Rail Passenger To Get 100X After Re 1 Refund Was Denied By IRCTC


Mohul Ghosh

Mohul Ghosh

Oct 31, 2026


A Kerala passenger has won a consumer case against the Indian Railway Catering and Tourism Corporation (IRCTC) after receiving Re 1 less than the amount due for a cancelled train ticket. The Kasaragod District Consumer Commission has directed IRCTC to refund the missing rupee with interest, pay Rs 100 in compensation and cover Rs 3,000 in litigation costs.

Rail Passenger To Get 100X After Re 1 Refund Was Denied By IRCTC

The commission’s order highlights that even a small refund shortfall can amount to a deficiency in service when a customer is not paid the amount due.

How the Re 1 Dispute Began

The passenger booked an AC three-tier ticket for Rs 553 on August 11, 2024, for a journey scheduled on August 20. He cancelled it on August 17, more than 48 hours before departure.

The commission recorded that the refundable amount was Rs 341 after cancellation charges and GST. However, IRCTC returned only Rs 340, leaving a shortfall of Re 1.

Consumer Commission Orders Refund and Compensation

The passenger approached the Kasaragod District Consumer Commission, alleging that the shortfall caused confusion and mental agony and amounted to a breach of trust. He sought the unpaid rupee, substantial compensation and litigation expenses.

The commission partly allowed the complaint. It directed IRCTC to refund Re 1 with 9% interest from the cancellation date, August 17, 2024, until payment. It also ordered Rs 100 as compensation for deficiency in service and unfair trade practices, along with Rs 3,000 towards litigation costs.

IRCTC was given 30 days from receiving the order to comply.

Commission Says Exact Refund Matters

The commission noted that IRCTC had not justified the Re 1 deduction. Its response was also rejected as time-barred.

The commission held that failing to return the exact amount due constituted deficiency in service and an unfair trade practice. It did not, however, award the much larger compensation sought by the passenger.

A Reminder for Service Providers

The case demonstrates that a small amount does not remove a service provider’s obligation to refund the correct sum. For passengers, it also shows that refund disputes can be taken to a consumer commission when attempts to resolve them directly do not succeed.

The order concerns this passenger’s ticket cancellation in 2024; it should not be taken as a statement of the cancellation rules or charges currently applicable to every booking.


Mohul Ghosh
Mohul Ghosh
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