
4 min readNew DelhiJul 10, 2026 11:15 AM IST
The Kangra Consumer Commission ordered the hostel to compensate the student for the inconvenience and harassment caused by its deficient service. (Image generated using AI)
A private hostel cannot collect hefty advance fees while failing to provide basic promised amenities, a Himachal Pradesh Consumer Commission has ruled, directing a Greater Noida hostel to refund Rs 30,000 with 9 per cent interest and pay Rs 10,000 towards compensation and litigation costs after a B Tech student was forced to vacate within a week over poor food, lack of maintenance and the absence of Wi-Fi.
The Kangra District Consumer Disputes Redressal Commission president Hemanshu Mishra and members Arti Sood and Narayan Thakur were hearing a consumer complaint filed by one Aryan Rawat against Nalanda Living Hostel, Greater Noida. The complaint sought refund of the hostel advance fee along with compensation, alleging deficiency in service after the hostel failed to provide the facilities promised at the time of admission.
“Accepting upfront commercial charges while failing to provide basic, habitable amenities like palatable food and internet connectivity constitutes a classic case of Deficiency in Service under the Consumer Protection Act,” the commission said on June 25.
According to the complaint, Aryan Rawat secured admission to the B Tech programme at IILM University, Greater Noida, on August 17, 2023. Looking for accommodation, he opted for Nalanda Living Hostel the same day and paid an advance amount of Rs 35,000 for an air-conditioned room. The hostel allegedly promised quality food, uninterrupted Wi-Fi connectivity and regular maintenance, convincing the student to choose its accommodation.
Poor food, no Wi-Fi forced student to leave
The student alleged that within days of moving in, he encountered several problems. According to the complaint, the food served was sub-standard, maintenance of the premises was neglected and the promised Wi-Fi facility was never activated as the password was not shared despite repeated requests.
On August 23, 2023, barely a week after joining the hostel, Rawat informed the hostel manager that he wished to discontinue his stay because of these shortcomings. The manager allegedly assured him that the advance amount would be refunded after deducting charges for the one-week stay. But despite repeated phone calls and reminders, no refund was made, prompting the student to approach the consumer commission.
Hostel chose not to contest complaint
The commission noted that notices were duly served upon the hostel management, but it failed to appear before the forum despite service. As a result, the hostel was proceeded against ex parte.
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The bench observed that since the opposite party chose not to contest the proceedings, the complainant’s evidence remained unrebutted, unchallenged and uncontroverted, leaving no reason to disbelieve the documentary evidence placed on record.
Clear deficiency in service
Examining the payment receipt and other documents, the commission held that the hostel had accepted a substantial advance amount but failed to provide even the basic amenities that had been promised.
It observed that such conduct squarely fell within the definition of deficiency in service under the Consumer Protection Act.
The commission further noted that the complainant had been compelled to vacate the hostel within one week because of the uninhabitable conditions.
While recognising that the student had stayed in the hostel for seven days, the commission considered it reasonable to deduct Rs 5,000 towards the week’s accommodation charges and directed that the remaining Rs 30,000 be refunded.
The commission held that accepting advance payments while failing to provide essential and promised facilities could not be justified.
It ordered the hostel to compensate the student for the inconvenience and harassment caused by its deficient service.
Consumer takeaway
Students and parents who pay advance hostel fees based on promises of quality food, Wi-Fi and other amenities can approach consumer commissions if those assurances are not fulfilled. A hostel cannot retain substantial advance payments while providing deficient services. Keeping receipts and records of promised facilities can significantly strengthen a consumer’s case. Consumer forums can order refunds, interest and compensation where deficiency in service is proved.
Aggrieved consumers may contact the consumer helpline in their respective states (Himachal Pradesh helpline: 1800-180-8087) or call the National Consumer Helpline at 1915 for assistance.
Vineet Upadhyay is an Assistant Editor with The Indian Express, where he leads specialized coverage of the Indian judicial system.
Expertise
Specialized Legal Authority: Vineet has spent the better part of his career analyzing the intricacies of the law. His expertise lies in "demystifying" judgments from the Supreme Court of India, various High Courts, and District Courts. His reporting covers a vast spectrum of legal issues, including:
Constitutional & Civil Rights: Reporting on landmark rulings regarding privacy, equality, and state accountability.
Criminal Justice & Enforcement: Detailed coverage of high-profile cases involving the Enforcement Directorate (ED), NIA, and POCSO matters.
Consumer Rights & Environmental Law: Authoritative pieces on medical negligence compensation, environmental protection (such as the "living person" status of rivers), and labor rights.
Over a Decade of Professional Experience: Prior to joining The Indian Express, he served as a Principal Correspondent/Legal Reporter for The Times of India and held significant roles at The New Indian Express. His tenure has seen him report from critical legal hubs, including Delhi and Uttarakhand. ... Read More
Tags:
B Tech student
Consumer Disputes
hostel
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