You might have frequently seen Rapido claiming that “If an auto doesn’t arrive within 5 minutes customers get ₹50.” What used to be a marketing promise has now become a major headache for the bike auto and cab ride-hailing platform as the Central Consumer Protection Authority (CCPA) has slapped Rapido with a Rs 10 lakh fine. Why did Rapido face a huge penalty from the CCPA? The company was fined because it misled people with its advertising. Rapido had claimed in its ads that “an auto will arrive within 5 minutes or customers will get ₹50” but it failed to keep this promise. As a result the company is now facing serious trouble. What was misleading about Rapido’s ₹50 auto promise? In addition the Central Consumer Protection Authority (CCPA) has also directed the online ride hailing platform to ensure that any consumer who availed the “AUTO IN 5 MIN OR GET ₹50” offer and did not receive the promised Rs 50 compensation shall be reimbursed the said amount in full without any further delay or condition. CCPA took cognizance of the misleading advertisements of Rapido that promised consumers “AUTO IN 5 MIN OR GET ₹50” and “Guaranteed Auto”. After detailed examination CCPA has held these advertisements to be false misleading and unfair to consumers and has directed to discontinue the misleading advertisements with immediate effect. According to the Press Information Bureau CCPA’s investigation found that the disclaimer “T&C Apply” in Rapido’s advertisements was displayed in extremely small and unreadable font. The promised ₹50 benefit was not actual currency (in rupees) but “Rapido coins” and even then the benefit was “up to ₹50” and not always exactly ₹50. These coins could only be redeemed against Rapido bike rides and carried a validity of just 7 days. Such restrictions materially reduced the value of the offer and effectively compelled consumers to use another service from Rapido within an unreasonably short time. Such omissions created a false impression of assured service and misled consumers into choosing Rapido. Further while the advertisement prominently claimed “Auto in 5 min or get ₹50” the Terms and Conditions stated that the guarantee was being offered by individual captains and not by Rapido itself. This contradictory stance attempted to shift liability away from the company misleading consumers about the very assurance made in the advertisement. Guidelines for Prevention of Misleading Advertisements and Endorsements 2022 states that disclaimers in advertisements shall not contradict the main claim conceal material information or be used to correct a misleading claim. In Rapido’s case the claims ‘Guaranteed Auto’ and ‘Auto in 5 min or get ₹50’ created an impression that consumers would invariably receive ₹50 if the auto was not provided within 5 minutes. However the material limitation that the benefit was restricted to ‘up to ₹50’ and that too only in the form of Rapido coins with a short validity was either omitted or not disclosed with equal prominence. This concealment and lack of clarity rendered the advertisement deceptive directly contravening the requirements under said Guidelines. Data from the National Consumer Helpline (NCH) showed: 575 complaints against Rapido between April 2023 and May 2024. 1224 complaints between June 2024 and July 2025 reads the press release. Story Highlights CCPA has ordered Rapido to pay penalty of ₹ 1000000 for publishing misleading advertisement. Rapido had claimed in its ads that “an auto will arrive within 5 minutes or customers will get ₹50” but it failed to keep this promise. The company was fined because it misled people with its advertising. CCPA noted that over the last two years the NCH has received a growing number of complaints from consumers against Rapido. CCPA noted that over the last two years the NCH has received a growing number of complaints from consumers against Rapido. Many of these grievances relate to deficiencies in services non-refund of paid amounts overcharging failure to provide promised services and non-fulfillment of the guaranteed “5-minute” service. The steady rise in such complaints reflects a wider pattern of consumer dissatisfaction prompting CCPA to take strict action to safeguard consumer interests. Most of these grievances remain unresolved despite being shared with Rapido.