Private University Fined Rs. 5 Million Over Misleading Ranking & Accreditation

The Competition Commission of Pakistan (CCP) has passed an order imposing a penalty of Rs 5 million on the University of Management and Technology (UMT) for making false claims regarding its ranking and accreditation in violation of Section 10 of the Competition Act, 2010.

On receipt of information, CCP conducted an inquiry to ascertain whether the university has violated the Competition Law.

The inquiry concluded that UMT has made multiple deceptive claims in its prospectus and other promotional material regarding its ranking and accreditation just to make profits by luring new students into taking admission in the university.

Some of the false claims were:

  • Top 10 in South Asia and best accredited in Pakistan
  • UMT School of Business and Economics (SBE) is the only business school in Pakistan that has SAQS Accreditation by the Association of Management Development Institutions in South Asia (AMDISA),
  • UMT is also at the top as per HEC ranking in the General Category (medium sized) of private sector institutions in Punjab in a row since last year
  • Ranked as 2nd best by HEC* and Top 10 in South Asia
  • …the best ranked and best accredited School of Business and Economics (SBE) at the University of Management and Technology.

These misleading and deceptive claims jeopardized the future of thousands of students and caused financial losses to their parents who made important decisions about their children’s education.

The misleading claims could also harm the business interests of other undertakings.

On the inquiry’s recommendations, a Show Cause Notice was issued to the university. During the hearings, the UMT could not substantiate these claims and tendered an unconditional apology. It also made a commitment to discontinue the practice of making deceptive claims.  

CCP’s Prosecutor who assisted the bench referred to a similar example from the United States of America where a federal judge finalized the $25 million settlement between President Trump and students of his now-shuttered Trump University for making false claims regarding its status. 

In view of the UMT’s commitment to compliance and unconditional apology, the bench imposed a penalty of Rs 5 million and directed it to refrain from indulging in any form of deceptive marketing practices in the future. 

CCP is mandated under the Competition Act to ensure free competition in all spheres of commercial and economic activity, to ensure economic efficiency and to protect consumers from anti-competitive practices indulging deceptive marketing. 

  • As I read title of this post, in my mind, Iqra university came.

    I was damn sure its about Iqra University :P

  • Its an open truth 5 million is peanuts for them make it 50 million and see the fireworks
    Its an old practice of this so called eduxation group. They do the same practices with there admitted students to cool the situations

  • Well it’s will be great if the govt charge their director with some brutal punishment! They are literally robbing people! And playing with their grades! Moreover they don’t have even an experienced staff! Like they appoint some new teachers on visiting faculty with zero experience in every semester! Which plays with students grades and then they are appointed as permanent teacher! Plus their management system sucks! Even if someone complains about their management they show zero response! And in return! They make your grades down! And fails u ! They have zero collaboration in even their on campus departments! .. this University
    director should be arrested for robbering people on fake sake of quality education! Such private institutions should be banned of fined with some legit high charges! HEC should send their team in University! And please ask students! Opinion there too! Not just faculty staff! They are kind of expert in lying and fakening things!

  • did parents even meet or see the pictures of faculty members of CS department of UMT? They look dirty. They have only 2 directors and both are relatives(Jeja -saala). So how this university even works? They have fired a dean because he didn’t let them increase fees for years and now they have low-quality teachers. Don’t believe me? check and go for faculty profile. Not even a single faculty member now has any industrial or professional experience of software industry. They are hiring whatever comes with reference.

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