The Central Consumer Protection Authority imposed a Rs 7 lakh penalty on Vajiram and Ravi IAS Study Centre for allegedly publishing misleading UPSC result advertisements, holding that the institute failed to disclose crucial details about courses attended by successful candidates featured in its promotional campaigns.
The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 7 lakh on Vajiram and Ravi IAS Study Centre LLP for allegedly publishing misleading advertisements relating to the results of the UPSC Civil Services Examination (CSE).
The action was initiated under the Consumer Protection Act, 2019 after the authority found that the institute had failed to disclose important details regarding the nature of courses attended by several successful candidates whose names and ranks were prominently featured in its promotional campaigns.
The order was passed by the CCPA, headed by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, following an examination of the institute’s promotional claims made after the declaration of the UPSC Civil Services Examination 2023 results.
According to the authority, while the institute highlighted the achievements of top-ranking candidates across its website and advertisements, it did not adequately disclose that many of those candidates had only participated in its Interview Guidance Programme (IGP) rather than its comprehensive coaching programmes.
The regulator observed that such omissions prevented prospective students from accessing information necessary to make an informed decision regarding coaching services and course selection.
Factual Backgrounds:
Following the declaration of UPSC CSE 2023 results, the coaching institute publicised several claims, including:
- “8 Rank Holders in the Top 10 are from Vajiram & Ravi”
- “37 Rank Holders in the Top 50 are from Vajiram & Ravi”
- “Fact: Every year, more than 30% of the officers selected through UPSC Civil Services Examination are students of Vajiram & Ravi”
However, the CCPA found that these advertisements did not provide the complete context behind the figures being showcased. With respect to the claim concerning eight candidates in the Top 10 ranks, the authority noted that seven of those candidates had only participated in the institute’s Interview Guidance Programme.
Similarly, among the 37 candidates highlighted as Top 50 rank holders, 29 were found to have enrolled solely in the Interview Guidance Programme rather than undertaking extensive coaching courses offered by the institute.
Observations of the CCPA
The CCPA noted that the Interview Guidance Programme is conducted only after candidates have independently cleared both the Preliminary and Main stages of the UPSC Civil Services Examination.
Since these two stages constitute the most rigorous and competitive parts of the examination process, the authority observed that portraying such candidates alongside advertisements for full-fledged coaching programmes, without clearly explaining the limited nature of their engagement with the institute, created a potentially misleading impression.
According to the regulator, such representations could lead aspirants and their families to believe that the institute’s complete coaching framework played a significant role in the candidates’ success, despite many candidates having participated only in the final-stage interview guidance programme.
The authority also scrutinised the institute’s claim that more than 30 per cent of candidates selected every year in the UPSC examination were students of Vajiram & Ravi.
During the investigation, the CCPA found that a substantial proportion of these candidates had been associated with the institute only through the Interview Guidance Programme:
- In 2021, approximately 86.36% of the candidates were enrolled only in the Interview Guidance Programme.
- In 2022, the figure stood at 78.31%.
- In 2023, it increased to 97.56%.
- In 2024, approximately 71.69% of the candidates were associated through the Interview Guidance Programme.
The authority noted that these details were not disclosed in the advertisements, thereby depriving consumers of important contextual information.
The CCPA concluded that the institute’s failure to disclose the exact nature of the courses attended by successful candidates amounted to concealment of material information.
The authority observed that students and parents have a right to know whether featured rank holders attended:
- Full classroom coaching programmes;
- Optional subject coaching;
- Test series;
- Or only a short-duration Interview Guidance Programme.
According to the regulator, withholding such information prevented consumers from accurately assessing the effectiveness and relevance of various coaching offerings.
The authority consequently held that the advertisements fell within the definition of a “misleading advertisement” under Section 2(28)(iv) of the Consumer Protection Act, 2019, which covers advertisements involving the concealment of material information.
It further observed that the conduct infringed the consumer’s “right to be informed” guaranteed under Section 2(9) of the Act.
Highlighting the need for transparency in the education and coaching sector, the Central Consumer Protection Authority stressed that aspirants and their families are entitled to accurate, complete, and truthful information before investing in coaching programmes.
The authority observed:
“Misleading advertisements undermine this right and adversely affect consumer interest, particularly in the field of education where aspirants invest significant time, effort, and financial resources.”
The CCPA further noted that withholding details regarding the specific nature of courses attended by successful UPSC candidates can create an inaccurate impression about the effectiveness of particular programmes and influence the choices made by prospective students.
In its order, the authority stated:
“The concealment of important details such as specific course opted by successful candidates will affect the ability of consumers to make an informed choice about which courses to enrol in and at what stage of their preparation of Civil Service Examination. For the potential consumers, true & honest information about specific courses taken by successful candidates would have contributed in their making an informed choice about the course to be opted for ensuring their success at CSE. These facts are important for the potential students to decide on the courses that may be suitable for them and must not be concealed in the advertisement. The effect of which is violation of Consumer rights u/s 2(9) of the Act. Such disclosure is therefore essential to enable aspirants to make an informed choice, and its omission amounts to concealment of material information from consumers.”
The authority emphasised that educational advertisements must present all relevant facts that may influence a student’s decision-making process. According to the CCPA, non-disclosure of such information not only misleads consumers but also undermines the statutory right to be informed under the Consumer Protection Act, 2019.
These observations form part of the regulator’s broader effort to strengthen accountability, fairness, and transparency within India’s coaching industry, where students often make substantial financial and career-related commitments based on institutional claims and success statistics.
The action against Vajiram & Ravi is part of the CCPA’s continuing efforts to address misleading advertisements and unfair trade practices in the coaching sector.
In recent years, concerns have been raised regarding exaggerated success rates, selective disclosure of student achievements, and marketing strategies that may influence students and parents while making important educational decisions.
The authority disclosed that it has issued more than 60 notices to coaching institutes across the country for alleged violations involving misleading advertisements and unfair trade practices.
These proceedings have involved institutions preparing students for examinations such as:
- UPSC Civil Services Examination;
- IIT-JEE;
- NEET;
- RBI recruitment examinations; and
- Various other government and professional entrance examinations.
According to official figures, penalties exceeding Rs 1.46 crore have already been imposed on coaching institutes found to be in violation of consumer protection norms.
Case Title: Misleading Advertisement by Vajiram and Ravi IAS Study Centre LLP with respect to UPSC CSE 2023 Advertisements (CCPA- 2/24/2024-CCPA)
