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 disclaimer “T&C Apply” was displayed in an extremely small, unreadable font, concealing critical conditions and creating a false impression of assured service.

Data from the National Consumer Helpline (NCH) showed a surge in complaints against Rapido — 575 cases between April 2023 and May 2024, rising to 1,224 between June 2024 and July 2025. Issues reported include service deficiencies, non-refunds, overcharging, and failure to honor the 5-minute guarantee.

Given Rapido’s presence in over 120 cities and the campaign’s wide reach for nearly 1.5 years, the CCPA invoked its powers under the Consumer Protection Act, 2019 to safeguard consumer interests.

The authority has urged consumers to remain vigilant against advertisements making tall promises without disclosing conditions. Complaints of misleading ads or unfair trade practices can be lodged through the National Consumer Helpline (1915), its app, or the official website.