Govt warns app cabs to take users for rides India News – Times of India

New Delhi: The Ministry of Consumer Affairs on Tuesday warned of strict action against them. online cab aggregators If they fail to address rising consumer complaints and are terminated unfair trade practices such as levying inconsistent taxes cancellation chargeinsurance and covid-19 fee For every ride without the explicit consent of the customers.
TOI has learned that a leading aggregator told ministry officials that out of all cancellations, in more than 30% of cases, drivers force customers to cancel rides. Sources said the company further disclosed that it came to this conclusion after monitoring the frequency of calls between the customer and the drivers once the booking is done.
Sources said that they have been receiving complaints from a large number of drivers refusing to pick up passengers and insisting cancel ride, “The customers have to pay the cancellation charges for no fault of theirs,” said a source.
during the meeting with Uber, HailstoneMeru Cabs, Rapido and Jugnoo, ministry officials said that a large number of consumer complaints against such aggregators were in relation to deficiency in services – it was in the range of 53% to 61% of the total number of complaints against the three. Key players during the last 13 months.
The officials cited data from the National Consumer Helpline to say that non-refund of the amount paid and levying unauthorized charges were two other major complaints of consumers. He told the aggregators that these were just “the tip of the iceberg”.
“We told them about the increasing consumer complaints. We also gave them the figures. We have asked them to improve their systems and redress consumer complaints, otherwise the competent authorities will take strict action,” Union Consumer Affairs Secretary Rohit Kumar Singh said after the meeting. Central Consumer Protection Authority (CCPA) chief commissioner Nidhi Khare said cab aggregators should come up with an immediate solution.
In a statement, the ministry said that the aggregators have assured that they will look into all the concerns. With regard to cancellation charges, they have said that it is levied to “compensate the drivers” for the journey of around 2-3 km once the booking is done.
Sources said, the ministry also told the aggregators that they do not disclose the algorithm or method used to charge different fares for the same route from two persons. The ministry said, ‘Due to this, users are forced to ride at arbitrary fares. It also informed them that since aggregators come under e-commerce rulesThey should have a designated Grievance Redressal Officer and 24×7 helpline number.
Nitish Bhushan, Head of Central Operations Uber India and South Asia said, “We are engaged with the Department of Consumer Affairs and … appreciate the feedback they have provided. We are committed to raising the bar – for ourselves, our industry, and Most important to those who use our services.”