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General Studies 2 >> Polity

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CENTRAL CONSUMER PROTECTION AUTHORITY

CENTRAL CONSUMER PROTECTION AUTHORITY

1. Context 

The government has issued a stern warning to online players, emphasizing the need to halt the exploitation of consumers through deceptive practices known as 'dark patterns.
The Central Consumer Protection Authority (CCPA), established under The Consumer Protection Act, 2019, will play a crucial role in combating these unethical tactics.
 

2. About The Central Consumer Protection Authority

  • It is constituted under Section 10(1) of The Consumer Protection Act, 2019.
  • It replaces the previous Consumer Protection Act of 1986.
  • It aims to address consumer concerns and protect consumer rights and Targets unfair trade practices and false/misleading advertisements.

2.1. Powers of the CCPA

  • It is an Authority to investigate violations of consumer rights and unfair trade practices.
  • it can initiate investigations suo motu, based on complaints or directives from the central government.
  • Ministry of Consumer Affairs, Food, and Public Distribution finalizing rules for CCPA's composition and functioning.

2.2. Structure of the CCPA

  • It is a lean body with a Chief Commissioner as the head and Two other commissioners, one responsible for goods and the other for services.
  • It is Headquartered in the National Capital Region of Delhi, with the possibility of regional offices.

2.3. Dealing with Dangerous, Hazardous, or Unsafe Goods

  • The specific classification of such goods is not mentioned in the Act.
  • CCPA ensures adherence to standards set by regulators like the Food Safety and Standards Authority of India (FSSAI).

2.4. Actions against Non-compliant Goods or Services

Under Section 20 of The Consumer Protection Act, CCPA has the power to:
  1. Recall goods or withdraw services deemed dangerous, hazardous, or unsafe.
  2. Order refunds for purchasers of recalled goods or services.
  3. Discontinue unfair practices prejudicial to consumer interests.

2.5. Penalties for Adulterated Products

Penalties vary based on the harm caused:
  1. No consumer injury: Fine of up to Rs 1 lakh with imprisonment of up to six months.
  2. Injury caused: Fine of up to Rs 3 lakh with imprisonment of up to one year.
  3. Grievous hurt caused: Fine of up to Rs 5 lakh with imprisonment of up to 7 years.
  4. Death caused: Fine of Rs 10 lakh or more with a minimum imprisonment of 7 years, extendable to life imprisonment.

2.6. Addressing False or Misleading Advertisements

  • Section 21 of the Act empowers CCPA to take action against such advertisements.
  • CCPA can issue directions to discontinue or modify misleading ads.
  • Penalties for manufacturers or endorsers range from fines up to Rs 10 lakh and imprisonment of up to two years.
  • Subsequent offences can lead to higher penalties of up to Rs 50 lakh and imprisonment of up to five years.
  • CCPA may ban endorsers from making endorsements for up to one year, extending to three years for subsequent violations.

2.7. Additional Powers of the CCPA

  • Investigation Wing headed by a Director General.
  • Officers can conduct preliminary inquiries, enter premises, and seize relevant documents or articles.
  • CCPA can file complaints before Consumer Disputes Redressal Commissions.
  • Issuance of safety notices to alert consumers against dangerous or unsafe goods/services.

3. The Way Forward

  • The government's firm stance against 'dark patterns' highlights the significance of consumer protection.
  • Through the Central Consumer Protection Authority, violations of consumer rights, and unfair trade.
For Prelims: Central Consumer Protection Authority, consumer rights, unfair trade, consumer Disputes Redressal Commissions, The Consumer Protection Act, 2019, Consumer Protection Act of 1986, Ministry of Consumer Affairs, 
 
For Mains: 
1. Discuss the key provisions and objectives of The Consumer Protection Act, 2019, with a focus on the establishment of the Central Consumer Protection Authority (CCPA) and its role in safeguarding consumer rights. (250 Words)
 
 

Previous Year Questions

1. With reference to consumer's rights/privileges under the provisions of the law in India, which of the following statements is/are correct? (UPSC 2012)
1. Consumers are empowered to take samples for food testing.
2. When a consumer files a complaint in any consumer forum, no fee is required to be paid.
3. In case of the death of a consumer, his/her legal heir can file a complaint in the consumer forum on his/her behalf.
Select the correct answer using the codes given below:
A. 1 only          B.  2 and 3 only        C.  1 and 3 only         D. 1, 2 and 3
 
Answer: C
 
2. With reference to the Consumer Disputes Redressal at district level in India, which one of the following statements is not correct?  (UPSC 2010) 
A. A State Government can establish more than one District Forum in a district if it deems fit B. One of the members of the District Forum shall be a woman
C. The District Forum entertains the complaints where the value of goods or services does not exceed rupees fifty lakhs
D. A complaint in relation to any goods sold or any service provided may be filed with a District Forum by the State Government as a representative of the interests of the consumers in general

Answer: C

3. Provisions of the Consumer Protection Act, 2019 has come into force since ________. (SSC MTS 2021) 
A.  12 March 2020           B. 23 June 2020           C. 30 April 2020            D. 20 July 2020
 
Answer: D
 
 Source: The Indian Express

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