RAI UNIVERSITY vs HARIPRASAD N V

-AN Educational Institution has indulged in "unfair Trade Practice" by making false proclamation that it is a Government Recognized University , even though it was de-recognized. Students who study in such Institution would not be permitted to appear for the examination and even if they take examination the Degrees awarded by such Institutions would not be valid. It is unfair on the part of Educational Institutions to play with the career of students by misleading them.

THIS appeal is by the appellant/opposite party No. 1 (for short, "o. P. No. 1") challenging the order dated 7. 12. 2006 passed by the District Consumer Forum, Mysore, in Complaint No. 173/2006, by which the District Forum has allowed the complaint of the respondent No. 1/complainant. The complainant on the advertisement issued by O. P. No. 1 got himself admitted to M. B. A. Course. When he wanted to appear for the Examination he came to know that the Institution was de-recognized.

When O. P. 1 Institution itself has been de-recognized, it ought not to have admitted the students to the course. The Advertisement issued by O. P. 1 amounts to misleading the public and making the students to get admitted, despite the fact that the Institution has been de-recognized. Therefore, the District Forum is right in allowing the complaint of the complainant with a direction to O. P. 1 Institution to refund the fee collected by it with compensation of Rs. 25,000. Since O. P. 1 Institution has indulged in getting the students admitted to the course even after the Institution has been de-recognized, the District Forum is right in directing O. P. 1 to remit Rs. 25,000 to the Consumer Welfare Fund as a "warning signal" not only to O. P. 1 Institution but also to other Institutions.

HENCE, we pass the following order: the Appeal is dismissed. Before parting with this case, we hope the Government of Karnataka will direct all de-recognized Institutions not to indulge in Unfair Trade Practice by admitting the students by misleading them and play with their career. If an Educational Institution indulges in such Unfair Trade Practice it will defeat the very purpose of establishing the Institution. The object of an Educational Institution should be to impart education but not to make money. Office is directed to send a copy of this order to the Chief Secretary to Government of Karnataka. Appeal dismissed.