CCPA Issues 24 Notices for Unfair Trade Practices Against E-commerce Companies: Govt

GG News Bureau

New Delhi, 4^th August. According to the Ministry of Consumer Affairs, Food and Public Distribution, the Central Consumer Protection Authority (CCPA) has issued 24 notices for unfair trade practices against e-commerce companies.

In a written response to a question in the Lok Sabha, Union Minister of State for Consumer Affairs, Food and Public Distribution Ashwini Kumar Choubey stated that, in addition to these 24 notices, the CCPA issued two Safety Notices to warn consumers against purchasing household goods such as pressure cookers, helmets, and so on that do not conform to the Bureau of Indian Standards (BIS).

Choubey informed that under the provisions of the Consumer Protection Act, 2019, CCPA has been established with effect from July 24, 2020 to regulate matters, inter alia, relating to false or misleading advertisements which are prejudicial to the interests of the public and consumers as a class.

On June 9, 2022, the CCPA published the Guidelines for the Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022.

These guidelines establish conditions for an advertisement to be non-misleading and valid, as well as restrictions on bait advertisements and free claim advertisements, as well as the prohibition of surrogate advertisements.

The minister also stated that, under the provisions of the Consumer Protection Act of 2019, a consumer can file a consumer complaint with the Consumer Commission of appropriate jurisdiction, either offline or online through the e-Daakhil portal.

A District Consumer Dispute Redressal Commission has jurisdiction to hear complaints where the value of the goods or services paid as consideration does not exceed Rs 50 lakh, according to the revised pecuniary jurisdiction.

According to the Ministry, the State Consumer Dispute Redressal Commission and the National Consumer Dispute Redressal Commission have jurisdication where such consideration is above Rs 50 lakh and upto Rs 2 crore and above Rs 2 crore respectively.

The Consumer Protection (Consumer Disputes Redressal Commissions) Rules, 2020, promulgated under the aforementioned Act, state that no fees are required for registering cases in the District Consumer Disputes Redressal Commissions involving the value of goods or services paid as consideration up to Rs 5 lakh.

Furthermore, Section 38(7) of the Consumer Protection Act, 2019 states that every complaint must be resolved as quickly as possible, with an effort made to resolve the complaint within three months of receiving notice from an opposing party if the complaint does not require analysis or testing of commodities, and within five months if it does require analysis or testing of commodities.

Under the “JagoGrahakJago” campaign, the Department of Consumer Affairs has raised consumer awareness among all consumers in the country through video spots and other materials on topics such as the Consumer Protection Act 2019, packaged commodities, weights and measures, hallmarks, and consumer grievance redressal mechanisms via the departmental website, State/UT governments, VCOs, TV, Radio, and CSCs.

Regular messages on these issues are posted on social media in order to maximise its potential for raising consumer awareness. State and territorial governments have been involved in raising consumer awareness in rural and remote areas.

The Department of Consumer Affairs recently introduced “Jagriti,” a mascot designed to empower consumers and raise awareness of their rights. “Jagriti” is projected as an empowered young consumer.

In addition, the Department of Consumer Affairs has formed a committee to develop a framework for detecting fake and misleading reviews in e-commerce.