Grahakjago (S.K.Virmani)©

Poor dining service at Le Chef Restaurants in Sector 37 Faridabad viz-a-viz charging of service charges by Restaurants and Hotels Department of Consumer Affairs has brought out a press release advising Restaurants and Hotels not to charge service charge compulsorily into the food bill and waive off the same if the diners do not wish to pay. The ground realities seems to be different specially in view of various media reports. I have also stated in my various posts in this blog that the Restaurants have been adapting to unethical business practices in charging service charge compulsorily and also wrong charging of VAT on 100% value of the food bill. I have visited a restaurant in Sector 37 Faridabad named Le Chef. The restaurant were earlier charging service charge by clubbing with the VAT thus misleading the diners. A bill is given below: As can be seen above that Le Chef charged VAT at the rate of 28.13% in their bill No. 1010 dtd. 29/05/2015. Over and above an amount of Rs....

Is "Ritu Wears" adapting to Ethical Business Practices? probably "No". This is a snap taken at "Ritu Wears" Faridabad who have announced off season sale discounts. A discount of 30% to 60% is being offered. The MRP of products is also displayed and MRP is a price inclusive of all taxes, VAT etc. Now when the discount on MRP is offered, the discounted price becomes MRP implying that the discounted price is also inclusive of taxes, VAT etc. As can be seen that Ritu Wears after discount is also charging VAT extra. The charging of extra VAT is an unfair trade practices as the price after charging VAT becomes expensive to the extent of VAT which in most of the items is 12.5%.   This means the price where the discount has been displayed as 50% makes effective discount to be 43.25% instead of 50% which is unfair trade practices as well as misleading selling.  Let me take another example. Say the company has announced 10% discount in the off sea...