Tata fined Rs. 3.5 lakh for misleading ad on fuel efficiency

According to a media report, Tata Motors has been asked to pay a compensation of Rs. 3.5 lakh for a misleading Tata Indigo advertisement, which allegedly made false claims about the car’s fuel efficiency.

The National Consumer Disputes Redressal Commission (NCDRC) observed that the claims made in the advertisement did not match test results.

The company was directed to pay Rs. 2 lakh as compensation to Pradipta Kundu, a Kolkata resident, who had purchased a Tata Indigo in 2011 after seeing the ad claiming a fuel efficiency of 25 km/l. The carmaker was also asked to pay Rs. 1.5 lakh towards punitive damages to the state consumer welfare fund.

Kundu had moved the district forum after Tata Motors refused to replace his car. The forum directed the company to refund the cost of the vehicle (Rs. 4.8 lakh) and pay a compensation of Rs. 5 lakh and cost of Rs. 10,000.

The report states that the advertisement also claimed that the Indigo was India’s most fuel efficient car and that it was an offer for a limited period.

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