NEW DELHI: A Punjab district consumer commission has directed a travel agency to refund Rs 1.2 lakh to a woman who alleged that the company failed to provide the promised luxury hotel accommodation under its prepaid holiday membership. The bench also asked the company to pay Rs 10,000 as compensation for harassment and litigation expenses.
Why did the agency denied Radisson hotel
According to the commission order, Niti Bansal, a resident of Dhuri in Sangrur district, purchased a five-year membership from Club Infication on September 1, 2024, after being told that she would receive six nights and seven days of accommodation in five-star hotels every year.The membership was offered for a period of five years and the complainant paid a total of Rs 1,20,000 through online transactions on September 1, 2 and 4, 2024.The company allegedly told her that hotel stays could be booked by informing its representatives at least 48 working hours in advance. The scheme also had a blackout period from December 20 to January 10.On September 5, 2024, Bansal approached the company’s representatives to book a hotel room in Chandigarh. After being told that the company needed 48 hours to make the booking, she changed her proposed stay to September 15-17, 2024.The company then sent her a list of available hotels. However, according to her complaint, none of the options was a five-star hotel. She wanted a room at the Radisson or a hotel of equivalent status.The complainant checked the Radisson’s availability online and found that rooms appeared to be available. However, the company’s representatives told her that only the hotels shared with her on WhatsApp could be booked. She alleged that the company refused to arrange accommodation at a hotel from the list provided to her when she purchased the membership.The complainant later sent a legal notice to the company on December 26, 2024, seeking a resolution. In its reply, Club Infication claimed that the package covered three-star and five-star hotels depending on availability on its portal.It further added that the Radisson and Ramada were not available through the portal.The complainant approached the commission, alleging deficiency in service. She sought a refund of Rs 1.2 lakh with 18 percent annual interest from September 1, 2024, Rs 50,000 as compensation for mental tension and harassment, and Rs 55,000 towards litigation expenses.
Commission’s finding
The bench of president Jot Naranjan Singh Gill and members Sarita Garg and Kanwaljeet Singh examined the membership documents, hotel list, WhatsApp conversations and other records submitted by the complainant.The commission noted that the membership terms covered six nights and seven days of accommodation at premium locations in India and abroad. It also considered the company’s reply to the legal notice, in which it said hotel availability depended on the options listed on its portal.“Ex.C-5 copy of the reply of the legal notice and Ex.C-10 copy of whatsapp chat proves that the opposite party no.1 failed to accommodate the complainant any hotels as per the terms and conditions of the Luxury Holiday Pre Paid Package,” the bench said.It found that the company had failed to provide accommodation in hotels according to the package terms.“We are of the view that offering a hotel in place of luxury accommodation amounts to substantial deviation from the service for which the complainant paid consideration,” it further added.The commission also noted that the company had not appeared to contest the complaint despite notice. It proceeded ex parte against the opposite parties on December 5, 2025, and considered the complainant’s evidence, which remained unrebutted.“In view of the facts and circumstances it is established that opposite party no.1 has failed to provide the service in accordance with the terms and conditions of the Luxury Holiday Pre Paid Package purchased by the complainant. The same constitutes deficiency in service on the part of the opposite party no.1,” the commission concluded.
Final order
The District Consumer Disputes Redressal Commission, Sangrur, allowed the complaint and directed Club Infication to:
- Refund Rs 1,20,000 to the complainant.
- Pay 7 percent annual interest on the refund from March 5, 2025, the date the complaint was filed, until realisation.
- Pay Rs 5,000 as compensation for mental pain, agony and harassment.
- Pay Rs 5,000 towards litigation expenses.
The company was directed to comply within 60 days of receiving a copy of the order. The commission passed the order on October 12, 2026.The fixed payout ordered, excluding interest, is Rs 1.3 lakh. The commission awarded interest at 7 percent per annum, rather than the 18 percent sought by the complainant, and ordered Rs 10,000 in compensation and litigation expenses, against the combined Rs 1.05 lakh she had claimed under those heads.