The central government directs cab aggregators such as Uber and Ola to stop offering an advance tipping option to riders, with the Consumer Affairs Secretary, Neeraj Khare, calling the feature misleading and unfair. The instruction follows action by the Central Consumer Protection Authority (CCPA), which penalizes Rapido.
The CCPA issues a ₹10 lakh penalty on Rapido for alleged unfair business practices, including advance tipping for drivers. Alongside the directive to other aggregators, the government says it is examining complaints from consumers and has opened investigations related to Uber and Ola over how advance tipping is presented.
Across the outlets, the core focus is on the advance tipping feature in ride-hailing apps and the government’s view that it does not meet consumer protection expectations. Both reports also link the new order to the prior CCPA penalty and ongoing scrutiny of other platforms.
