (CCPA) has issued notices to Ola and Uber, the online ride hailing platforms, for unfair trade practices and violation of consumer rights.

A significant number of complaints have been lodged by consumers across the country on multiple issues which affect their rides booked through both the ride hailing platforms. As per the data from the National Consumer Helpline (NCH), from April 1, 2021, to April 1, 2022, as many as 2,482 grievances were registered by consumers against Ola and 770 against Uber, according to the department

As per an official statement, last week in a meeting with Ola, Uber, Rapido, Meru Cabs and Jugnoo, the department directed them to become convergence partner in the National Consumer Helpline, to enable better grievance redressal for consumers and also compliance with Consumer Protection Act, 2019 and E-commerce Rules

Primary issues raised in the notices include deficiency in service like lack of proper response from customer support, driver refusing to take payment by online mode and insisting for cash only, higher amount charged despite going on the same route previously at a lesser charge, unprofessional driver behaviour and driver refusing to switch on AC when the consumer is promised AC ride on the app.

Inadequate consumer grievance redressal mechanism, unreasonable levy of cancellation charge, lack of any information on the algorithm, inclusion of charges for add-on services by pre-ticked boxes were the other issues raised by customers.

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