New Consumer Protection Bill to take place of existing customer protection act

8°

2018-02-21

Against adulteration, the Bill has provisions for fine up to Rs 10 lakh and life term imprisonment.

NEW DELHI: The government has called for strict punishment, including jail terms and hefty fines for misleading advertisements and food adulteration, in the new consumer protection bill presented in the Lok Sabha on Friday.
The consumer protection bill 2018 which seeks to replace the archaic Consumer Protection Act 1986, states that “Any manufacturer or service provider wo causes a false or misleading advertisement to be made which is prejudicial to the interest of the consumers shall be punished with imprisonment for a term which may extend to two years and with fine which may extend up to 10 lakh rupees.” Further offences may lead to a jail term of 10 years and a fine of up to Rs 50 lakh.
“For celebrities involved in misleading advertisements, there will be penalties. There is no provision for a jail term,” said a senior official who did not wish to be quoted, without revealing in particular the nature of these penalties. Minister of consumer affairs, food and public distribution Ram Vilas Paswan in a series of tweets on Friday said that the new bill will ensure faster dispute redressal for consumers and will allow Central government to regulate e-commerce and direct selling among other important measures.
“This Bill provides for simplification of consumer disputes adjudication process for faster disposal of grievances through filing of complaints by a consumer from his place of residence, e-filing and video conferencing for hearing,” Paswan said. The bill also provides for product liability action, which means a complaint filed by a person before consumer court for claiming compensation for the harm caused to him on account of a defective product or service.