CCPA Fines Ola for Pre-Ride ‘Tip’ Feature

CCPA held omissions amounted to concealment of material information under Section 2(28)(iv) of the Consumer Protection Act, 2019

 | 
OLA

 

 

UdaipurTimes, Nov 13, 2026 - The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 10 lakh on ANI Technologies Private Limited, which operates the ride-hailing platform Ola, for soliciting additional payments from consumers before completion of their journeys through its pre-ride “tip”/“add-on” feature. The Authority has directed Ola to immediately discontinue the practice, holding that it misleads consumers, constitutes an unfair trade practice and employs a dark pattern, as per an official press release.

The order was passed by the CCPA, headed by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, following an examination of the feature that prompted consumers to make an additional payment while the App was searching for a driver, suggesting that it could improve their chances of securing a ride faster. Although Ola subsequently renamed the “tip” as an “add-on”, the underlying practice remained unchanged.

The CCPA examined the different versions of the Ola App interface and found messages such as “Adding a tip might help increase the chances of getting a ride faster”, “Tip now to boost the chances of getting a ride sooner” and “Improve your chances of quicker ride confirmation!” suggested that paying extra would help consumers secure a ride faster.

The Authority observed that these messages appeared while the App was searching for a driver and directly above pre-set payment amounts. This created the impression that an additional payment could speed up the booking process. 

The Authority also noted that Ola's position was contradictory. While the company said the add-on did not influence ride allocation, its App suggested that paying extra could improve the chances of getting a ride sooner.

Further, consumers were not informed that the platform's own data showed lower acceptance rates for requests carrying an add-on or the basis on which the suggested payment amounts were generated. The CCPA held that these omissions amounted to concealment of material information under Section 2(28)(iv) of the Consumer Protection Act, 2019.

The CCPA has directed Ola to:

  • Immediately discontinue all prompts, messages, pre-set amounts and interface designs that solicit any payment, whether described as a tip, add-on, additional fare or by any other name, over and above the upfront fare before completion of the journey.
  • Ensure strict compliance with the Consumer Protection Act, 2019; the Guidelines for Prevention and Regulation of Dark Patterns, 2023; and the Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022.
  • Pay a penalty of Rs 10 lakh.

The CCPA has also taken suo motu action against other cab aggregator platforms concerning the same practice. It has earlier passed an order against Rapido (Roppen Transportation Services Pvt. Ltd.), imposing a penalty of Rs 10 lakh. Proceedings against Uber and Namma Yatri are currently under investigation.