Five-star hotels must explain overloading bananas, eggs: Paswan
New Delhi: Five-star hotels charging exorbitant prices for food items like bananas and eggs are an “unfair trade practice” and the government will ask them for an explanation, Food and Consumer Affairs Minister Ram Vilas said on Tuesday Paswan.
The minister said that arrangements will also be made during the development of rules and regulations under the recently enacted Consumer Protection Act to crack down on such cases.
Paswan was referring to a video that recently went viral in which actor Rahul Bose was seen complaining about the five-star JW Marriott, Chandigarh for charging two bananas for ??442. Another billing complaint ??1,700 for two hard-boiled eggs at another 5-star hotel have also gone viral on social media.
“There are complaints and reports in social media and the media about overcharging by some five-star hotels for items like bananas and eggs. It is a serious and unfortunate matter,” Paswan told reporters here. .
The minister wondered how five-star hotels could charge ??442 for two bananas and ??1,700 for two eggs when these items were sold on the open market at very low prices.
âHow much they (hotels) will charge for the services offered,â he joked.
Paswan said the department would seek explanations from the affected five-star hotels on the basis of which they charged such huge amounts.
“We will not allow double MRP (maximum retail price),” he said, adding that the government would establish rules to verify such practices under the consumer protection law which was recently passed. adopted by Parliament.
Speaking on the sidelines after the minister’s press conference, Consumer Secretary Avinash K Srivastava said: âOn the face of it, this is an unfair trade practice. As the minister has requested, we will seek explanations from these hotels. He added that action would be taken against these hotels if they were found to be engaging in such unfair practices.
The Federation of Hotel and Restaurant Associations of India (FHRAI), however, defended JW Marriott, Chandigarh when controversy erupted saying the hotel had done nothing “illegal” and claimed that he had done the right thing by charging 18 percent GST on food and drink served on hotel premises.
The FHRAI had argued that unlike a retail store where bananas could be bought at market price, a hotel offers service, quality, plate, cutlery, side dish, sanitized fruit, ambiance and luxury, and not just the merchandise alone.
This story was posted from an agency feed with no text editing. Only the title has been changed.
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