After issuing a notice to Online Travel Aggregators (OTAs) – MakeMyTrip and GoIbibo, the Federation of Hotel & Restaurant Associations of India (FHRAI), has warned of action against Oyo alleging large scale breach of contracts, jeopardising the safety of consumers and violation of laws.
In a letter dated December 10, 2018, FHRAI has pointed out to the company that it is endorsing illegal and unlicensed bed and breakfast apartments, flats in residential and commercial buildings, rooms in chawls and such other independent structures as hotels.
“Such positioning of hotels is tantamount to misleading the guests. When a guest books in a hotel they expect to stay in a hotel and not in an apartment or a residential premise. This not only harms the reputation of hotels in India, but also constitutes potential safety hazard for the guest,” said Gurbaxish Singh Kohli, VP, FHRAI and Hotel and president Restaurant Association of Western India (HRAWI).
Consumer Resources 
Quite recently, I was trying to book a room at a resort on the basis of the tariff displayed on the Goibibo website. When I proceed with the booking the total amount payable came to more than 10 times the actual tariff. The MD of the resort was personally known to me. When I personally met him on the same day, the following facts came to light: 1. The resort is fully booked for the given day and not a single room is available for the given dates. 2. The premium deluxe room at the resort is less than 50% the booking amount demanded in booking process.
On Sat, Dec 15, 2018, 9:21 AM Consumer Resources yazdi posted: “After issuing a notice to Online Travel Aggregators (OTAs) > – MakeMyTrip and GoIbibo, the Federation of Hotel & Restaurant Associations > of India (FHRAI), has warned of action against Oyo alleging large scale > breach of contracts, jeopardising the safety” >