In sharp contrast to Rapido’s prompt action regarding false cashback claims, the government’s inquiry of Ola and Uber’s pricing algorithms has probably delayed down since it is difficult to properly decipher how prices are determined.
Government Probes Ride-Hailing
The delays come at a time when authorities are increasing monitoring on the whole ride-hailing industry, citing increased customer complaints and murky platform practices.
“The Director General (Investigation) is now expected to call in domain specialists to assess whether the ride-hailing firms have engaged in unfair trade practices,” a senior government source told Moneycontrol.
Although the government is certain that “there are shortcomings,” the official said that any quasi-judicial action must be supported by “strong technical findings.”
Ola Electric Faces Complaints
Ola and Uber did not react to Moneycontrol’s questions at the time of publishing the report. The article will be updated later with comments.
In August, Rapido, faced a Rs 10-lakh penalty for deceptive ads. The regulator ruled that statements such as “Guaranteed Auto” and “Auto in 5 minutes or receive Rs 50” were not sufficiently proved and disguised material circumstances, breaching consumer protection requirements. This more thorough analysis comes after previous regulatory flashpoints in the industry.
In May 2025, the Central Consumer Protection Authority (CCPA) filed a warning to Uber India about its “advance tip” function, which enables consumers provide a gratuity before confirming a trip to boost the odds of obtaining a ride.
Ola Told To Improve
The notification came after Consumer Affairs Minister Pralhad Joshi slammed the technology as “unethical” and “exploitative,” triggering widespread demands for tougher regulation.
Moneycontrol’s investigation subsequently discovered that practically all major mobility platforms, Uber, Ola, Namma Yatri and Rapido, incorporated similar tipping or add-on incentives, particularly during high demand or inclement weather, spurring more inquiry.
In October 2025, the CCPA urged Ola to undertake consumer-friendly improvements, including offering users the choice of refunds back to bank accounts instead of merely coupon codes and guaranteeing accurate receipts for vehicle trips.
