Google has been hit with a slew of frauds related to its food delivery service Chegg, which is a rival to the hugely popular Flipkart, as it struggles to keep up with rising competition in the world’s second-largest online shopping market.
Chegg said it was investigating the complaints about its food service and would take action as soon as it received them.
The e-commerce giant has seen its business take off in the US, and India has also become a major target for online fraudsters, as the country has been a hotbed for online gaming frauds.
In India, Chegg is facing a surge in demand from consumers who want to take advantage of cheap delivery services, and its food business has also caught the eye of fraudsters.
In April, the Indian government launched an anti-fraud campaign dubbed ‘Chegg Day’ that aims to curb online gaming activities and the number of chegg scammer deaths.
Cheigs online food delivery platform Chegg.com has also been the target of numerous complaints about food delivery frauds, but no firm numbers have been released yet.
In April, a Chegg employee told the Hindustan Times that chegg had stopped sending food to customers after receiving more than 10,000 complaints.
Chellie Lee, CEO of Chegg India, told the Times: “We are aware of the situation.
We are looking into it and are taking action.”
However, she added that the company was also working on a new online payment option for customers, which would make it easier for cheggs customers to pay for the food.
Cheiwa Liu, a senior analyst at Counterpoint Research, told Al Jazeera that fraudsters are using chegg services to lure consumers into fraudulent behaviour.
“Chegg has been known to do a lot of bad things and this is an indication of how they want to get in the business,” he said.
Cheegg was launched in 2010, with a $35-per-month basic plan that was offered at launch for one-day delivery of a single meal.
A more expensive $60 plan came out in the second half of 2015, and included unlimited meal delivery, unlimited meal returns and a range of other features.
Cheghun Wu, founder of the Chegg China e-mail list, said Chegg was looking into ways to expand its delivery services.
He added that it was unclear how many chegg service locations are in India and how many Chegg customers were actually affected by chegg frauds in India.