CENTRAL
CONSUMER PROTECTION AUTHORITY – POLITY
News: Consumer body issues notices to IAS
coaching centres for ‘misleading’ ads
What's
in the news?
●
The Central Consumer Protection Authority
(CCPA), the country’s top consumer watchdog, has sent notices to 20 IAS
coaching institutes across the country for issuing “misleading” advertisements.
Central
Consumer Protection Authority (CCPA):
Composition:
●
It will have a Chief Commissioner as head and only two other commissioners as members
— one of whom will deal with matters relating to goods while the other will
look into cases relating to services.
●
The CCPA will have an Investigation Wing that will be headed by a Director General.
●
District
Collectors too, will have the power to investigate complaints of
violations of consumer rights, unfair trade practices and false or misleading
advertisements.
Powers
and Functions:
●
Inquire
or investigate into matters relating to violations of
consumer rights or unfair trade practices suo moto or on a complaint received
or on a direction from the central government.
●
Recall
goods or withdrawal of services that are dangerous,
hazardous or unsafe.
●
Pass
an order for refund the prices of goods or services so
recalled to purchasers of such goods or services; discontinuation of practices
which are unfair and prejudicial to consumer’s interest”.
●
Impose
a penalty up to Rs 10 lakh, with imprisonment up to two years,
on the manufacturer or endorser of false and misleading advertisements. The
penalty may go up to Rs 50 lakh, with imprisonment up to five years, for every
subsequent offence committed by the same manufacturer or endorser.
●
Ban
the endorser of a false or misleading advertisement
from making endorsement of any products or services in the future, for a period
that may extend to one year. The ban may extend up to three years in every
subsequent violation of the Act.
●
File
complaints of violation of consumer rights or unfair trade
practices before the District Consumer Disputes Redressal Commission, State
Consumer Disputes Redressal Commission and the National Consumer Disputes
Redressal Commission