CCPA and NCH Take Decisive Action to Protect Consumers

The Central Consumer Protection Authority (CCPA) has imposed a penalty of ₹3 lakh on VLCC Limited for publishing misleading advertisements about fat-loss and slimming treatments using the US-FDA approved CoolSculpting procedure. The CCPA’s action reinforces its commitment to protecting consumers from false and exaggerated claims in the health, wellness, and beauty industries.

The investigation into VLCC Limited, prompted by a complaint and continuous monitoring of the sector, found that the company made exaggerated claims of drastic weight loss and inch reduction in a single session. These claims, including “Lose up to 600g and 7 cm in 1 session” and “Drop 1 Size in 1 session permanently,” went far beyond what the CoolSculpting machine is actually approved for. The advertisements gave consumers the false impression that the procedure is a permanent weight-loss solution, when in fact, it is only approved for localized fat reduction in specific body areas and for individuals with a BMI of 30 or less.

The CCPA also made the following observations about the US-FDA approved CoolSculpting machine:

• The machine, manufactured by Zeltiq Aesthetics, is not a weight-loss treatment.
• It is approved by the US-FDA only for the reduction of localized fat bulges in specific areas, such as the upper arm, bra fat, back fat, abdomen, and thigh.
• The clinical trials submitted to the US-FDA included participants of Caucasian, Hispanic, and African American ethnicity, with no Indian or Asian representation.
• The US-FDA has not given any specific endorsement for the use of CoolSculpting in India.

VLCC’s omission of these crucial facts was deemed a violation of the Consumer Protection Act, 2019.

In addition to the financial penalty, the CCPA has ordered VLCC Limited to adhere to a set of strict guidelines for all future advertisements and promotions:

• Ads and disclaimers must clearly state the specific body areas for fat reduction, the BMI restriction (30 or less), and all inclusions and exclusions as per US-FDA approval.
• Advertisements and consent forms must clearly state that “The CoolSculpting Procedure is used for treatment of the focal fat deposits and not weight loss”.
• Claims must be strictly restricted to what has been approved by the US-FDA.
• The company must inform consumers that the machine has not been tested on the Indian demographic and that the US-FDA has not endorsed its use in India.
• VLCC must discontinue unfair and prejudicial contract clauses that attempt to escape legal liability for the claims made.

This is not the first time the CCPA has taken action on this issue; a similar ₹3 lakh penalty was previously levied on Kaya Limited for misleading advertisements on CoolSculpting, which the company has since complied with. The CCPA has cautioned all beauty clinics and wellness centers in India to follow these new directives strictly, warning that any violation will lead to stringent action under the Consumer Protection Act, 2019.

The Central Consumer Protection Authority (CCPA) has imposed a penalty of ₹10 lakh on the ride-hailing platform Rapido for publishing a misleading advertisement and engaging in unfair trade practices. The CCPA has also directed the company to reimburse all consumers who did not receive the promised ₹50 compensation.

The CCPA’s investigation focused on Rapido’s ad campaign that promised “AUTO IN 5 MIN OR GET ₹50” and “Guaranteed Auto”. The authority found these claims to be false and misleading to consumers.

The CCPA’s investigation revealed that Rapido’s advertisement was deceptive in several ways:

• The disclaimer “T&C Apply” was displayed in an extremely small and unreadable font, which goes against the Guidelines for Prevention of Misleading Advertisements and Endorsements, 2022.
• The promised ₹50 compensation was not in cash but in “Rapido coins” that could only be redeemed for bike rides. The value of this offer was also “up to ₹50,” not always the full amount, and the coins had a validity of only seven days.
• The Terms and Conditions of the offer contradicted the main claim by stating that the guarantee was from individual captains, not Rapido itself.

These omissions created a false impression of an assured service and misled consumers into choosing Rapido. Data from the National Consumer Helpline (NCH) showed a growing number of complaints against Rapido, with 1,224 complaints between June 2024 and July 2025, compared to 575 complaints between April 2023 and May 2024. Most of these grievances remain unresolved despite being shared with Rapido.

Given the wide reach of Rapido (over 120 cities) and the prolonged duration of the misleading campaign, the CCPA intervened to protect consumer interests.

In addition to the penalty, Rapido has been directed to discontinue the misleading advertisements immediately and to reimburse all affected consumers with the promised ₹50 compensation in full, without any conditions. The CCPA has the mandate to protect, promote, and enforce consumer rights and curb misleading advertisements and unfair trade practices under the Consumer Protection Act, 2019.

The authority urges consumers to be cautious of ads that make tall promises or use phrases like “guaranteed” without clearly explaining the conditions. Consumers facing such issues can file a complaint by calling the National Consumer Helpline at 1915 or using its app or website.

The National Consumer Helpline (NCH), a key initiative of the Department of Consumer Affairs, successfully facilitated refunds totaling ₹2.72 crore in July 2025. The helpline resolved 7,256 consumer grievances across 27 sectors during the month.

The e-commerce sector accounted for the largest share of refunds, with ₹1.34 crore in redressal across 3,594 cases. This was followed by the Travel & Tourism sector, which facilitated refunds of ₹31 lakh.

The NCH has undergone a significant technological transformation, leading to a tenfold increase in call volumes, from 12,553 in December 2015 to 1,55,138 in December 2024. Grievance registration via WhatsApp has also surged, rising from 3% in March 2023 to 20% in March 2025. The helpline has integrated WhatsApp with its toll-free number (1915) to offer a seamless and user-friendly alternative for grievance registration during high-traffic periods.

The number of companies partnering with the NCH to resolve complaints has grown from 263 in 2017 to 1,131 in 2025. The NCH shares real-time complaint data with these “convergence partners” to enable free, fair, and expeditious resolution.

The press release highlights several consumer success stories from July 2025, demonstrating the NCH’s effectiveness as a pre-litigation platform:

1. A consumer from Tinsukia, Assam, who did not receive an LED lamp ordered online, was successfully refunded with the help of the NCH.
2. A consumer in Agartala, Tripura, had their air conditioner repaired within 24 hours of filing a complaint about service delays.
3. A consumer from Nalanda, Bihar, who had not received their ration for four months from the Public Distribution System (PDS), had their supply restored following the NCH’s intervention.
4. A consumer from Gurgaon, Haryana, received a swift resolution to a complaint about a gas cylinder that was found to be underweight.

The NCH continues to serve as an effective and cost-effective alternative to traditional litigation, strengthening consumer confidence by ensuring accessible and timely grievance resolution.