Deep Chandra Pande Vs Roppen Transportation Services Private Limited (Competition Commission of India)
The Competition Commission of India (CCI) dismissed an information filed against ride-hailing platform Rapido alleging abuse of dominant position under Section 4 of the Competition Act, 2002.
The Informant, Director of HitoHit Solutions (OPC) Private Limited, alleged that Rapido used private white-plate two-wheelers for commercial passenger services in violation of Sections 66 and 93 of the Motor Vehicles Act, 1988. According to the Informant, this enabled Rapido to avoid costs relating to commercial permits, insurance, and taxes, allowing it to offer ultra-low fares, rapidly gain market share, and create barriers for compliant competitors.
The Informant also alleged that Rapido’s zero-commission model in the auto segment lacked transparency regarding remittance of GST and State Transport Authority (STA) taxes. It was claimed that the platform suppressed effective operational costs and offered artificially low fares by allegedly not collecting or remitting applicable taxes properly.
Further allegations included violation of the Uttarakhand On-Demand Transportation Rules, 2024 by charging fares below prescribed minimum levels. The Informant claimed that Rapido charged Rs.14 per km for the first 15 km whereas the applicable fare structure prescribed Rs.60 for the first 2 km and Rs.18 per km thereafter. This was alleged to amount to predatory pricing under Section 4 of the Act.
