Sriram’s IAS Coaching Centre Fined Rs 3 Lakh For Misleading Ad

New Delhi: A coaching institute for the civil services exam has been fined Rs three lakh for its “misleading” advertisements, the Centre said today.

In an official statement, the Ministry of Consumer Affairs, Food and Public Distribution said that the Central Consumer Protection Authority (CCPA) has taken action against Sriram’s IAS, which has its centers in Delhi, for a misleading advertisement regarding the UPSC Civil Service Exam (CSE) 2022.

It was in violation of the Consumer Protection Act, 2019, the Ministry said.

“Coaching institutes and online edtech platforms use pictures and names of the same successful candidates to influence prospective aspirants (consumers), without disclosing the courses opted by such candidates and length of the course so attended,” the statement said.

The decision was taken to “protect and promote the rights of consumers as a class and ensure that no false or misleading advertisement is made of any goods or services which contravenes the provisions of the Consumer Protection Act, 2019”, the Ministry said.

Sriram’s IAS in its advertisement made the following two claims: “200 plus selections in UPSC Civil Service Exam 2022” and “We are India’s No 1 Prestigious UPSC/IAS Coaching Institute”.

The CCPA found out that Sriram’s IAS advertised various types of courses but the information for the course opted by the advertised successful candidates in the UPSC CSE 2022 was “deliberately concealed” in the advertisement.

“This has the effect of consumers falsely believing that all the successful candidates claimed by the Institute had opted for the paid courses advertised by the Institute on its website,” the statement read.

Information regarding the course opted by successful candidates is important for the consumers to know so that they can make informed choices while deciding which course and coaching institute to join, it said.

Sriram’s IAS in its response submitted the details of only 171 successful candidates against its claim of 200 plus selections in UPSC CSE 2022.

“Out of these 171 candidates, 102 were from the Free Interview Guidance Programme (IGP), 55 were from the Free Test Series, nine were from General Studies classroom course and five candidates were from different States under the MoU signed between the State Government and the Institute to provide free coaching. This fact was not disclosed in their advertisement, thereby deceiving consumers,” the Ministry said.

“Majority of candidates had already cleared Preliminary and Mains examinations by themselves, with no contribution of Sriram’s IAS. By concealing this important fact, such false and misleading advertisement creates a huge impact on those consumers who are UPSC aspirants without letting them know that Sriram’s IAS had offered guidance to only such successful candidates who had already cleared Preliminary and Mains examinations of the UPSC examination. Thus, the advertisement has violated the consumer’s right to be informed so as to protect himself against unfair trade practice,” it added.

The chief commissioner of CCPA, Nidhi Khare, pointed out that an advertisement should contain a “truthful and honest” representation of facts by disclosing important information in such a manner that they are “clear, prominent and extremely hard” to miss for consumers.