CCPA investigating 20 coaching centers in Delhi for alleged unfair trade practices

New Delhi: The Central Consumer Protection Authority started an investigation on Tuesday against the 20 Delhi-based coaching institutes that offer preparation for the Indian Administrative Service (IAS) recruitment exam for unfair trade practices. This investigation is being performed in response to misleading advertisements and inappropriate utilization of photographs of successful or top-scoring students in exams.

According to CCPA Chairperson Nidhi Khare, three out of twenty institutes have each been fined Rs 1 lakh, namely Rouse IAS Study Circle, Chahal Academy, and IQRA IAS.She said that Rouse IAS Study Circle has filed an appeal with the National Consumer Disputes Redressal Commission (NCDRC) against the fine order. At the same time, IAS Baba, the coaching institute that received notice from CCPA, has taken a stand against it.

Khare further informed that the notice has been issued to Vajirao & Reddy Institute, Chahal Academy, Khan Study Group IAS, APTI Plus, Analog IAS, Shankar IAS, Sriram IAS, Byju IAS, Unacademy, Next IAS, Drishti IAS, IQRA IAS, Vision IAS, IAS Baba, Yojana IAS, Plutus IAS, ALS IAS, and Rouse IAS Study Circle.

As per the CCPA Chairperson, following the announcement of the results of the Union Public Service Commission examination, several coaching institutions began an advertisement competition. Every year, out of more than 10 lakh students, an average of 900 students pass the UPSC exam. After the UPSC final results were released in 2022, the names of 933 applicants were recommended.

However, the number of students who claimed to have been selected by the 20 institutes was significantly higher than the UPSC recommendations. Many coaching institutes make the claim that they have the same rank as their students by hiding critical information.The successful applicant has received training at a variety of institutes for a variety of subjects and for either the preliminary or main test. According to Khare, these institutes do not explicitly disclose the courses that their students are enrolled in.

According to CCPA, the coaching industry in India generates around Rs 58,088 crore in revenue, with around two lakh students annually visiting Kota, Rajasthan, for engineering and medical entrance exams, and Delhi being the hub of coaching for the UPSC Civil Services Examination.