The Central Consumer Protection Authority (CCPA) has slapped a penalty of Rs 3 lakh on edtech firm Edu Tap Learning Solutions for misleading advertisements claiming 144 students were selected for the RBI Grade B exam in 2023 after taking its courses.

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In an order issued on June 12, the CCPA directed Edu Tap to immediately discontinue the "impugned advertisement" from all electronic and print media. The company has been given 15 days to submit a compliance report.

The consumer watchdog found that Edu Tap's advertisements on its YouTube and Telegram channels showcased the names and pictures of 144 candidates selected for the coveted RBI exam. However, it concealed crucial details about which specific courses these candidates had taken from the platform.

As per CCPA's findings, 57 out of the 144 candidates had taken only the 'Interview Guidance Course' offered free of cost by Edu Tap. This course comes into play after a candidate has cleared the RBI Grade B exam's preliminary and main stages.

The CCPA order noted that Edu Tap had "deliberately concealed important information" about the type and duration of courses opted by the successful students in a bid to "mislead consumers as a class." The regulator took objection to Edu Tap using the RBI's emblem in the advertisements without permission to lend them an "air of authenticity."

With around 2 to 2.5 lakh candidates appearing for the RBI Grade B exam annually, the CCPA underlined that the "vulnerability of the class of persons likely to be adversely affected by such misleading advertisements is huge." Edu Tap has a sizeable presence with 3.59 lakh subscribers on YouTube and around 15,000 paid users across platforms.

The company did not offer an immediate comment on the CCPA order when contacted.