Student cracks JEE, wins Rs 75,000 payout after coaching denied refund

The dispute stemmed from the student‘s admission to Allen in April 2023. However, after qualifying JEE Main 2023, he secured admission to the B Tech Mechanical Engineering programme at Thapar Institute of Engineering and Technology, Patiala. Since he no longer required coaching, he sought a refund under Allen’s published refund policy. Still, despite repeated requests and a legal notice, the institute failed to return the money, prompting him to approach the consumer commission.

Student joined engineering college soon after enrolling

According to the complaint, Aryan Rajyan, a student enrolled with Allen Career Institute on April 18, 2023 and paid Rs 1.10 lakh as coaching fees. Soon, he secured admission to Thapar Institute of Engineering and Technology in Patiala for the 2023-27 B Tech mechanical engineering programme through JEE Main 2023.

Since he had already obtained admission to an engineering college, the coaching programme became unnecessary. The student, through his father, approached Allen and sought a refund of the fees deposited with the institute.

Refund was permitted

The commission noted that the institute itself had supplied a prospectus containing its refund policy. Under the policy, students who secured admission to engineering or medical colleges in India through competitive examinations such as JEE were eligible for a refund of Rs 50,000 after deduction of Rs 60,000, provided the claim was made within the prescribed period.

The student submitted his admission confirmation letter from Thapar Institute to establish his eligibility and requested the institute to process the refund. However, despite several reminders, the amount was never released. A legal notice dated September 2, 2024, also failed to evoke any response.

Allen failed to contest

After the complaint was instituted on October 14, 2024, the commission issued notice to Allen. The institute, however, neither filed a written statement nor appeared before the commission despite repeated opportunities.

Finding that the notices had been duly served, the commission proceeded ex parte against Allen on September 1, 2025. It also referred to Supreme Court judgments holding that parties cannot avoid legal proceedings merely by remaining unavailable after service of notice.

Deficiency in service

Examining the material placed on record, the commission observed that the complainant’s testimony and documentary evidence remained unrebutted because Allen chose not to contest the proceedings.
It further noted that the institute had itself framed the refund policy and was therefore obligated to honour it.

“As per the evidence… OP committed to refund as per their rules and regulations as well as policy mentioned in their prospectus,” the commission observed, adding that Allen failed to provide the promised service despite receiving repeated requests and reminders.

The commission also said there was “nothing on record to disbelieve the sworn testimony of the complainant” and concluded that the institute’s conduct amounted to gross deficiency in service.

Relief granted

Allowing the complaint, the commission directed Allen Career Institute to refund Rs 50,000 to the student, pay interest at 7 per cent per annum from November 4, 2024, the date of filing of the complaint, until the amount is realised, and also pay Rs 25,000 towards litigation costs, inclusive of compensation. The commission directed the institute to comply with the order within 30 days of receiving its certified copy.

Consumer takeaway

Students are entitled to enforce a coaching institute’s published refund policy if they satisfy its conditions. An institute’s failure to honour its own commitment can amount to deficiency in service, entitling consumers to a refund, interest and compensation.

For consumer-related grievances, individuals may contact the consumer helpline in their respective states (Delhi: 1800-11-4000) or call the National Consumer Helpline at 1915 for assistance.