Gangtok Hotels Say "No" to OYO, Allege Fraud & Cheating

Gangtok, November 24, 2019:

The Sikkim Hotels & Restaurant's Association (SHRA) on Sunday received a joint complaint signed by a group of about 40-50 OYO Hotel Owners of Gangtok in which they expressed deep dissatisfaction with the working of OYO and alleged fraud, payment issues, violation of contract, non-transparency accounts, arbitrary charges and deductions, and gross mis-management.

All OYO hoteliers unanimously complained that they have been defrauded by OYO which had tied up with them promising various benefits for a commission ranging from 15-20%.

However much to their shock, OYO unilaterally revised the commission to 23%, increased Platform Fees to 5%, taking the overall commission to 28% without consent of hoteliers and in violation of the singed agreement.

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Over and above this, various hidden charges such as 3C Penalty, Walk in Penalty, Audit Penalty, GST deductions etc which were not disclosed earlier have been deducted from

payments made to them. Surprisingly they are charged commission even on No-Show or

Cancelled bookings and "fake bookings".

Surprisingly despite having a local GST number with a local registered address, however, OYO in reality does not even have any such office at the given address or anywhere in Gangtok. OYO accountants or representatives seldom visit Gangtok to resolve issues.

Repeated mails and calls also go un-responded. Even mail to OYO Partner Support results in just a ticket being generated but no resolution.

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Also hoteliers wishing to Quit OYO are not being given clearance despite them serving the

required termination period. Hoteliers also alleged OYO officials of approaching hotels

individually to sign a biased "One Time Settlement" which unfair terms which they construe more like a bribe to keep quiet.

It must be re-called that similar protests and complaints against OYO has been reported from almost every town in India with several hotel associations moving to ban OYO.

The hotel association took cognizance of the issues and evidences submitted and finding it genuine has promised to take all necessary steps to protect the interests of OYO Hoteliers which may include legal and police action against OYO in Sikkim.

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