IRCTC Share Price in Focus; Indian Railways Imposes ₹10 Lakh Penalty Over Food Complaint

Indian Railways has imposed a ₹10 lakh penalty on Indian Railway Catering and Tourism Corporation (IRCTC) after a complaint regarding food served on the Patna-Tatanagar Vande Bharat Express. The incident took place on Train No. 21896 on March 15, 2026. 

As per the news reports, the complaint stated that insect body parts were found in a meal supplied onboard. The matter was reviewed and action was taken after verification. 

Vendor Fined and Contract Terminated 

The Railways has also imposed a ₹50 lakh penalty on the catering service provider involved in the incident. In addition, the contract with the vendor has been terminated. 

Officials said the penalties were part of disciplinary measures following the complaint. The actions show enforcement of existing catering rules on trains. 

Catering Scale and Oversight 

IRCTC is responsible for catering services across the railway network and currently serves about 16.50 lakh meals each day. It operates under the Ministry of Railways as a public sector enterprise. 

Given the scale of operations, monitoring food quality remains a key issue. Complaints related to hygiene and service standards continue to be reported from time to time. 

Ongoing Changes in Catering Policy 

In January 2026, the Railway Board outlined measures for improving food quality and onboard services. These included tighter checks on vendors and service processes. 

In November 2025, the Railways allowed food chains such as McDonald's, KFC, and Haldiram's to open outlets at stations. A pilot programme offering a broader menu, including regional options, was also introduced on select routes in December 2025. 

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IRCTC Share Price Performance  

As of March 27, 2026, 9:36 am, Indian Railway Catering and Tourism Corporation (IRCTC) share price was trading at ₹515.40, a 1.59% decrease from the previous closing price. 

Conclusion 

The penalty is among the higher amounts imposed in recent catering-related cases. It follows continued efforts by the Railways to address complaints linked to onboard food services. 

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