State Consumer Commission dismisses appeal against Indian School of Business


The Telangana State Consumer Disputes Redressal Commission upheld an order of a district commission and dismissed an appeal against the Indian School of Business (ISB) in connection with a complainant seeking a refund of fee.

The Commission was dealing with an appeal filed by Ruchi Sankrit, a resident of Golaghat, Assam.

The complainant stated that she applied for a post-graduate programme in ISB. The application was made on October 12, 2016. On December 5 of the same year admission was offered and 10 days were given to make pay a fee of ₹2,87,500. In the meantime, the complainant sought to know whether a scholarship would be given to her and also if she could be in Hyderabad campus, instead of the one in Mohali. On December 15, she paid the amount.

However, on January 2, 2017, she informed ISB that she did not wish to pursue the course on account of getting admission into another course. She requested that the admission be cancelled and the admission fee be refunded. Her counsel stated that since her seat was allotted another student, ISB should have refunded the fee.

The counsel for ISB contended that the institution is a non-profit organisation and the Commission has no jurisdiction and that admission fee once paid cannot be refunded.

Taking all arguments and evidence placed on record into consideration, the Commission pointed to an order of the full bench of the National Consumer Disputes Redressal Commission (NCDRC) that was dealing with Manu Solanki and eight others versus Vinayaka Mission University. The order dealt with the aspect that admissions do not come under the purview of the Consumer Protection Act given the education on offer cannot be deemed a service.

Upholding the district commission’s judgment, the State Commission dismissed the appeal.


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