Pralhad Joshi orders CCPA probe into Agoda, booking platforms over cancellation charges
Synopsis
A BJYM leader's complaint about a ₹4,764 Agoda cancellation fee — versus Akasa Air's actual ₹299 charge — has prompted Union Minister Pralhad Joshi to order a CCPA probe into online booking platforms. With class action on the table and all travel aggregators under scrutiny, this could reshape how cancellation fees are disclosed and capped in India.
Key Takeaways
Union Minister Pralhad Joshi on 23 May directed the CCPA and Department of Consumer Affairs to probe Agoda and other online ticket booking platforms over alleged excessive cancellation charges.
A BJYM National Secretary's complaint alleged Agoda charged a cancellation fee of ₹4,764 versus Akasa Air's actual fee of ₹299 — a discrepancy of nearly 15 times .
The probe will examine whether platforms charge cancellation fees beyond what airlines levy or disclose at the time of booking.
If violations are found, they could constitute unfair trade practices under the Consumer Protection Act, 2019 .
The CCPA may invoke class action measures to protect consumers affected across the country.
All online ticket booking platforms operating in India — not just Agoda — are under the scope of the investigation.
Union Minister for Consumer Affairs Pralhad Joshi on Saturday, 23 May directed the Department of Consumer Affairs and the Central Consumer Protection Authority (CCPA) to investigate alleged excessive cancellation charges imposed by Agoda and other online ticket booking platforms on Indian consumers. The probe will examine whether these platforms are levying cancellation fees beyond what airlines charge or what is disclosed to consumers at the time of booking.
What Triggered the Action
The directive followed a complaint posted on social media platform X by the Bharatiya Janata Yuva Morcha (BJYM) National Secretary, who claimed a stark discrepancy between the cancellation fee shown by Agoda and the actual charge levied by Akasa Air.
According to the post, the BJYM leader had booked an Akasa Air ticket through Agoda and accidentally selected Navi Mumbai instead of Mumbai while booking. When he attempted to cancel, Agoda displayed a cancellation fee of ₹4,764 and a refund of ₹1,571. However, Akasa Air's own cancellation page reportedly showed a deduction of only ₹299 and a refund of ₹6,076.
Akasa Air customer care reportedly confirmed to the BJYM leader that the airline's cancellation charge was ₹299 and that the refund would be processed through Agoda since the booking originated on the platform. The leader alleged the platform was charging nearly 15 times the airline's actual cancellation fee and called for greater transparency from booking intermediaries.
What the Minister Said
Announcing the probe in a post on social media platform X, Minister Joshi stated: 'I have directed the Department of Consumer Affairs and CCPA to investigate whether online ticket booking platforms are imposing excessive cancellation charges on consumers, beyond what is charged by airlines or disclosed at the time of booking.'
Joshi added that such practices undermine transparency and consumer trust and, if found to be unfair or in violation of consumer rights, could amount to unfair trade practices under the Consumer Protection Act, 2019. He noted that instructions had also been issued to examine the practices of other online ticket booking platforms operating in the country — not just Agoda.
Potential Regulatory Consequences
The minister said the CCPA would take necessary action, including class action measures wherever appropriate, to safeguard consumer interests and ensure fair treatment. Class action provisions under the Consumer Protection Act, 2019 allow the authority to act on behalf of a large group of similarly affected consumers — a significant escalation tool rarely invoked but available to the regulator.
Notably, this is not the first time online travel aggregators have drawn regulatory scrutiny in India. The CCPA has previously issued notices to platforms over hidden fees and non-disclosure of charges, but enforcement has been inconsistent. A formal probe with the possibility of class action signals a more assertive posture.
What Happens Next
The Department of Consumer Affairs and the CCPA are expected to seek responses from Agoda and other implicated platforms. Should the investigation confirm unfair trade practices, the CCPA has the authority to impose penalties, mandate refunds, and issue corrective directions. Consumers who believe they have been overcharged on cancellations may also approach the National Consumer Helpline in the interim.
Point of View
764 gap is not a rounding error — it is a structural feature of how online travel aggregators monetise cancellations, often burying the spread in opaque 'service fee' disclosures. The CCPA has had the tools to act on this for years; what has been missing is political will. Joshi's directive, triggered by a social media post from a party functionary, raises a legitimate question: why did it take a viral complaint rather than proactive market surveillance to initiate this probe? The real test will be whether the investigation results in binding disclosure norms for all aggregators or quietly fades after a few notices.
NationPress
8 Jul 2026
Frequently Asked Questions
Why has the government ordered a probe into Agoda and online booking platforms?
Union Minister Pralhad Joshi directed the CCPA to investigate after a complaint alleged that Agoda charged a cancellation fee of ₹4,764 on an Akasa Air ticket where the airline's own cancellation charge was only ₹299 — a discrepancy of nearly 15 times. The probe will examine whether such charges exceed what airlines levy or what is disclosed to consumers at booking.
What is the CCPA and what powers does it have?
The Central Consumer Protection Authority (CCPA) is a regulatory body established under the Consumer Protection Act, 2019, to protect consumer rights and curb unfair trade practices. It can impose penalties, mandate refunds, issue corrective directions, and initiate class action proceedings on behalf of groups of affected consumers.
Which platforms are under investigation?
Agoda is the primary platform named in the complaint, but Minister Joshi has directed the probe to cover all online ticket booking platforms operating in India, making the investigation sector-wide rather than limited to a single company.
What could happen if the platforms are found guilty of unfair practices?
If the CCPA finds that platforms violated the Consumer Protection Act, 2019, it can impose financial penalties, direct refunds to affected consumers, and initiate class action measures. Platforms may also be required to revise their cancellation fee disclosure practices.
What was the specific complaint that triggered the action?
The BJYM National Secretary posted on social media platform X that he had booked an Akasa Air ticket through Agoda and, upon attempting to cancel, was shown a fee of ₹4,764 by Agoda while Akasa Air's own page showed a deduction of only ₹299. Akasa Air customer care reportedly confirmed the ₹299 figure, with the refund to be routed through Agoda.
