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CCPA imposes Rs 15 lakh penalty on this coaching industry for misleading advertisments
In its final order, the Authority noted that the institute concealed details in its promotional material, particularly the specific courses opted for by successful candidates.
In its final order, the Authority noted that the institute concealed details in its promotional material, particularly the specific courses opted for by successful candidates. (Image: AI Generated)
The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 15 lakh on Vajirao and Reddy Institute for publishing misleading advertisements related to the Civil Services Examination (CSE) 2023. In its final order, the Authority noted that the institute concealed details in its promotional material, particularly the specific courses opted for by successful candidates.
Read | UPSC CSE: Steady rise in female participation, but still below 40%
Soon after the UPSC CSE 2023 results were declared on April 16, 2024, the institute’s website carried claims such as:
–Over 645 Selections Out of 1016 Vacancies in UPSC CSE 2023 From Vajirao & Reddy Institute
–6 in Top 10 AIR
–35 in Top 50 AIR
–64 in Top 100 AIR
These claims, according to the CCPA, were displayed alongside names and photographs of successful candidates, while the institute simultaneously advertised multiple courses. According to the Authority, this created a misleading impression that all successful candidates were enrolled in the regular courses promoted by the institute.
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The regulator concluded that such representations were deceptive and violated consumer protection norms, leading to the financial penalty
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Issues in enrollment numbers
The Authority has highlighted major discrepancies in the enrolment records submitted by Vajirao and Reddy Institute during proceedings over misleading advertisements related to UPSC CSE 2023.
According to the Authority, 431 enrolment forms did not specify the course(s) for which students had registered, nor did they mention the date of enrolment. Despite being asked, the institute failed to provide a satisfactory explanation or supporting documents, such as fee receipts.
Read | Fine of Rs 11 lakh on VisionIAS
For the remaining forms where course names were mentioned, many reflected only “Interview Guidance Programme” or “Mock Interview.” The CCPA observed that these candidates had already cleared the Preliminary and Mains stages independently and had joined the institute solely for interview preparation. This meant the institute’s advertisements created a misleading impression about the extent of services actually provided.
This is not the first time the coaching institute has been named in mispractices. Previously, they faced action for publishing misleading advertisements related to UPSC CSE 2022 results, for which a penalty of Rs 7 lakh was imposed.
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To date, the CCPA has issued 57 notices to coaching institutes over misleading advertisements and unfair trade practices. Penalties totalling Rs 1.24 crore have been levied on 29 institutes, along with directions to immediately discontinue such deceptive claims
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