In a decisive move, the Central Consumer Protection Authority (CCPA) has taken steps to curb coaching centres’ use of civil services exam toppers in their advertisements. The CCPA’s inquiry revealed that featuring toppers in promotional material violates the ‘misleading advertisement’ and ‘unfair trade practices’ clauses of the Consumer Protection Act.
Key Points:
– All successful civil services exam candidates are now required to terminate contracts with coaching institutes after signing their joining letters.
– CCPA found that coaching centres use misleading and exaggerated claims, violating the Consumer Protection Act, 2019.
– The coaching industry in India, valued at ₹58,088 crore, with ₹3,000 crore contributed by civil-services-exam coaching, faces increased scrutiny.
– CCPA issued notices to 20 IAS coaching institutes, including Vajirao & Reddy Institute, Sriram’s IAS, and Drishti IAS, for misleading consumers.
– Coaching centres accused of concealing crucial information in ads, leading to potential deception of aspirants.
The CCPA suggested enforcing the Central Civil Services (Conduct) Rules, 1964, to regulate candidates who continue to feature in coaching class ads throughout the year. The move aims to uphold the integrity of information provided in these advertisements.
Delhi, recognized as the hub for civil-services-exam coaching, is expected to witness significant changes in the advertising practices of coaching institutes. The regulatory intervention seeks to ensure transparency and prevent aspirants from being misled by exaggerated claims.
Queries to the Department of Personnel & Training (DoPT), CCPA, and involved coaching institutes for immediate comments remained unanswered at the time of reporting.
