CCPA fines Vajiram, Ravi ₹7 crore for UPSC’s ‘misleading’ success claims | Today’s news
The Central Consumer Protection Authority (CCPA) imposed a fine of Rs ₹7 lakh on Vajiram and Ravi IAS Study Center for allegedly publishing misleading advertisements that took credit for the success of candidates who cleared the UPSC Civil Services 2023 examination, even though most of them had only participated in the free interview programme.
The institute claimed on its official website shortly after the results were announced that “8 rank holders in Top 10” and “37 rank holders in Top 50” are from Vajiram & Ravi.
He further claimed that “every year more than 30 percent of the officers selected through the UPSC Civil Services examination are students of Vajiram & Ravi,” the regulator said in a statement.
The Central Consumer Protection Authority (CCPA), headed by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, found that 7 of the 8 top 10s listed in the ad and 29 of the 37 top 50 ratings had enrolled in the free IGP only, which the institute did not disclose.
Declassification was not limited to 2023. The data examined by the CCPA revealed a consistent pattern of non-disclosure over several years.
In 2021, 86.36 percent of the institute’s successful candidates enrolled in IGP only; in 2022 it was 78.31 percent; in 2023 it rose sharply to 97.56 percent; and in 2024 it was 71.69 percent. In none of these years was this information published on the institute’s official website.
The CCPA noted that the IGP is a short-term program that starts only after a candidate independently clears both the UPSC CSE Prelims and Mains, two highly competitive phases in which the institute had no academic benefit.
By prominently featuring these candidates alongside advertisements for comprehensive paid coaching programs without disclosing the specific course chosen, the institute has created a false impression that these candidates are products of its full-time coaching.
The Authority ruled that failure to disclose the specific courses chosen by successful applicants, be it full-length learning programmes, optional subject coaching, a series of tests or a free interview programme, constitutes false advertising under the Consumer Protection Act 2019.
It was found that the proceedings completely fall within the purview of § 2 paragraph 28 letter iv) of the Act, which prohibits the deliberate concealment of important information, and was also found to be in violation of Section 2, Paragraph 9, which guarantees consumers the right to be informed.
The action against Vajiram & Ravi is part of a wider regulatory crackdown on the coaching industry.
The Central Consumer Protection Authority (CCPA) has issued more than 60 notices to coaching institutes for alleged misleading advertisements and unfair business practices. The regulator also imposed cumulative fines for overruns ₹1.46 crore to coaching institutes for competitive examinations like UPSC Civil Services Examination, IIT-JEE, NEET and RBI Recruitment Examinations among others.