Jago Grahak Jago

Jago Grahak Jago

Consumer watchdog CCPA cautions celebrities, influencers against promotion of gambling

The Central Consumer Protection Authority (CCPA) on Wednesday issued an advisory asking and to not promote and gambling. The consumer protection watchdog also warned celebrities, influencers and other similar stakeholders that it will take stringent action against endorsements of illegal activities including betting and gambling. “The advisory underscores the Ministry of Information and Broadcasting’s efforts in issuing various advisories to media platforms, cautioning them against publicising betting and gambling platforms. Online advertisement intermediaries have also been warned against targeting such advertisements toward the Indian audience,” the CCPA said in a statement. “If any violation of the guidelines is found, stringent measures, as per the Consumer Protection Act, 2019, will be initiated against (those) involved, including manufacturers, advertisers, publishers, intermediaries, social media platforms, endorsers, and any other relevant stakeholders,” it added. In August last year, the information and broadcasting ministry had issued guidelines against advertisement of online gambling, just ahead of the Asia Cup cricket tournament. In May, the government asked states to take action against online betting and gambling platforms using outdoor media, such as hoardings and posters. Online gaming companies, through their industry lobby groups, had made representations to the government seeking its intervention in stopping endorsement of illegal activities like betting and gambling. “Despite this (earlier advisories), online gambling sites and apps persist in advertising gambling directly, as well as under the guise of gaming … (the advisory) will also help in distinguishing legitimate Indian online skill gaming operators, which provide the highest player protection measures and are a form of entertainment against these illegal gambling sites which are the main reason for widespread consumer harm and problems,” said Roland Landers, chief executive of the All India Gaming Federation, which counts a number of real money gaming firms among its membership. In April last year, ET reported that online betting and gambling portals had continued to aggressively advertise on social media platforms despite India’s gaming regulations prohibiting betting and wagering of any kind. “If you see a popular cricketer or an actor endorsing an app that offers betting…it might be considered as an acceptable practice. These apps also marketed themselves on social media as ‘no TDS, no GST’ apps, which is illegal. The gaming industry had raised these concerns with the government,” a senior executive at an e-gaming firm told ET. Mar 06,2024 Source: Economic Times

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Need to curb surrogate ads across industries to protect consumer rights: Govt

NEW DELHI: Consumer Affairs Secretary Rohit Kumar Singh on Thursday stressed on the need to curb the proliferation of surrogate advertisements across industries as it undermines consumer rights. The Department of Consumer Affairs in collaboration with the Advertising Standards Council of India conducted a stakeholder consultation meeting on “Brand Extension vs. Surrogate Advertisements – Where’s the Line?” in Mumbai on Thursday. The objective of this consultation was to collectively address the intricate issues surrounding surrogate advertising, brand extensions, and trademark restrictions, with the overarching goal of safeguarding public health and consumer rights, an official statement said. The consultation engaged key stakeholders, from government bodies, including the Central Board of Film Certification (CBFC), Ministry of Information and Broadcasting (MIB) and Trademark Authority, who shared their views on how to regulate such surrogate advertisements. According to the statement, Singh said surrogate advertisements that promote products in restricted categories undermine consumer rights and can have serious implications. There is a pressing need to restrict the proliferation of surrogate ads across industries, he added. If respective prohibited industries fail to adhere to this guideline and comply with existing laws, more stringent actions will be implemented, Singh warned. The Department of Consumer Affairs reaffirmed its stance with utmost clarity that any continued involvement in surrogate advertising will not be condoned. It was underscored that stringent measures will be implemented to address any instances of non-compliance, with a firm commitment to take decisive actions against those found in violation. The consultation underscored that there should be a clear distinction between the brand extension and the restricted product or service being advertised; the story or visual of the advertisement must depict only the product being advertised and not the prohibited product in any form. The ad must not make any direct or indirect reference to prohibited products; the ad must not contain any nuances or phrases promoting prohibited products; the ad must not use colour, layout, or presentations associated with the prohibited products; and the ad must not use situations typical for promotion of prohibited products when advertising the other products. Feb 22,2024 Source: ptinews

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Rx prevent more than cure advertising

Misleading med advertising needs prevention more than cure. The matter is compounded when alt streams of medicine are subject to differential treatment over claims of efficacy. Allopathy and Ayurveda derive from the same scientific temper, but have evolved very differently. The former has become vastly more popular than the latter as it has been subject far more intensely to scientific scrutiny. Yet, allopathy does not have a complete understanding of the human body, and it derives some of its curative breakthroughs from trad remedies where the emphasis has been on prevention through empiricism. Modern and ancient medicine can coexist, but can’t commingle. This makes claims of superiority unacceptable. Supreme Court asked GoI to set right the asymmetry over medical claims. Prescribed allopathic drugs are barred from being advertised to patients, and some restrictions on how their effectiveness is communicated to doctors. Ayurveda has to rely on advertising and consumer protection rules for deterrence – which does not serve the purpose, both rules providing ex post checks. Trad med finds itself on a par with over-the-counter drugs that have been found to be safe without physician supervision. A harmonised approach incorporates regulating the active pharma ingredient rather than the final product. This will reduce the scope for misselling, but not eliminate it. Regulatory curbs on claims in trad med will have to measure up against those imposed for more detailed research. GoI will have to act on the court’s prodding to curb the growing menace of misleading advertising of Ayurveda products if it is serious about developing this medical stream. Improved oversight over claims is the better alternative to a judicial ban. Feb 29,2024 Source: Economic Times

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Ration card is for PDS, not address proof: Delhi HC

