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Why companies like Zomato and Swiggy are in trouble with the Indian government over user complaints?

Zomato

Major e-commerce food business operators like Swiggy and Zomato* have been asked to furnish details about their consumer grievance redressal mechanism within 15 days, according to a press release shared by the government. The Department of Consumer Affairs (DoCA) has also asked the companies to submit a proposal on how they can improve this framework. Why it matters: The popularity of food aggregators has surged in recent years as people are forced to stay indoors on account of the pandemic. The popularity has also led to an increase in the number of complaints from consumers casting spotlight on business practices of these companies. Where was this decision made: The companies were instructed during a meeting chaired by the secretary of the department, Rohit Kumar Singh. The meeting was held to discuss several issues affecting the consumers of these companies. Who all…

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I cover several beats such as Crypto, Telecom, and OTT at MediaNama. I can be found loitering at my local theatre when I am off work consuming movies by the dozen.

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