Lok Sabha Question No. 1543 (UNSTARRED), answered on 2024-07-31
Subject: Legislation for Banning of Fraudulent Practices
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Shri N K Premachandran

## Government of India

## Ministry of Consumer Affairs, Food and Public Distribution Department of Consumer Affairs

## LOK SABHA UNSTARRED QUESTION NO. 1543

TO BE ANSWERED ON 31.07.2024

## LEGISLATION FOR BANNING OF FRAUDULENT PRACTICES

## 1543.   SHRI N K PREMACHANDRAN:

## Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION miHkksDrk ekeys] [kk| vkSj lkoZtfud forj.k ea=h be pleased to state:

- (a) whether the Government proposes to bring a legislation for banning the fraudulent practices to cheat the consumers and if so, the details of action taken thereon;
- (b) whether  the  Government  proposes  to  establish  a  system  for  educating  the  consumers  regarding  their rights and responsibilities and if so, the details of action taken thereon;
- (c) whether  the  Government  proposes  to  promote  a  system  for  formulating  consumer  organization  to organize together to develop the strength and influence to promote and protect the interest of consumers and if so, the details of action taken thereon;
- (d) whether the Government proposes to adopt procedure for redressing grievances of the consumer in easy and quick way and if so, the details thereof;
- (e) whether  the  Government  proposes  to  make  legislation  to  ensure  that  the  minimum  qualification  of Members of the Consumer Commission is Law Graduation; and
- (f) if so, the details of action taken thereon?

## ANSWER

## miHkksDrk ekeys] [kk| vkSj lkoZtfud forj.k jkT; ea=h (श्री बी.एल. वर्मा )

## THE MINISTER OF STATE CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION (SHRI B.L.VERMA)

(a) :  Department of Consumer Affairs is continuously working for consumer protection and empowerment of consumers by enactment of progressive legislations. With a view to modernize the framework governing the consumer  protection  in  the  new  era  of  globalization,  technologies,  e-commerce  markets  etc  Consumer Protection Act, 1986 was repealed and Consumer Protection Act, 2019 was enacted.

The  Consumer  Protection  Act,  2019  provides  for  redressal  of  the  grievances  of  consumer  through specialized three-tier quasi-judicial agencies, now commonly known as 'National Consumer Disputes Redressal Commission (NCDRC)' at National level, 'State Consumer Disputes Redressal Commission (SCDRC)' at State level,  and 'District Consumer Disputes Redressal Commission(DCDRC)' at District level.

The  Act  also  provides  for,  inter-alia,  simplification  of  the  adjudication  process  in  the  Consumer Commissions; filing of a complaint by a consumer in the Consumer Commission having jurisdiction over the complainant's place of residence/work or where the cause of action arises, or the place of business or residence of the opposite parties, virtual hearing, deemed admissibility of complaints if admissibility is not decided within 21 days of filing; provision of product liability etc.

(b)  :  The  Department  is  implementing  an  exclusive  scheme  namely  'Consumer  Awareness'  to  generate consumer awareness and empower the consumers under the aegis of 'Jago Grahak Jago' campaign through various  media  including  electronic,  outdoor  and  social  media.  The  Department  in  2022-23  has  launched 'Jagriti',  a  mascot  for  empowering  consumers  and  generating  awareness  of  their  rights.  The  Department participates in prominent  fairs/festivals/events  where  a  large  number  of  people  may  congregate.  The Department also provides grant-in-aid to various States/UTs for generating awareness at local level.

(c)  : Financial assistance from Consumer Welfare Fund is provided to Central/State Governments/Government Bodies, National Law Universities to promote, protect and advocate the welfare and interests  of  the  consumers in  India to  create  consumer awareness and strengthen consumer movement in the country.

(d) : The Department of Consumer Affairs has revamped the National Consumer Helpline (NCH) which has emerged as a single point of access to consumers across the country for grievance redressal at pre-litigation stage. It is available to all consumers of the country wherein consumers can register their grievances from all over the country in 17 languages (i.e. Hindi, English, Kashmiri, Punjabi, Nepali, Gujarati, Marathi, Kannada, Telugu, Tamil, Malayalam, Maithali, Santhali, Bengali, Odia, Assamese, Manipuri) through a toll-free number 1915. These grievances can be registered on Integrated Grievance Redressal Mechanism (INGRAM), an omnichannel IT enabled central portal, viz. WhatsApp, SMS, mail, NCH app, web portal, Umang app as per their convenience.

Transformative  changes  and  technological  upgradation  of  the  NCH  has  led  to  increase  in  the  call handling capacity of National Consumer Helpline. Number of calls received at NCH has increased during the last  few  years.  These  initiatives  taken  by  the  Department  have  also  encouraged  consumers  to  register  their grievances on the NCH manifested with an increase in the number of grievances registered at NCH.

(e) & (f)  : The eligibility criteria for the appointment of Presidents and Members to the National Consumer Disputes Redressal Commission are regulated by the Tribunal (Conditions of Service) Rules, 2021. The criteria for appointing Presidents and Members to the State and District Consumer Disputes Redressal Commissions are regulated by the Consumer Protection (Qualification for Appointment, Method of Recruitment, Procedure of Appointment,  Term  of  Office,  Resignation,  and  Removal  of  the  President  and  Members  of  the  State Commission and District Commission) Rules, 2020.

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