Ola ordered to compensate customer for charging full fare on incomplete ride

Cab aggregator Ola has been instructed to pay compensation and provide a refund to a customer who was charged the full fare despite his ride being curtailed. As per a TOI report, the Hyderabad District Consumer Disputes Redressal Commission-III found Ola Cabs at fault for their deficiency in service and unfair trade practices.

The commission ruled that Ola Cabs must reimburse the admitted excess amount of Rs 912 along with 12 per cent interest from the travel date. Furthermore, the company was directed to pay Rs 2,000 as compensation and an additional Rs 1,000 as costs to the complainant, Ajay Velpula, within a 45-day timeframe.

Velpula, residing in Bholakpur, lodged a complaint recounting his experience on January 19, 2021. He had booked a ride with Ola Cabs from Bhoiguda in Secunderabad to Chillapally village in Manthany mandal, Peddapally District. However, due to personal reasons, he had to disembark at Garrepalle after completing 173 km of the total 215 km journey. Despite the shorter distance, he was charged an amount of Rs 5,848, equivalent to a fare for a 273 km ride.


Velpula sought clarification from both the driver and Ola Cabs' customer care, but found their responses unsatisfactory. Although he was promised a refund of Rs 912, he deemed this insufficient considering the excessive charge. Consequently, he filed a complaint with the consumer commission, aiming for a refund of the overcharged amount, as well as compensation and costs.

The commission acknowledged Ola Cabs' admission to initiating the refund of Rs 912. However, they deemed the response inadequate and identified it as a deficiency in service and an unfair trade practice, leading to the imposition of penalties.