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Consumer protection agency probes 20 IAS coaching centres for misleading ads

BYJU's IAS and Unacademy are among those being investigated for misleading advertisements and unfair trade practices.

Consumer protection agency probes 20 IAS coaching centres for misleading ads

Tuesday October 24, 2023 , 3 min Read

Consumer protection regulator Central Consumer Protection Authority (CCPA) is probing 20 IAS coaching centres for alleged misleading advertisements and unfair trade practices of using toppers and successful candidates' names and pictures to influence prospective aspirants.

Notices have been issued to Vajirao & Reddy Institute, Chahal Academy, Khan Study Group IAS, APTI Plus, Analog IAS, Shankar IAS, Sriram's IAS, BYJU'S IAS, Unacademy, NEXT IAS, Drishti IAS, IQRA IAS, Vision IAS, IAS Baba, Yojana IAS, Plutus IAS, ALS IAS, Rau's IAS Study Circle, and Dhishti IAS.

"The notices have been issued in the last one-and-half years for deliberately concealing important information about successful students," said CCPA Chairperson Nidhi Khare.

Out of the 20 institutes, a penalty of Rs 1 lakh each has also been imposed on three centres—Rau's IAS Study Circle, Chahal Academy, and IQRA IAS.

IAS Baba has a stay order on the CCPA notice, while Rau's IAS Study Circle has filed an appeal against the order in the National Consumer Disputes Redressal Commission.

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Usually, several coaching institutes go on an advertising spree after the results of the UPSC (Union Public Service Commission) exam are announced. On an average, 900 students clear the UPSC exam every year out of more than 10 lakh students, said Khare.

The official said, after the UPSC final results in 2022, a total of 933 candidates were recommended. However, the total selections claimed by the 20 institutes exceeded the UPSC's recommendations significantly.

Numerous coaching institutes claim the same rank holder as their student by deliberately concealing important information. The successful candidate might have taken coaching in multiple institutes for different subjects and for prelim or main exams, she said.

Khare said coaching institutesare not clearly disclosing what courses they were enrolled in with the institute. Some might have just taken a 'free mock interview', but the institute claims success once the students get through the UPSC.

Disclosing the kind of courses the successful student has undertaken with an institute is important to protect the interest of prospective aspirants, else a prospective student gets enrolled for a prelim coaching at an institute that does not have a good track record of students passing that exam, she said.

Prospective aspirants continue to take coaching from such centres and waste their time and money, she added.

"If there are proper disclosures, there will be less deceiving," Khare said.

According to CCPA, the current market revenue of the coaching industry in India is about Rs 58,088 crore. Approximately two lakh students move to Kota in Rajasthan annually to prepare for competitive exams, while Delhi is often considered the hub of UPSC-CSE coaching.


Edited by Swetha Kannan