IIT Home in soup over fee recovery as parent moves Consumer Commission

Nagpur: The pandemic induced lockdown has certainly put educational activities in haywire, leaving the students struggling with internet speed for online classes at home. Nonetheless, the private institutes are giving parents sleepless nights, thanks to the whimsical fee recovery tactics being applied by established coaching setups in Nagpur. A glaring example signalling the gravity of the situation has come to the fore after a parent moved to District Consumer Dispute Redressal Commission against IIT Home – a well known JEE coaching institute located in New Ramdaspeth here.

Student barred from online classes
The parent has contended that her daughter, who sought admission in a two year programme at IIT Home was debarred from regular online classes after he could not pay the required second instalment in time. The Commission had passed an interim order directing the girl’s father to deposit the fee amount with the Commission and also asked the IIT Home Directors to start the classes thereafter.

Institute ditches Commission’s order
The coaching institute even chose to ditch the consumer commission’s order to take the student in the class even after the girl’s father deposited the amount with the Commission.Helplessly, the girl’s father filed an application before the Commission under section 71 of Consumer Protection Act. However the IIT Home Directors have sought bail and informed that they would appeal against the interim order. The situation has left the future of the student in lurch while the parent is haplessly running from pillar to post to seek justified resolution.

Institute acts whimsical
Mithilesh Choudhary, the student’s father, also called a press conference in this regard. Talking to Nagpur Today Choudhary said there were many parents like him who had to bear the brunt of IIT Home for non-payment of fees. In the complaint to the District Consumer Redressal Commission, filed on behalf of his daughter, Choudhary has levelled allegations against Nisha Kothari, Managing Director at IIT Home and Lalita Kothari, Director, both residing in New Ramdaspeth.

Already paid Rs 1.35 lakh
Choudhary informed that her daughter joined the first year of two years integrated programme of JEE – mains/advance in May 2019. The first year fee of Rs 1.35 lakh was paid at the time of admission. The first year course was supposed to be completed by May 2020. But due to Covid-induced lockdown, the physical classes were suspended from March 2020. He said somehow the course was said to be completed through recorded online classes in June 2020 when the institute asked him to pay Rs 1.70 lakh for seeking admission in second year.

Pay Cuts lead good staff to quit IIT Home, alleges parent
Choudhary said as his earnings were affected due to lockdown and also there were no physical classes, he requested IIT Home authorities to waive off 50% of the fee amount but they refused. They also stopped online classes for her daughter.He alleged that the institute also trimmed its teaching staff to almost half and imposed pay cuts on them, due to which some good teaching staff left the institute. On July 31 this year, Choudhary filed a complaint with the Commission which directed him to deposit Rs 1.70 lakh in commission and ordered the institute to start classes after the amount is deposited. However despite depositing the amount the institute did not share any links with the girl.When Choudhary again filed application in the Commission, it issued summons against the two directors of IIT Home to appear in person and seek bail.

On a looting spree!
On August 24, 2020 the IIT Home directors obtained bail and informed the commission they would appeal against interim order. Choudhary has alleged that it was a matter of concern for all the parents as how these coaching institutes are looting money of innocent parents. Later he got her daughter admitted to some other online institute which offered them 75% discount on their fee.

IIT Home’s yearly revenue Rs 19 crores!
Meanwhile, Choudhary informed that he had procured a copy of balance sheet and P&L statement of IIT Home institute through site of Ministry of Corporate Affairs. The documents reveal that their total revenue every year is around Rs 19 crores.