Parliament on Tuesday approved the Consumer Protection Bill 2019, which is aimed at revamping the process of administration and settlment of consumer disputes, with strict penalties including jail term for adulteration and misleading ads by companies.
The Bill, already passed by Lok Sabha, was approved in the Rajya Sabha and it will replace the Consumer Protection Act, 1986. Under the Bill, celebrities endorsing misleading products are also liable for fine.
Piloting the bill, Union Food and Consumer Affairs Minister Ram Vilas Paswan said the legislation proposes to establish a Central Consumer Protection Authority (CCPA) to promote, protect and enforce consumer rights.
The Bill strengthens the rights of consumers and provides a mechanism for redressal of complaints regarding defects in goods and deficiency in services. Replying to a debate on the Bill, Paswan said that the suggestions given by members would be included in the rules framed by the Ministry under this legislation.
The minister said if a product is found faulty, instead of individual examination, the entire batch would be examined.
He said the new bill seeks to take care of product liabilities and service, as well as action against publishers and celebrities of misleading advertisements.
Participating in the debate, K C Ramamurthy (Congress) supported the bill but called for action against unfair trade practices as defined by the Bill and punitive measures thereof, saying the issue is being dealt by the Competition Commission also.
"The bill is silent on the promotion of false and misleading advertisements," he said, demanding action against celebrities and those who promote such false advertisements.