CCPA slaps Rs 15 lakh fine on Vajirao & Reddy for misleading UPSC ads; 2nd penalty in two years

It was fined for publishing misleading advertisements claiming credit for candidates who cleared the UPSC in 2023 when they enrolled only for mock interview sessions.

New Delhi: The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 15 lakh on Delhi-based coaching institute Vajirao and Reddy Institute for publishing misleading advertisements claiming credit for candidates who cleared the UPSC Civil Services Examination 2023, many of whom had enrolled only for mock interview sessions.

The institute had claimed on its official website, shortly after results were declared on April 16, 2024, that it had produced "over 645 selections out of 1,016 vacancies", with "6 in Top 10 AIR" and "35 in Top 50 AIR".

These claims appeared alongside advertisements for its regular courses, creating the impression that successful candidates had been trained by the institute through all three stages -- Preliminary, Mains, and Interview.

The CCPA found this to be a deliberate misrepresentation. On examining enrolment records submitted by the institute, the authority found that a significant number of candidates had signed up only for the "Interview Guidance Programme" or "Mock Interview", meaning they had already independently cleared the first two stages before approaching the institute.

A further 431 enrolment forms neither specified the course enrolled in nor carried a date of filling. The institute failed to produce fee receipts or other corroborative documents.

"Non-disclosure of such information creates a misleading impression that the successful candidates were trained by the Institute across all stages of the examination," the CCPA said in a statement.

What makes the case more serious is that this is not the first time the institute has faced regulatory action. It was penalised Rs 7 lakh for similar violations in its advertisements related to UPSC CSE 2022 results.

The repeat offence led the CCPA to treat this as a subsequent contravention and impose a steeper penalty.

With roughly 11 lakh candidates applying for civil services every year, the authority noted the scale of potential harm, as students and families invest considerable time and money guided by advertisements that do not present the complete picture.

The CCPA has so far issued 57 notices to coaching institutes across the country for misleading advertisements and unfair trade practices, with penalties totalling over Rs 1.24 crore imposed on 29 institutes.