New Delhi, 13 November (H.S.): Ride-hailing and mobility platform Ola has been penalised for seeking additional payments from customers even before their journeys begin. The Central Consumer Protection Authority (CCPA) has imposed a fine of Rs 10 lakh on ANI Technologies Private Limited, which operates Ola, and directed the company to immediately discontinue the practice.

According to the Ministry of Consumer Affairs, Food and Public Distribution, the order was issued by the authority, headed by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, following an examination of the feature that prompted customers to make additional payments while the app was searching for a driver. The feature suggested that paying extra could improve their chances of securing a ride more quickly. Although Ola subsequently renamed the 'tip' feature as an 'add-on', the underlying practice remained unchanged.

The Ministry said the CCPA had concluded that the practice was misleading and constituted an unfair trade practice that could create confusion among consumers. The authority has directed the company to immediately stop soliciting additional payments through the pre-ride 'tip' or 'add-on' feature. According to the Ministry, the CCPA considers the practice misleading and unfair, and has classified it as a dark pattern.

Union Minister for Consumer Affairs, Food and Public Distribution Pralhad Joshi said the penalty had been imposed because Ola displayed misleading prompts encouraging customers to make additional payments before their rides. He added that the authority had also directed the platform to discontinue the feature.

Joshi said the action reflected the Ministry's firm stance against dark patterns, unfair practices and misleading claims. He added that the move reaffirmed the government's commitment to protecting consumer rights and ensuring transparency in digital services.

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Hindusthan Samachar / Jun Sarkar