Refund Not Provided To Waitlisted Passenger, New Delhi District Commission Holds IRCTC And N-E Railway Liable For Deficiency In Service

The District Consumer Disputes Redressal Commission-VI, New Delhi bench comprising Poonam Chaudhry (President), Bariq Ahmad (Member) and Shekhar Chandra (Member) held IRCTC and North Eastern Railway liable for deficiency in services for failure to refund the ticket when the passengers remained in the waiting list on the day of the journey. The bench directed them to refund the ticket price and pay Rs. 25,000/- to the Complainant for litigation costs. 

Brief Facts:

Sandeep Kumar Mishra (“Complainant”) booked a railway ticket for six passengers from Kacheguda (Telangana) to Gorakhpur (Uttar Pradesh). The booking was done using Indian Railway Catering and Tourism Corporation Ltd. (“IRCTC”) online ticketing facilities. At the time of booking, all passengers were waitlisted. After the chart preparation, only the first three passengers were confirmed and travelled, while passengers 4, 5, and 6 remained waitlisted and did not travel. The Complainant filed an online Ticket Deposit Receipt (TDR) for the cancellation and refund of the waitlisted passengers, as per railway rules.

Despite the routine processing time of 90 days for TDR refund cases, the Complainant, aggrieved by the non-refund within this period, wrote an email to IRCTC. Even after multiple communications to IRCTC and North Eastern Railway, the Complainant didn't receive any response. Feeling aggrieved, the Complainant filed a consumer complaint in the District Consumer Disputes Redressal Commission-VI, New Delhi (“District Commission”).

In response. IRCTC contested the case on various grounds, including that it merely provides access to the Railway Passenger Reservation System (PRS) for ticket booking. It argued that as soon as the ticket is issued, the fare is transferred to the Railways. It claimed no deficiency in service, asserting that it has no role in refund cases, and argued that the Complainant was not entitled to compensation from IRCTC. 

Observations by the Commission:

The District Commission noted that the negligent attitude of IRCTC and North Eastern Railway towards public grievances resulted in harassment of the Complainant over a substantial period. The District Commission, recognizing the Complainant's legitimate claim for a refund, highlighted that the Complainant booked railway tickets for a specific destination. Since not all tickets could be confirmed, some passengers were unable to travel and sought a refund of the fare. The District Commission held that the Railways must refund the fare amount when passengers could not avail themselves of the services provided by the Railways. Due to the failure to refund the amount despite the Complainant following due process, the District Commission held IRCTC and North Eastern Railway liable for deficiency in services.

Consequently, the District Commission directed IRCTC and North Eastern Railway to refund the Complainant the amount against TDR failed by him, with an interest rate of 7% per annum from the date of payment until realization. They were given four weeks to refund the amount. Additionally, they were directed to pay the Complainant Rs. 25,000/- for the litigation expenses incurred by him.

Case Title: Sandeep Kumar Mishra vs Indian Railway Catering and Tourism Corporation Ltd. (IRCTC) and Anr.

Case No.: Case No. CC/887/2013

Advocate for the Complainant: N.A.

Advocate for the Respondent: N.A.