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AI-Generated Images Impact Food Industry Refunds - News Directory 3

AI-Generated Images Impact Food Industry Refunds

December 1, 2025 Victoria Sterling Business
News Context
At a glance
  • Nearly ‍two weeks ago, Harsh Shah - owner of ⁢Mumbai-based bakery dessert Therapy - was going through refund‍ claims by users for 'damaged items'⁣ when he found something⁤...
  • One of the customers claimed that her Almond Praline Strawberries Dark Chocolate ⁢cake - costing ₹2,500 - had melted and sought a refund of ₹1,820.
  • On a closer look, Shah realised that the image sent to him was morphed using ⁤an artificial ⁣intelligence (AI) tool.
Original source: business-standard.com

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AI-Generated Food Complaints: A Growing Problem for <a href="https://www.newsdirectory3.com/singapore-shakes-up-foreign-worker-policies-work-permit-employment-period-cap-scrapped-opportunities-widened-singapore-news/" title="Singapore shakes up foreign worker policies; work permit employment period cap scrapped, opportunities widened Singapore News">Indian Restaurants</a> and Delivery Platforms


AI-Generated⁢ Food Complaints: A Growing Problem for⁤ Indian Restaurants and Delivery Platforms

Table of Contents

  • AI-Generated⁢ Food Complaints: A Growing Problem for⁤ Indian Restaurants and Delivery Platforms
    • At a Glance
    • The Rise of AI-Generated Food Complaints
    • Platform Response and Safeguards
    • Growing Incidence and Industry ⁣Impact

At a Glance

  • What: A new form of fraud where customers use AI to generate images of damaged or contaminated food to falsely claim refunds.
  • Where: Primarily reported in India, affecting restaurants and⁤ food ‍delivery platforms like Zomato.
  • When: The practice has seen a sudden spike in the past 20 days, emerging as a concern in late 2023/early 2024.
  • Why it Matters: financial losses for restaurants, erosion of trust in the food delivery ecosystem, and⁣ challenges for platforms to maintain fair practices.
  • What’s Next: Platforms are implementing AI detection tools and safeguards, but the arms race between fraudsters and detection methods is ongoing.

The Rise of AI-Generated Food Complaints

Nearly ‍two weeks ago, Harsh Shah – owner of ⁢Mumbai-based bakery dessert Therapy – was going through refund‍ claims by users for ‘damaged items’⁣ when he found something⁤ unusual.

One of the customers claimed that her Almond Praline Strawberries Dark Chocolate ⁢cake – costing ₹2,500 – had melted and sought a refund of ₹1,820.

On a closer look, Shah realised that the image sent to him was morphed using ⁤an artificial ⁣intelligence (AI) tool. “There were ⁣hints. Strawberries looked different from the ones we use. Moreover, that cake flavour does not ⁢have a melting tendency,” says shah, adding that the user might⁤ have received some compensation as the fraud was caught on‍ their level and not by the aggregator.

“Aggregators prefer quick redressal ⁣and, in most cases, the entire conversation is done on text, which starts with a chatbot. With the volume of orders and level of checks, it might potentially be easier to slide in such cases from there,” says Shah.

Platform Response and Safeguards

Acknowledging that food complaints are treated ‍with utmost seriousness and trust, Aditya Mangla, chief executive officer (CEO), Zomato, said the platform has employed advanced systems to ⁤detect rare misuse.”We’ve already rolled out safeguards and early-detection models and are scaling them responsibly,” Mangla told Business standard.

Growing Incidence and Industry ⁣Impact

The practice, still new in India, has seen a sudden spike with at least four such ⁤cases being reported in the past 20 days.

An Indore-based restaurant reportedly called out two such cases where the‍ users claimed to have found a dead fly in the food ‍packets. Disclosing the details ⁣on its social media, the eatery says: “The cake looked completely clean, even though⁣ the user claimed that the fly was inside the cake. We ran

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customer trust, fake images, food refund scam, fraud detection, GENERATIVE AI, quick commerce, restaurant industry, swiggy, You have fraud, zomato

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