UPSC aspirants misled? Coaching institute fined Rs. 15 lakh

The Authority observed that the institute deliberately concealed material information in its advertisements — specifically, the exact courses opted for by successful candidates.

Misleading Claims in Advertisements

Soon after the declaration of the UPSC CSE 2023 results on April 16, 2024, the institute published the following claims on its official website, along with names and photographs of selected candidates:

• “Over 645 Selections Out of 1016 Vacancies in UPSC CSE 2023 From Vajirao & Reddy Institute”
• “6 in Top 10 AIR”
• “35 in Top 50 AIR”
• “64 in Top 100 AIR”

These claims appeared alongside advertisements for various courses offered by the institute, including GS/Complete Course/Foundation Course, Pre-Foundation Course, Weekend Course, Optional Subject Course, and GS Pre-cum-Mains Course.

According to the CCPA, such representations created the misleading impression that all successful candidates had enrolled in these regular classroom programmes.

Concealment of Material Information

The Authority held that what constitutes “material information” must be assessed from the perspective of a consumer. In this case, the specific course opted for by a successful candidate is crucial for a UPSC aspirant, as it directly influences perceptions about the effectiveness and scope of the institute’s services.

The non-disclosure created an impression that the selected candidates were trained by the institute across all stages of the examination — Preliminary, Mains, and Interview — which may not have been factually accurate.

The CCPA stated that such concealment undermines consumers’ ability to make informed choices and violates their rights under Section 2(9) of the Consumer Protection Act, 2019.

Discrepancies in Enrolment Records

During proceedings, the Authority examined enrolment forms submitted by the institute and found significant discrepancies:

• 431 enrolment forms did not specify the course(s) undertaken.
• The forms did not mention the dates on which they were filled.
• The institute failed to produce corroborative documentary evidence such as fee receipts.

In cases where course names were mentioned, many candidates had enrolled only in “Interview Guidance Programme” or “Mock Interview” courses. These programmes are conducted after candidates clear the Preliminary and Mains stages independently.

The Authority noted that portraying such candidates as products of comprehensive coaching created a misleading impression regarding the extent of services provided.

Repeat Violation

The CCPA also observed that the institute had previously been penalised ₹7 lakh for misleading advertisements related to UPSC CSE 2022 results. Despite prior regulatory action, similar claims were repeated in subsequent advertisements.

Given the recurring nature of the violation, the present case was treated as a subsequent contravention, warranting a higher penalty.

Wider Consumer Impact

The Authority highlighted that nearly 11 lakh candidates apply for the UPSC Civil Services Examination each year, making the potential impact of such advertisements significant. Aspirants and their families invest substantial time and financial resources in preparation, and misleading claims can create unrealistic expectations.

So far, the CCPA has issued 57 notices to coaching institutes for misleading advertisements and unfair trade practices. Penalties totalling ₹1.24 crore have been imposed on 29 institutes, along with directions to discontinue such claims.

The Authority reiterated that coaching institutes must ensure truthful, transparent, and complete disclosure of material information in advertisements, enabling students to make fair and informed academic decisions.