The Bangalore Hotels Association (BHA) has warned that hotels affiliated to it and other hospitality bodies in the city would suspend business with online food delivery platform Swiggy from August 15 if the company failed to resolve longstanding issues relating to payment transparency, unauthorised deductions and advertising charges.
The association said it had given Swiggy a final opportunity to rectify the issues through discussions, warning that all affiliated bodies would discontinue business with the platform from Independence Day
if corrective measures were not taken.
"Failing this, all our associations in Bengaluru have unanimously decided to suspend all business with Swiggy from August 15," the association said in a press release on Wednesday.
The association alleged that Swiggy was deducting advertisement and promotional charges without obtaining written or digital consent from hotel owners before launching CPC, CPA or promoted advertisements. It also sought a one-click opt-out mechanism for advertisements without any subsequent charges.