'Hoax' institute operating in city asked to pay huge compensation to student

Friday, 06 December 2019


‘Hoax’ institute asked to pay Rs 1 lakh compensation to BBA student

Saumya Mishra  | April 07, 2018 18:50 hrs

In a recent case, the District Consumer Disputes Redressal Forum (DCDRF) ordered an individual running a BBA course in Guwahati, to pay close to Rs 1 lakh as compensation to a student who had passed out from his institute.  

 “A private institute was operational in Guwahati which was imparting BBA study without obtaining permission or license from any controlling authority. On top of that, the institute also distributed certificates to the students,” said president of the DCDRF, Mohammad Sahadat Hussain.    

He said that the matter came to light after some of its students appeared for tests and interviews for placement in different companies. There they came to know about the non-recognition of the institute from the recruiters.  

The officials refused to divulge the name of the institute since the individual could appeal to the state consumer disputes rights commission.    

One of the students then filed a case with the DCDRF against the individual who owned the institute.  

“Then we directed the institution owner to pay an amount close to Rs 1 lakh as compensation to the student,” said Hussain. 

In another case, the DCDRF passed a judgement against “agents” of a deemed university of Rajasthan which had opened its study centre in Guwahati.  

 Talking to G Plus, Hussain informed that the study centre was operational in Guwahati and had enrolled several students. 

“It, however, did not have the authority to open any outstation study centre in Guwahati. It was further revealed that the university even did not have the permission by the University Grants Commission (UGC) to impart education and issue certificates in outstation centres,” said Hussain.

He added that when the students found about the status of the Guwahati branch of the university, one of the students approached the DCDRF and filed a case against the agents who set up the study centre in the city.     

“They said that they are a part of Rajasthan University but that particular university has not been authorised by the UGC to open centres outside the state,” said a member of the DCDRF.    

The president informed G Plus that after hearing the case, they passed the order directing the study centre agents under whom the study centres were functioning, to pay compensation.  

According to officials, apart from such cases, other categories of disputes at DCDRF include medical negligence cases, complaints against automobile and airline companies and e-commerce platforms for delivery of sub-standard or defective goods, courier companies for deficiency in services and against mobile service providers for lack of services. However, the maximum number of cases is filed against insurance firms which make up at least 30 to 40 per cent of total cases filed every month.

The DCDRF deals with dispute cases whose value is up to Rs. 20 lakhs. State-level cases with a value of more than Rs 20 lakhs and up to Rs 1 crore are taken up by the State Consumer Disputes Redressal Commission (SCDRC). The National Consumer Disputes Redressal Commission is the apex body which adjudicates on disputes where the total claim and compensation amount exceeds Rs 1 crore. 

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