Prevention of Misleading Ads in Coaching Sector

Context- The Central Consumer Protection Authority (CCPA), has recently released draft guidelines for the “Prevention of misleading advertisement in the coaching sector”.

Draft Guidelines for the Prevention of Misleading Ads in Coaching Sector

• Background:

• • • The CCPA had formed a sub-committee to draft the guidelines after discussions with numerous stakeholders.
    • Such recommendations have been initiated after widespread complaints against certain coaching centers for misusing the names and snap shots of successful candidates in numerous aggressive examinations, which include the civil services exam.

• Key Highlights of the Guidelines:

• • It has described coaching as “tuition, instructions or academic support or learning programme or guidance” provided by any person.
  • Any person who engages in coaching will be considered to be engaging in a misleading advertisement if important information related to the course (free/ paid, duration opted by the successful candidate) is concealed.

What will be considered as deceptive under the new suggestions?

• Making false claims concerning success rates, number of selections, or rankings of students in any competitive exam without providing verifiable evidence;
• Falsely representing college students’ success as completely due to the coaching, without acknowledging the person efforts of the students;
• Stating or main the purchasers to accept as true with that enrollment in coaching will guarantee the student a rank, etc., unless the coaching is capable of substantiate the claims; and
• Creating a fake sense of urgency or fear of lacking out that could heighten anxieties among college students or parents.
• The goal of the Guidelines: To shield customers from misleading commercials inside the coaching sector through preventing such commercials which affect consumers as a category.

About the Central Consumer Protection Authority (CCPA)

• • It is a regulatory authority set up under [Section 10(1)] the Consumer Protection Act 2019 to alter subjects associated with violation of customer rights, unfair trade practices, and deceptive classified ads.
  • It has a research wing, headed by a Director-General, which might also conduct inquiry or investigation into such violations.

• Functions of the CCPA:

• • Inquiring into violations of consumer rights, investigating and launching prosecution at the appropriate forum;
  • Passing orders to recall goods or withdraw services which can be unsafe, reimbursement of the charge paid, and discontinuation of the unfair trade practices;
  • Issuing instructions to the concerned trader/ producer/ endorser/ advertiser/ publisher to either stop a false or deceptive advertisement or modify it;
  • Imposing penalties (up to Rs 10 lakh and imprisonment for up to 2 years for a fake/ misleading ad) and issuing safety notices to consumers in opposition to unsafe goods and services.

Source: The Hindu

UPSC Mains Practice Question:

Q.Explain how misleading advertisements in the coaching sector can affect the employment opportunities for the youth. What is the role of Central Consumer Protection Authority (CCPA) in dealing with such issues? (200 words)

 

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