3 min readNew DelhiJul 22, 2026 03:49 PM IST
The Patiala district consumer commission has directed a Mohali-based travel company to refund Rs 1.2 lakh and pay Rs 10,000 compensation to a couple after it allegedly failed to provide the promised accommodation during their Agatti Island vacation in Lakshadweep, housing them in a “substandard” homestay.
President Pushvinder Singh and member G S Nagi found that the services provided by the company were not as per the terms and conditions of the agreement between the parties, as a homestay was provided to the complainants instead of a stay in a four-star hotel.
“The services provided by the OP to the complainant during their first tour to Agatti were not as per the terms and conditions of the agreement as a home stay was provided to the complainants instead of stay in a four star hotel as per the terms and conditions of the agreement,” the order dated June 30 read.
Vacation gone wrong
According to the complaint, the couple booked an Agatti Island tour package for May 8 to 11, 2024, after purchasing a holiday membership from the company for Rs 1.2 lakh. They alleged that the company had promised accommodation at the deluxe beach resort but, shortly before the trip, demanded an additional Rs 21,500, which they paid under compelling circumstances.
The complainants said that upon reaching Agatti, they were instead accommodated in a substandard homestay. It was further alleged that despite making repeated telephone calls to the company during their stay, they received no assistance. After returning, they served a legal notice seeking a refund, but the company failed to respond, prompting them to approach the consumer commission.
The commission decided to proceed ex parte after the travel company refused to accept the notice of the complaint.
The commission found that the complainants had paid Rs 1.2 lakh to the company for availing holidays for 5 nights 6 days for each year in five years from the date on which the agreement was executed between the parties. It found that the services provided by the company to the complainant were not as per the terms and conditions of the agreement.
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It also noted that the travel company did not appear to rebut the allegations despite receiving notice of the complaint. “The OP did not appear to rebut the contentions of the complainant despite receipt of notice and chose to remain exparte. As such, we deem it fit to allow the complaint,” it said.
The commission therefore partly allowed the complaint to refund Rs 1.2 lakh. It also ordered the company to pay Rs 10,000 as compensation to the complainants and ordered compliance with the order within 45 days.
Takeaway
The ruling emphasises that travel companies must provide the services they promise at the time of booking. Substituting agreed accommodation with an inferior alternative without the customer’s consent amounts to a deficiency in service, making the service provider liable to refund the amount paid and compensate consumers for the inconvenience.
For consumer-related grievances, individuals may contact the consumer helpline in their respective states and union territories (Punjab helpline: 0800-22577) or call the National Consumer Helpline at 1915 for assistance.