Cyberabad Civic Body Orders Swiggy, Zomato to Remove Unlicensed Restaurants

The Cyberabad Municipal Corporation (CMC) has issued a notice to online food delivery platforms Swiggy and Zomato, directing them to remove unlicensed food establishments from their platforms and provide details on how customer reviews are handled.

The notice, issued by the CMC's Health and Sanitation section on Tuesday, mandates that only food businesses holding a valid Food Safety and Standards Authority of India (FSSAI) licence and a trade licence from the CMC can operate through these platforms. The corporation, which has been conducting regular food safety inspections since June, instructed the companies to immediately suspend or delist any establishment whose licence has expired, been suspended, or has been ordered to be removed by the CMC or any other competent authority.

Additionally, the CMC has asked Swiggy and Zomato to submit the criteria and methodology used for assigning food ratings, hygiene ratings, and customer reviews. The platforms must also appoint a nodal officer and establish a communication channel with the corporation for sharing compliance reports, inspection details, and grievance redressal.

The civic body specifically sought details on the platforms' policies regarding the removal, modification, or suppression of negative customer reviews, emphasising transparency in consumer feedback.

Furthermore, Swiggy and Zomato must verify and maintain accurate geo-location data for every listed food establishment and ensure that food is prepared only from approved and registered premises. They must periodically verify the validity of trade licences issued by the CMC for each establishment.

Both companies must submit a compliance report within one week, including the name and contact details of their designated nodal officer. Failure to comply could result in penal action under the Food Safety and Standards Act, 2006, the Food Safety and Standards Regulations, the GHMC Act, 1955, and other municipal laws.