A Telangana consumer commission ordered an online grocery platform to pay ₹57,000 after finding that a ₹150 MRP product was sold for ₹184, ruling that charging above MRP and offering discounts on inflated prices amounted to unfair trade practice.

Telangana Commission Rules Discount on Inflated MRP Is Unfair Trade Practice

The420 Correspondent
4 Min Read

A Telangana consumer commission has directed an online grocery delivery platform to pay ₹57,000 after finding that a customer was charged above the maximum retail price for a grocery item and was offered a discount on an inflated price.

The Ranga Reddy District Consumer Disputes Redressal Commission held that charging more than the MRP and then offering a discount on the higher price amounted to an unfair trade practice.

The complainant, an advocate, had purchased tender jackfruit and a packet of instant poha in September 2023 for a total of ₹293, including ₹5 in handling charges.

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Product With ₹150 MRP Sold for ₹184

According to the complaint, one of the products carried an MRP of ₹150 but was displayed on the platform at ₹214 before discount and sold for ₹184 after discount.

The complainant alleged that such pricing was deceptive because the discount was calculated on a price that was already above the maximum retail price.

He approached the consumer commission seeking action against the online grocery platform and demanded a penalty of ₹5 lakh.

The platform, in its defence, said it was engaged in retailing goods manufactured by other companies and that customers agreed to its terms of service while using the platform.

It also said the incorrect price was caused by a technical or typographical error and that the correct MRP was later displayed.

Platform Says Full Product Amount Was Refunded

The online grocery company told the commission that after receiving the complaint, it refunded the entire amount paid for the concerned product rather than only returning the excess amount charged.

The commission, however, rejected the explanation that pricing information could change from time to time because of unintended errors.

President Chitneni Latha Kumari and member Kathyayani Khandavilli observed that collecting more than the MRP on an online platform amounted to an unfair trade practice.

The commission also found that offering discounts on an inflated price lacked transparency and could mislead consumers about the actual value of the discount.

Commission Orders ₹57,000 Payment

Taking note of the complainant’s experience and the time required to pursue legal remedies, the commission directed the platform to pay ₹2,000 as compensation and ₹5,000 towards litigation costs.

It also ordered the company to deposit ₹50,000 in the consumer legal aid account of the Ranga Reddy District Consumer Commission.

The total financial direction against the online grocery platform therefore amounted to ₹57,000.

The order underlines that online retailers can face consumer-law consequences when products are sold above the printed MRP or when discounts are offered on inflated prices.

About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.

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