Mumbai Ola Drivers Under Scanner After Two-Year Fare Manipulation Investigation

Mumbai Ola Drivers Under Scanner After Two-Year Fare Manipulation Investigation

SUMMARY

The drivers used a older version of Ola to manipulate the final fare, typically for long-distance rides

Mumbai police arrested three drivers in November last year while 33 other drivers have been named in a chargesheet

The difference between the estimated and actual fares for the 36 cabs was over INR 31,44,489

Thirty-three Ola drivers have been accused of illegally manipulating the app’s software to hike fares in a charge sheet filed by the Mumbai Police. The police had already arrested three such drivers in November 2020 under sections of cheating and common intention (a pre-arranged plan).

The police are now looking for evidence against the 33 other drivers that have been named in the charge sheet that runs up to 400 pages, as per reports. The scam came to light after a team of Crime Branch (Unit 1) received a tip-off about the operations at Mumbai airport, mainly on Ola trips to Panvel.

As per the charge sheet, the drivers found a glitch in an older version of the Ola app that would show the cab to be below the bridge even if it was on top of it. This led to an inflation in the distance covered, and therefore the fare as well. Drivers would shut the Ola app while driving under a bridge or flyover, and when the app was restarted, it would recalculate the distance travelled and show an inflated figure.

As a part of the probe, the investigating officer assistant inspector Jayesh Thakur tracked fares of 36 cabs affiliated with Ola for two years between January 1, 2019 to December 15, 2020 across Mumbai. They calculated cases in which there was a substantial difference in the estimated price displayed when a cab was booked and the actual fare charged at the drop off location.

The police found the difference between the estimated and actual fares for these 36 cabs to be over INR 31,44,489 during these two years. Of this, 20% or INR 6,28,897 went to Ola, while the drivers pocketed the rest. It must be noted that not every instance of estimated and final fare difference was a result of manipulative practices, as in some cases, Ola customers would also extend the trip or include a waiting time causing the fare to go up.

Back in July 2020, police in Bengaluru also arrested four drivers for allegedly duping Ola of lakhs of rupees by creating fake rides for a commission using a fake location app. Deputy Commissioner of Police Kuldeep Jain said that the Central Crime Branch (CCB) detected a cheating case against these drivers for duping the company for lakhs.

You have reached your limit of free stories
Become An Inc42 Plus Member

Become a Startup Insider in 2024 with Inc42 Plus. Join our exclusive community of 10,000+ founders, investors & operators and stay ahead in India’s startup & business economy.

2 YEAR PLAN
₹19999
₹7999
₹333/Month
UNLOCK 60% OFF
Cancel Anytime
1 YEAR PLAN
₹9999
₹4999
₹416/Month
UNLOCK 50% OFF
Cancel Anytime
Already A Member?
Discover Startups & Business Models

Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the hottest startup deals, supercharge your innovation projects, and stay updated with expert curation.

Mumbai Ola Drivers Under Scanner After Two-Year Fare Manipulation Investigation-Inc42 Media
How-To’s on Starting & Scaling Up

Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn to validate ideas, acquire customers, secure funding, and navigate the journey to startup success.

Mumbai Ola Drivers Under Scanner After Two-Year Fare Manipulation Investigation-Inc42 Media
Identify Trends & New Markets

Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence, understand market landscapes, and decode emerging trends to make informed decisions.

Mumbai Ola Drivers Under Scanner After Two-Year Fare Manipulation Investigation-Inc42 Media
Track & Decode the Investment Landscape

Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful investors, and keep track of upcoming funds, accelerators, and more.

Mumbai Ola Drivers Under Scanner After Two-Year Fare Manipulation Investigation-Inc42 Media
Mumbai Ola Drivers Under Scanner After Two-Year Fare Manipulation Investigation-Inc42 Media
You’re in Good company