Govt Issues Guidelines to Regulate Coaching Institutes; Rs 72.6 Lakh Penalty on 23 for Misleading Ads

Central Consumer Protection Authority (CCPA) has issued 46 notices to various coaching centers for engaging in misleading advertisements and unfair trade practices.

The Ministry of Education has informed the Lok Sabha that guidelines for the regulation of coaching institutes were issued to States and Union Territories (UTs) on January 16, 2024, followed by a subsequent communication on July 16, 2024, urging their implementation. The initiative aims to curb misleading advertisements, arbitrary fees, and other malpractices in the private coaching sector.

As per the Ministry, as education falls under the Concurrent List, the responsibility for regulating private coaching centers lies with State and UT governments. The guidelines outline conditions for registration, infrastructure requirements, and ensure that fees remain fair and reasonable. The framework also mandates that fee hikes during the course tenure are prohibited and introduces an easy exit policy with pro-rata fee refunds.

Restrictions on Advertisements and Monitoring Mechanisms

The guidelines explicitly ban misleading advertisements by coaching institutes. Continuous monitoring mechanisms, complaint redressal systems, and penalties for violations have been put in place. The Ministry highlighted that States like Uttar Pradesh have pre-existing laws, such as the Uttar Pradesh Regulation of Coaching Act, 2002, to regulate these institutions.

Action Against Misleading Advertisements

Under the Consumer Protection Act, 2019, the Central Consumer Protection Authority (CCPA) has been actively taking measures against deceptive advertising in the coaching sector. The authority has issued 46 notices to various coaching centers for engaging in misleading advertisements and unfair trade practices.

The CCPA has imposed penalties totaling Rs 72.6 lakh on 23 coaching institutes and directed them to discontinue misleading advertisements. To further protect consumers, the Guidelines for Prevention of Misleading Advertisement in Coaching Sector, 2024, were issued. These guidelines prohibit the use of candidates’ names, photographs, testimonials, or videos in advertisements without their written consent.

Read More:

• UGC Discontinues CARE Journal Listing, Seeks Feedback on New Parameters
• UGC Extends Deadline for Feedback on Draft Regulations for Teacher Appointments, Promotions