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Mohali Company Awarded ₹8 Lakh After Travel Agency Fails to Correct Bookings

by Dimple Saini
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A consumer commission in Mohali has directed travel company XpenseCo to refund ₹8 lakh to logistics firm Cargaison Logistic after an error in travel bookings disrupted a planned corporate trip.

The District Consumer Disputes Redressal Commission also ordered XpenseCo to pay ₹50,000 in compensation towards litigation expenses, mental agony and harassment faced by the company.

The commission, comprising President SK Aggarwal and member Paramjeet Kaur, directed the travel firm to refund the amount with 6% annual interest from September 24, 2022, the original date of the planned trip.

Booking Error Disrupted Corporate Trip

Cargaison Logistic had engaged XpenseCo to organise a holiday for its employees. The company paid ₹6 lakh for 42 IndiGo tickets and another ₹1 lakh for 16 hotel rooms for two days.

However, the bookings were made for September 22–24, 2022, instead of the intended travel dates of September 24–26.

After discovering the discrepancy, Cargaison approached XpenseCo to have the bookings shifted to the correct dates. The travel firm reportedly sought an additional ₹3,045 per ticket for the change.

According to the complaint, Cargaison subsequently paid another ₹2 lakh in an attempt to secure the revised arrangements. Despite this, the dates were not successfully changed.

With the original bookings unusable for the planned trip, the company had to purchase fresh air tickets independently.

Hotel Booking Also Became a Dispute

The company also raised concerns over its hotel reservations.

Cargaison said XpenseCo had indicated that the hotel booking could potentially be rescheduled. However, when the company contacted the hotel, it was informed that the reservation had been made through Yatra.com and that any modification would have to be processed through the booking platform.

The commission took into account the total amount paid by Cargaison in connection with the travel arrangements.

According to the order, the company had paid ₹9 lakh in total, including the additional amount provided for the proposed date change. After accounting for a ₹1 lakh partial refund already provided by XpenseCo, the commission determined that ₹8 lakh remained payable.

Commission Finds Deficiency in Service

The consumer commission concluded that XpenseCo had undertaken to organise the corporate trip, accepted payment for the service and subsequently failed to provide the arrangements as agreed.

The failure meant that Cargaison had to make alternative travel arrangements to carry out the trip.

On this basis, the commission directed XpenseCo to return the outstanding ₹8 lakh along with interest and pay an additional ₹50,000 as compensation.

Complaint Against IndiGo Dismissed

The proceedings also involved IndiGo, although the complaint against the airline was dismissed.

IndiGo told the commission that the group reservation had been made through a third-party travel agent and was governed by the airline’s group booking policies.

The airline also stated that it had refunded ₹28,440 for four seats, after applicable cancellation charges were deducted.

XpenseCo Given 30 Days to Pay

The commission has given XpenseCo 30 days from receiving the certified copy of the order to make the payment.

If the company does not comply within that period, the outstanding amount will carry 9% annual interest until it is paid.

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