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Top eateries on fleece list: The Pioneer
New Delhi, June 29: Fifteen top restaurants in the Capital are on the firing line for fleecing customers on packaged items like soft drinks and water.
New Delhi, June 29: Fifteen top restaurants in the Capital are on the firing line for fleecing customers on packaged items like soft drinks and water.
The blacklist includes hip and happening biggies like Nirula's, Cafe Coffee Day, Barista, Hotel Sarwan, Zen at CP, McDonalds at Janpath, Bikaner Sweet Palace at Laxmi Nagar, Moti Mahal Deluxe, Kent's at Defence Colony and even the Claridges Hotel. While the first five were challaned on March 29, 2003 for overpricing, Moti Mahal and Kent's faced the music on March 14, 2003. Bikanerwala at Vasant Vihar was booked on March 1 and Nathu's on March 4. Challans were also issued to Subway at PVR, Saket on February 22.
The CP Nirula's has the dubious distinction of having been challaned twice which means the case will be referred to departmental courts. The restaurants have been flouting the Packaged Commodity Rules of the Weights and Measures Department which state that not a single paisa can be charged above the MRP on pre-packaged items. "We have written rules on the price of pre-packaged items," says S N Jha, W&M collector.
The impunity emerges from a thin line between the W&M guidelines and the sales tax rules. The latter says, if a restaurant owner transfers the contents of the soft drink to a cup or a glass, he is no longer bound by the PCR. However, it is another matter altogether that the MRP on packaged products inclusive of tax.
Meanwhile, the challaned restaurants continue to charge exorbitantly in the name of ambience and air-conditioners. A coke bottle goes for Rs 120 and bottled water for Rs 60 at some places.
The erring restaurants can be fined up to Rs 3,000. And, if they fail to meet the W&M deadline, the matter can be referred to either of three Departmental Courts (two at Karkadooma and one at Patiala House). If they are guilty of subsequent offences, the department can refer the matter to the courts or cancel permission to sell packaged items. According to the PCR, the department can take action on written complaints coming from any aggrieved person or a recognised consumer association on behalf of any person.
However, most of the time, restauranters do not care to appear before the W&M Deptt, as on subsequent challans, the case moves to the courts where it languishes forever.
Mr Ravinder Dhal, Assistant Controller of the W&M Dept, says: "If they want to charge for the ambience, they should do it under an entry tax or service charges separately, rather than inflating the cost of pre packaged items."
The PCR came into existence in 1977 and the penalties under these rules are ridiculously low. If these were meant as a deterrent, they clearly aren't serving the purpose. Mostly, restaurantwallahs get away by paying the penalties, which are no more than a pittance for them. Since the matter comes under the Ministry of Food and Consumer Affairs, the Department of Weights and Measures hardly has a say in the matter of changing PCR rules. Clearly, a revision of penalties is long overdue.
The blacklist includes hip and happening biggies like Nirula's, Cafe Coffee Day, Barista, Hotel Sarwan, Zen at CP, McDonalds at Janpath, Bikaner Sweet Palace at Laxmi Nagar, Moti Mahal Deluxe, Kent's at Defence Colony and even the Claridges Hotel. While the first five were challaned on March 29, 2003 for overpricing, Moti Mahal and Kent's faced the music on March 14, 2003. Bikanerwala at Vasant Vihar was booked on March 1 and Nathu's on March 4. Challans were also issued to Subway at PVR, Saket on February 22.
The CP Nirula's has the dubious distinction of having been challaned twice which means the case will be referred to departmental courts. The restaurants have been flouting the Packaged Commodity Rules of the Weights and Measures Department which state that not a single paisa can be charged above the MRP on pre-packaged items. "We have written rules on the price of pre-packaged items," says S N Jha, W&M collector.
The impunity emerges from a thin line between the W&M guidelines and the sales tax rules. The latter says, if a restaurant owner transfers the contents of the soft drink to a cup or a glass, he is no longer bound by the PCR. However, it is another matter altogether that the MRP on packaged products inclusive of tax.
Meanwhile, the challaned restaurants continue to charge exorbitantly in the name of ambience and air-conditioners. A coke bottle goes for Rs 120 and bottled water for Rs 60 at some places.
The erring restaurants can be fined up to Rs 3,000. And, if they fail to meet the W&M deadline, the matter can be referred to either of three Departmental Courts (two at Karkadooma and one at Patiala House). If they are guilty of subsequent offences, the department can refer the matter to the courts or cancel permission to sell packaged items. According to the PCR, the department can take action on written complaints coming from any aggrieved person or a recognised consumer association on behalf of any person.
However, most of the time, restauranters do not care to appear before the W&M Deptt, as on subsequent challans, the case moves to the courts where it languishes forever.
Mr Ravinder Dhal, Assistant Controller of the W&M Dept, says: "If they want to charge for the ambience, they should do it under an entry tax or service charges separately, rather than inflating the cost of pre packaged items."
The PCR came into existence in 1977 and the penalties under these rules are ridiculously low. If these were meant as a deterrent, they clearly aren't serving the purpose. Mostly, restaurantwallahs get away by paying the penalties, which are no more than a pittance for them. Since the matter comes under the Ministry of Food and Consumer Affairs, the Department of Weights and Measures hardly has a say in the matter of changing PCR rules. Clearly, a revision of penalties is long overdue.