Charged Rs 175 ‘extra’ for wine bottle, Himachal man wins Rs 20,000 payout

The complainant alleged that though the bottle carried an MRP of Rs 925, the shop charged him Rs 1,100 through UPI, resulting in an excess charge of Rs 175.

Wine consumer court newsThe man alleged that he was charged Rs 175 extra on a bottle of wine. (Image generated using AI)

A consumer commission in Himachal Pradesh has directed a wine shop in McLeod Ganj to refund the “excess amount” charged for a bottle of wine and pay Rs 20,000 to the customer after finding that it sold the product above its MRP which was an unfair trade practice.

President Hemanshu Mishra and members Arti Sood and Narayan Thakur also directed the Excise and Taxation Department, Kangra, to initiate appropriate action against the proprietor of the shop.

“Given the potential statutory infractions concerning tax evasion and illicit retail operations under the guise of an unbilled liquor sale, a copy of this order be forwarded to the Excise and Taxation Department, Himachal Pradesh Kangra at Dharamshala, with directions to initiate appropriate action against the Opposite Party in accordance with the law to deter such unfair trade practices in the future,” the June 23 order stated.

According to the complainant, he had purchased a bottle of Sula Vineyards Sauvignon Blanc from the shop. Although the bottle carried a printed Rs 925 MRP, the shop allegedly charged him Rs 1,100 through UPI, resulting in an excess charge of Rs 175. He also alleged that the retailer did not issue a proper tax invoice or cash memo. Claiming that the acts amounted to unfair trade practices, he sought refund of the excess amount, compensation and litigation costs.

The opposite party failed to appear before the commission despite notice, therefore, the commission passed the order ex parte.

‘Deceptive and exploitative conduct’

After examining the complainant’s ‘unrebutted evidence’, the commission held that it stood conclusively established that the retailer had overcharged the consumer by Rs 175 and failed to issue a statutory bill or tax invoice.

“From a bare perusal of the evidence and documents produced by the complainant, it stands conclusively established that the Opposite Party recovery-charged an excess amount of INR 175 over and above the printed Maximum Retail Price (M.R.P.) of INR 925, which amounts to an arbitrary markup of nearly 19%. It is also established that the Opposite Party failed to issue any valid, statutory bill or tax invoice for the said commercial transaction, it said.

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The Commission observed that selling a packaged commodity above its printed MRP is a clear violation of Rule 18(2) of the Legal Metrology (Packaged Commodities) Rules, 2011. It further held that the failure to issue a proper invoice also raised concerns of violation of the GST law and potential tax evasion, amounting to an unfair trade practice under the Consumer Protection Act, 2019.

“The deceptive and exploitative market conduct of the Opposite Party has undoubtedly caused financial loss, unnecessary harassment, and mental distress to the Complainant. Therefore, the complaint deserves to be allowed,” the commission held.

Accordingly, the commission directed the shop to refund the excess amount of Rs 175, pay Rs 10,000 as compensation, and Rs 10,000 towards litigation costs. It also ordered that a copy of the judgment be forwarded to the Excise and Taxation Department, Himachal Pradesh, to initiate appropriate action against the retailer in accordance with law.

Takeaway

The ruling underscores that no retailer or shopkeeper can charge over and above MRP and doing so may invite penal consequences and order of costs.

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Aggrieved consumers may contact the consumer helpline in their respective states (Himachal Pradesh helpline: 18001808087) or call the National Consumer Helpline at 1915 for assistance.

Ashish Shaji is a Senior Sub-Editor at The Indian Express (Digital), where he specialises in legal journalism. Combining a formal education in law with years of editorial experience, Ashish covers court developments and key cases for the audience. Expertise Ashish is a law graduate (BA LLB) from IME Law College, CCSU. His work at The Indian Express focuses on translating the often-dense proceedings of courts into clear, legal content. He also runs liveblogs from the Supreme Court and various High Courts. Industry Experience: With over 5 years in the field, Ashish has contributed to several niche legal and professional platforms, honing his ability to communicate complex information. His previous experience includes: Lawsikho: Gaining insights into legal education and practical law. Verdictum: Focusing on high-quality legal news and court updates. Enterslice: Working at the intersection of legal, financial, and advisory services. ... Read More

 

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