Pune Consumer Court Orders Kesari Tours to Refund Rs 4.28 Lakh for Europe Trip Cancelled Due to COVID-19

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Pune, 1st December 2025: The District Consumer Disputes Redressal Commission in Pune has directed Kesari Tours Pvt. Ltd. and its directors to issue a full refund of ₹4,28,410 to a senior citizen couple whose Europe trip was cancelled in 2020 due to the COVID-19 pandemic.

The Commission ruled that forcing customers to accept a “Credit Shell” instead of a cash refund for a trip cancelled due to a global pandemic amounts to an unfair trade practice. In addition to the refund, the travel agency has been ordered to pay ₹30,000 as compensation for mental and physical agony, and ₹10,000 towards litigation costs.

On February 15, 2020, Wakad residents Sureshrao T. Deshmukh and his wife Shobhana Deshmukh booked the “Image of Europe Economy” tour through a Kesari Tours franchisee. The couple paid the full tour amount of ₹4,28,410. The trip was scheduled for May 2020.

However, in April 2020, Kesari Tours cancelled the trip owing to the sudden outbreak of the COVID-19 pandemic and subsequent lockdowns. Instead of refunding the money, the travel agency offered the couple a “Credit Shell” of ₹3,83,242 (deducting visa fees) to be used for a future trip.

Given the uncertainty of the pandemic and their doctor’s strict advice against international travel due to their age and health risks, the Deshmukh couple repeatedly requested a full cash refund. In response, the agency stated they would deduct an additional 25% from the amount and refund only ₹2,87,497. Shocked by the massive deduction of their hard-earned life savings, the couple filed a complaint with the consumer forum.

During the hearings, Kesari Tours argued that a substantial portion of the tour funds had already been paid to airlines, hotels, and overseas suppliers as non-refundable advance payments prior to the lockdown. They also claimed to have spent money on securing the couple’s UK visas and stated that their Credit Shell policy was explicitly designed for unforeseen situations beyond their control.

A bench comprising President Anil B. Jawalekar and Member Shubhangi J. Dunakhe dismissed the travel agency’s arguments. The Commission noted that Kesari Tours completely failed to produce any documentary evidence—such as invoices or receipts—proving that the money was actually spent on non-refundable airline tickets, hotel bookings, or visa processing.

Citing directives from the Supreme Court of India regarding full refunds for travel bookings made during the lockdown period, the Commission stated that the cancellation was not due to any personal fault of the complainants. Therefore, arbitrarily deducting amounts and forcing a credit shell upon the consumers is unjust.

Holding the travel company jointly and severally liable, the forum directed Kesari Tours to:

  1. Refund the entire amount of ₹4,28,410 along with 7% annual interest calculated from the date of payment (February 15, 2020).
  2. Pay ₹30,000 as compensation for physical, mental, and financial hardship, plus ₹10,000 for legal expenses.