CCPA Fines China Gate ₹50,000 For Forced Service Charge & Orders Software Changes

The Central Consumer Protection Authority (CCPA) has imposed a ₹50,000 penalty on China Gate Restaurant Private Limited and directed the removal of the default service charge from bills issued at its Bora Bora outlet.

The penalty arose from a consumer grievance on the National Consumer Helpline alleging a forced 10% software-added service charge despite the 2022 CCPA guidelines upheld by the Delhi High Court in NRAI v Union of India in March 2025.

It held that software-embedded commands made the charge involuntary. Despite issuing refunds and displaying “no service charge” notices, the default billing continued.

The authority directed modification of the billing software and submission of a compliance report within 15 days.