Oyo Created Fake Hotel Listings To Woo Investors

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OYO has a good grip over the hotel chain in the Indian as well as other Asian countries. OYO provides hotels at a very affordable price, which made it a successful firm in India. Although Oyo is famous worldwide today, its commercial policies are objectionable. The company has set a target to become the world’s largest hotel chain by the year 2023. Still, the company’s financial and court documents and older employees say its policies are questionable.

In a recent report by the New York Times, OYO has created a fake listing of hotels that are no longer associated with them. This fraudulent listing was done solely by OYO to woo foreign investors. NY times also took interviews of people who were associated with OYO earlier, and the conclusion drawn was unexpected. Ex-employees stated that they had even added fake photographs and hotel listings due to work pressure. OYO also added the names of hotels that were no longer associated with them. All these fraudulent activities to meet targets and to woo the investors is questionable.

OYO Investment Didi Chuxing

OYO is currently facing allegations for firing 100 employees in China and is also planning to fire another 2000 people in India. Such things are taking place when OYO is facing issues and struggling in international markets. Moreover, companies like Yahoo have even given up joint ventures with OYO.

Hotels Associated with OYO are not happy

Hotel owners associated with the company alleged that the company does not pay their share money despite taking additional fees from them. Many hotel owners are now preparing to file a case against the company. Saurabh Mukhopadhyay, former operations manager of the company who left the job in September 2019, says Oyo’s success is a water bubble that is about to erupt.

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OYO employees also revealed several things that are controversial. Oyo’s website also has the names of hotels that are no longer associated with it to show the number of rooms exaggerated. Hundreds of hotels in Oyo’s network do not even have licenses. The company offers an occasional free stay to the police and other officers to avoid legal trouble.