Swiggy ordered to pay ?35,000 for inflating delivery distances and overcharging Hyderabad customer

Swiggy, a food delivery app, was fined ?35,000 for exaggerating delivery distances to overcharge clients. According to a Times of India report, Swiggy was ordered to pay ?35,000, including punitive damages, to a Hyderabad man who complained about the company's unfair trade practices. The District Consumer Disputes Redressal Commission in Telangana's Ranga Reddy district handed down the decision.

What did the customer complain about?

Credit: X/ @shobhitic | Emmadi Suresh Babu, a Hyderabad resident, filed a complaint against Swiggy with the consumer court

Emmadi Suresh Babu, a Hyderabad resident, filed a complaint against Swiggy with the consumer court. Babu claimed to have purchased a Swiggy One membership, which entitled him to free delivery within a certain distance.

However, when he ordered dinner from Swiggy on November 1, 2023, the platform raised the distance between his home and the restaurant from 9.7 kilometres to 14 kilometres.

Swiggy charged him ?103 for delivery distance. The court evaluated Babu's evidence, including Google Maps screenshots, and determined that Swiggy had artificially exaggerated the delivery distance.

According to the TOI report, Swiggy's absence from the proceedings prompted the court to proceed ex parte.

What did the court order Swiggy to do?

Credit: Canva | Swiggy was ordered to pay Rs 35,000

The District Consumer Disputes Redressal Commission in Ranga Reddy, Telangana, ordered Swiggy to repay 350.48 plus 9% interest from the filing date, which Babu had paid for his meal purchase.

The meal delivery platform was also ordered to repay the Hyderabad resident's ?103 delivery cost. Swiggy was ordered to pay ?5,000 for mental pain and inconvenience, cover Babu's litigation fees with an additional ?5,000, and stop increasing the distance for Swiggy One member.

Swiggy must pay ?25,000 in punitive damages to the Consumer Welfare Fund of the Ranga Reddy District Commission. One of India's biggest food delivery platforms has 45 days to comply with the injunction.

Also read: Swiggy executive and IIT Madras alumnus applauds job applicant's 'old-school approach,' but says 'no role now'

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