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Govt imposes Rs 5 lakh fine on Shankar IAS Academy for misleading ad

The authority has imposed a penalty of Rs 5 lakh for misleading advertisements.

Govt imposes Rs 5 lakh fine on Shankar IAS Academy for misleading ad

The Central Consumer Protection Authority (CCPA) has issued an Order against Shankar IAS Academy for misleading advertisement regarding the UPSC Civil Service Exam 2022.

The authority has imposed a penalty of Rs 5 lakh for misleading advertisements.

The decision was taken to protect and promote the rights of consumers as a class and ensure that no false or misleading advertisement is made of any goods or services that contravene the provisions of the Consumer Protection Act, 2019, the statement released by the government said on Sunday.

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In its advertisement, Shankar IAS Academy claimed that, with respect to the UPSC Civil Service exam 2022, 336 selections out of 933 at the All India Level, 40 candidates were in the Top 100.

It also claimed to be the best IAS Academy in India, and 42 candidates have cleared from Tamil Nadu, of which 37 studied at Shankar IAS Academy.

The CCPA found out that Shankar IAS Academy advertised various types of courses but the information with respect to the course opted by the advertised successful candidates in above mentioned UPSC Civil Service exam results was deliberately concealed in the advertisement.

Shankar IAS Academy in its response submitted the details of only 333 successful candidates against its claim of 336 plus selections in UPSC CSE 2022.

Of the 336 claimed students, 221 took Free Interview Guidance Programme, 71 took Mains Test Series, 35 took Prelims Test Series, 12 took General Studies Prelims cum Mains, 4 took Prelims Test Series with Some other mains course (optional and/or GS).

This fact was not disclosed in their advertisement, thereby deceiving consumers, the CCPA said.

Further, the CCPA found that in 18 instances where candidates bought a Preliminary course from Shankar IAS Academy, the commencement date of the course on the receipt is mentioned as October 9, 2022, but the prelims of the UPSC CSE, 2022 exam had already been conducted on June 5, 2022 and result declared on June 22, 2022, which could only mean that these candidates bought Preliminary course for next UPSC CSE prelims exam i.e., 2023.

Shankar IAS claimed these candidates in their total selections list of UPSC CSE 2022.

Nidhi Khare, Chief Commissioner of CCPA stated that according to news reports, more than 10 lakh candidates apply for UPSC Civil Services Examination every year. Shankar IAS Academy’s advertisement was targeted towards a class of consumers i.e. UPSC aspirants.

The action was taken under Section 18 of the Consumer Protection Act, 2019, which empowers CCPA that it shall ensure that no false or misleading advertisement is made in respect of any goods or services which contravene the provisions of this Act or the rules or regulations made thereunder.

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