3 coaching institutes fined Rs 15 lakh for misleading claims on UPSC exam success

3 coaching institutes fined Rs 15 lakh for misleading claims on UPSC exam success

The Central Consumer Protection Authority (CCPA) has imposed penalties totaling Rs 15 lakh on three coaching institutes for making deceptive claims about their success rates in the Union Public Service Commission (UPSC) Civil Services Examinations, the government announced on Thursday.

Vajirao & Reddy Institute and StudyIQ IAS were fined Rs 7,00,000 each, while Edge IAS faced a penalty of Rs 1,00,000. The CCPA, headed by Chief Commissioner Nidhi Khare, determined that these institutes misled aspirants by exaggerating their success rates and concealing critical details about the services provided to successful candidates.

Vajirao & Reddy Institute claimed "617 selections out of 933" in the 2022 examination, while StudyIQ IAS advertised "120+ selections" in 2023.

Investigations revealed that most successful candidates from these institutes had only enrolled in Interview Guidance Programs, rather than the full range of courses promoted in their advertisements. This created a false impression of the effectiveness of their other offerings.

Additionally, StudyIQ IAS failed to substantiate its promotional offers such as "Success Pakka Offer" and "Selection Pakka Offer." The institute could not provide sufficient evidence, including enrolment forms and fee receipts, to validate its claims.

The CCPA has issued notices to 45 coaching institutes for misleading advertisements and has collected Rs 71,60,000 in penalties from 22 institutes so far. Under the Consumer Protection Act, 2019, advertisements that conceal essential facts or misrepresent services are deemed misleading and are subject to penalties.

This crackdown emphasizes the need for transparency in advertising and serves as a warning to educational institutions against deceptive practices.