Central Consumer Protection Authority has taken suo motu cognisance against 5 Delhi Restaurants for non-refund of Service Charges. In a statement, the Ministry of Consumer Affairs, Food and Public Distribution said that these restaurants failed to refund mandatory service charges despite a judgment held by the Delhi High Court. Notices have been issued under the Consumer Protection Act, 2019, directing the restaurants to refund the service charge amounts.
The Ministry said that the National Consumer Helpline receives complaints against the Restaurants regarding the mandatory levy of the Service Charge and non-refund of the Service Charge Amount. This measure is aimed at reducing the undue pressure on Consumers to pay additional amounts. The statement said that certain restaurants continue to charge for services without obtaining prior consent from consumers, disregarding consumer rights and indulging in unfair trade practices.