The dispute arose when a passenger received ₹340 instead of ₹341 after canceling an AC three-tier journey booked for ₹553. Although IRCTC deducted the standard cancellation charge and goods and services tax, it improperly retained the remaining single rupee. The commission rejected IRCTC's limitation-based defense and ordered the agency to return the sum with interest alongside court expenses.
Key points
The commission determined that withholding even minor sums during automated refunds amoun…: The commission determined that withholding even minor sums during automated refunds amounts to an unfair trade practice.
The consumer court firmly rejected IRCTC's procedural counter-argument that the customer'…: The consumer court firmly rejected IRCTC's procedural counter-argument that the customer's legal grievance was barred by limitation.
Indian Railways plans to enforce stricter refund rules in March 2026 by requiring cancell…: Indian Railways plans to enforce stricter refund rules in March 2026 by requiring cancellations 72 hours before departure.
Sources checked by our analysis pipeline: 1
On receiving ₹1 less, a Kerala passenger sued the Indian Railway Catering and Tourism Corporation (
IRCTC) and ended up winning the refund and more in a legal battle at the local consumer commission. The Kasaragod District Consumer Commission ordered the railway ticketing corporation to pay the passenger ₹3,100, along with the original residual amount. The rules that applied to the passenger, who booked and cancelled the ticket in 2024, have now been updated.
The claimant cancelled his ticket on August 17, 2024, more than 48 hours before the scheduled journey on August 20, 2024. He booked an AC three-tier train ticket for ₹553 on August 11. The complaint mentions that IRCTC deducted ₹180 as cancellation charges and 5 per cent GST, which amounted to ₹9. As calculated, the refund amount came up to ₹341; however, IRCTC refunded only ₹340. This left a shortfall of ₹1.
The shortfall caused the complainant confusion and mental distress. This incident caused a breach of trust towards India's primary railway organisation. His demands were ₹1 lakh for confusion, ₹1 lakh for breach of trust,…
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