CCPA Imposes Rs 61.6 Lakh Fines on 19 Coaching Institutes for Deceptive Advertising
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New Delhi, Dec 17 (NationPress) The Central Consumer Protection Authority (CCPA) has levied fines totaling Rs 61.60 lakh on 19 coaching institutes and has issued notifications to 45 coaching centres for engaging in misleading advertisements, as reported to Parliament on Tuesday.
On November 13, 2024, the CCPA released the "Guidelines for Prevention of Misleading Advertisement in Coaching Sector, 2024" to curb false or misleading claims and advertisements made by coaching centres aimed at promoting their goods or services, as well as preventing deceptive or unfair practices, according to Minister of State for Consumer Affairs B.L. Verma's written response to the Rajya Sabha.
The National Consumer Helpline (NCH), managed by the Department of Consumer Affairs, has become a pivotal resource for consumers nationwide seeking grievance redressal at a pre-litigation stage. Consumers can lodge complaints in 17 languages via toll-free number 1915. Grievances can also be filed through the Integrated Grievance Redressal Mechanism (INGRAM), which is an omni-channel IT-enabled central portal accessible through multiple platforms such as WhatsApp, SMS, email, the NCH app, web portal, and Umang app, as explained by the minister.
Approximately 1,004 companies have voluntarily partnered with the NCH under the ‘Convergence’ program, responding directly to grievances based on their redressal process and providing feedback to the complainant via the portal. Complaints against non-partner companies are redirected to the respective company's email for resolution, the minister elaborated.
The minister further underscored that through the NCH, the Department of Consumer Affairs has successfully intervened at a pre-litigation stage to ensure justice for students and candidates enrolled in UPSC Civil Services, IIT, and other entrance exams. Following numerous complaints lodged with the NCH regarding unfair practices by coaching centres, particularly regarding the non-refund of enrolment fees, the NCH launched a dedicated effort to resolve these issues, facilitating a total refund of Rs 1.15 crore to the affected students, the minister stated.
The CCPA was established under Section 10 of the Consumer Protection Act, 2019, to oversee issues related to consumer rights violations, unfair trade practices, and misleading advertisements detrimental to the public and consumers, aiming to promote, protect, and enforce consumer rights.
The minister also noted that the Department of Consumer Affairs is persistently working towards consumer protection and empowerment through the enactment of progressive legislation. To modernize the regulatory framework governing consumer protection in the context of globalization, technology, and e-commerce, the Consumer Protection Act, 1986 was repealed and replaced by the Consumer Protection Act, 2019.
