Shankar IAS Academy fined Rs 5 lakh for misleading ads

Fine on IAS Academy: The Central Consumer Protection Authority has imposed a penalty of Rs 5 lakh on Shankar IAS Academy for airing false ads about the 2022 Civil Services Examination. The regulator, led by Chief Commissioner Nidhi Khare, declared the fine on Sunday after finding the coaching institute guilty of issuing fake claims regarding success rate and courses availed by selected candidates.

In its advertisements, relating to the results of the 2022 UPSC Civil Services Examination, Shankar IAS Academy boasted of "336 selections out of 933 at All India Level" and claimed that "40 candidates in the Top 100" were from their academy. The institute even declared itself the "best IAS academy in India." However, the CCPA investigation showed that these were misleading.

The investigation revealed that out of 336 "successful" candidates claimed by the academy, 221 had attended a free interview guidance program. Others took up short-term courses or specific exam components rather than full-fledged programs. Some of the candidates credited to the institution had only purchased preliminary exam courses after the 2022 exam had already concluded, likely for preparation for the next year's test.

This practice is designed to lure consumers into purchasing paid courses advertised by the coaching institutes," said the CCPA in a statement, while insisting on transparency in advertising, particularly in a sector that targets upwards of 1 million candidates who apply for the UPSC exam annually.

The action against Shankar IAS Academy is a part of the larger campaign taken up by the CCPA against coaching institutes issuing misleading ads. The regulator has served similar notices for the same practice to various other organizations while underlining that correct and transparent information must be provided to enable consumers to make informed decisions.

This order virtually sends a strong signal to the coaching institutes on the consequences of misleading advertisements and maintaining integrity in their promotional activities.