NEW DELHI, Nov 14: The Central Consumer Protection Authority (CCPA) has introduced new guidelines mandating coaching institutes to disclose key information regarding their students and courses to prevent misleading parents and candidates. Consumer Affairs Secretary Nidhi Khare announced the guidelines, targeting deceptive advertising practices commonly used by coaching institutes.
The guidelines require institutes to prominently display disclaimers and clarifications about their operations. For minor candidates, institutes must obtain consent before using their photographs and testimonials, and only after they have achieved selection. Additionally, coaching institutes are obligated to accurately present information about their services, facilities, and infrastructure. The guidelines also define “Coaching,” “Coaching Center,” and “Endorser” to standardize terms and expectations within the industry.
Secretary Khare warned against false claims, guarantees, and exaggerated success rates in advertisements. She cited that nine UPSC coaching centers claimed a combined total of over 2,600 selections in the last civil services exam, despite only about 1,000 candidates being selected. The CCPA has issued notices to 45 UPSC coaching institutes for misleading advertisements and imposed penalties totaling over 56 lakh rupees. Repeated violations may result in increased penalties and potential suspension of operations.
The guidelines also mandate that institutes establish a proactive consumer grievance redressal mechanism. Since September of last year, over one crore rupees have been refunded to consumers through the intervention of the National Consumer Helpline. Secretary Khare expressed confidence that these new guidelines would promote transparency and provide consumers with more accurate information.
