Consumer Rights Watchdog Slaps Penalties On 8 'UPSC' Coaching Institutes For Misleading Ads; Issues Notices To 20

The apex consumer rights watchdog of the country, the Central Consumer Protection Authority (CCPA) has slapped penalties on the IAS coaching institutes for misleading the aspirants with deceptive advertisements. The regulatory authority also issued notices to 20 such institutions. This information was shared by the Minister of State for Consumer Affairs, Food & Public Distribution Ashwini Kumar Choubey in a written reply in Lok Sabha on Wednesday.

"The CCPA has issued 20 notices to IAS coaching institutes for misleading advertisements and imposed penalties on 8 such IAS coaching institutes," he said.

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"The Department of Consumer Affairs is continuously working for consumer protection and empowerment of consumers by the enactment of progressive legislations," the Minister added.

To modernise the framework governing consumer protection in the new era of globalization, technologies, e-commerce markets etc Consumer Protection Act, of 1986 was repealed and the Consumer Protection Act 2019 was enacted.

Under the Consumer Protection Act, 2019, a misleading advertisement about any product or service is defined as an advertisement, which—

(i) falsely describes such product or service; or
(ii) gives a false guarantee to, or is likely to mislead the consumers as to the nature, substance, quantity or quality of such product or service; or (iii) conveys an express or implied representation which, if made by the manufacturer or seller or service provider thereof, would constitute an unfair trade practice; or
(iv) deliberately conceals important information.

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The CCPA has notified the Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022, on June 9, 2022.

These guidelines provide for (a) conditions for an advertisement to be non-misleading and valid; (b) certain stipulations in respect of bait advertisements and free claim advertisements; and (c) duties of the manufacturer, service provider, advertiser and advertising agency.
The CCPA also issued 'Guidelines for Prevention and Regulation of Dark Patterns, 2023' on November 30, 2023, for the prevention and regulation of dark patterns, listing 13 specified dark patterns.

(With PIB Inputs)