New Delhi, A ration card is issued exclusively for obtaining essential commodities under the public distribution system and it cannot be considered a proof of address or residence, the Delhi High Court has said. Justice Chandra Dhari Singh, while dealing with petitions by erstwhile residents of Kathputli Colony seeking an alternative accommodation under the rehabilitation scheme following the re-development of the area, held that the requirement of a ration card as a mandatory document to claim benefit under the scheme was arbitrary and illegal. “As per the definition of the Ration Card, the intent of issuing the same is that it aims to distribute the essential food items by way of the fair price shops. Therefore, it does not amount to becoming an identity proof of residence for any Ration Card holder,” said the court in a recent order. “There is no mechanism set up by the authority issuing Ration Cards to ensure that the holder of the ration card is staying at the address mentioned in the ration card. “The aim of the ration card is to ensure that the citizens of this country are provided foodgrains at a reasonable price. Hence, it is not a reliable source of proof of address since the scope is limited to distribution of food items by way of the Public Distribution System,” the court observed. The petitioners contended that authorities breached their trust and played fraud on Kathputli Colony slum dwellers by suddenly changing the eligibility criteria in 2015 after the demolition of the entire colony as they wrongly mandated the requirement of a separate ration card for the first-floor dwellers of jhuggi. The court noted that a gazette notification issued by the Ministry of Consumer Affairs, Food and Public Distribution in 2015 itself disallows the use of a ration card as a document of identity or proof of residence, and in Delhi, fresh ration cards were not being issued on account of it having exhausted its state-wise ceiling of number of eligible households as per the 2011 census. Remarking that authorities should have “introspected” into the intent and motive behind the issuance of ration cards as well as the harassment and pain caused to the petitioners, the court stated, “The requirement of a Ration Card as a mandatory document to be produced before the respondent as a proof to claim that first floor of the jhuggi is a separate dwelling unit is arbitrary and illegal”. “The respondent should have exercised due caution and care before adhering to such a requirement. It should take a fair and realistic view of the circumstances before it.. the actions of the respondent are in clear violation of the petitioners’ right to shelter as enshrined under Article 21 of the Constitution of India,” stated the court. The court directed authorities to allocate an alternative dwelling unit in favour of the petitioners, subject to the condition that they produce other relevant documents as per the Delhi Slum & JJ Rehabilitation and Relocation Policy, 2015 and meet necessary requirements. “This court is also of the view that the petitioners’ right to housing shall be kept at the highest pedestal. It is one of the safeguards provided in our Constitution and the legacy has been carried forward by the writ Court by way of various judicial precedents which reiterate the same,” the court asserted. Mar 07,2024 Source: Economic Times

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Consumer affairs department directs companies to join govt’s ‘Right to Repair’ initiative

NEW DELHI: Consumer affairs department on Friday directed companies in automobile, consumer durables, mobile and electronics, and farming equipment to join govt’s “Right to Repair” initiative. It also instructed water purifiers companies to share the life of candles and other consumables based on geographical areas and water alkalinity so that consumers know their status rather than completely relying on the company representatives for replacing them. The department has launched the Right to Repair Portal India that provides consumers to avail repair associated information for their products and reduce e-waste. At a meeting with industry players, consumer affairs secretary Rohit Kumar Singh directed companies to get onboard the platform. “During the meeting it was highlighted that a product that cannot be repaired or falls under planned obsolescence i.e. designed to have an artificially limited life, not only becomes e-waste but also forces the consumers to buy new products for want of any repair to reuse it. Hence, the idea is to ensure that when a consumer buys a product, she/ he has full ownership of the product and in case of repair, the consumers are not deceived in absence of relevant information,” the department said. Officials said on the basis of grievances registered at National Consumer Helpline, govt observed that repairs are getting severely restricted because not only are there considerable delay in repairs but at times these are priced exorbitantly high and the consumer who has once bought the product is hardly given any choice. “Prominent company of water purifiers wherein large number of complaints were witnessed and were directed to furnish the average life span of their candles and other consumables based on specific geographies and water alkalinity. In the interest of consumers it was emphasised that in sectors wherein availability of spare parts, genuine reparability, exaggerated conditions of warranty is not addressed clearly, it also affects the consumers right to be informed,” the department said. Mar 08,2024 Source: TOI

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UCO Bank IMPS scam: CBI raids 67 locations in Rajasthan, Maharashtra

The Central Bureau of Investigation (CBI) has conducted raids across 67 locations in Rajasthan and Maharashtra in connection with the suspicious IMPS transactions worth Rs 820 crore reported at UCO Bank. On March 6, the CBI raided ‘extensive search operations’ in Rajasthan (including Jodhpur, Jaipur, Jalore, Nagaur, Barmer, Phalodi) and Pune (Maharashtra). “During these operations, approximately 130 incriminating documents related to UCO Bank and IDFC, as well as 43 digital devices (including 40 mobile phones, 2 hard disks, and 1 internet dongle) were seized for forensic analysis,” the CBI said in a press release. Further, it examined 30 suspects on the spot. The CBI had previously raided 13 locations in the case. The case was registered in late November 2023, on a complaint from UCO Bank. It has been alleged that between November 10 and 11, IMPS inward transactions from around 14,600 account holders of seven private banks were wrongfully posted in the accounts of over 41,000 UCO Bank account holders. As a result, Rs 820 crore was credited to UCO Bank accounts without the money actually being debited from their originating banks. “Numerous account holders have exploited this situation, making wrongful gains by withdrawing funds through various banking channels,” CBI said. Earlier in December 2023, searches were conducted at 13 locations involving private individuals and UCO Bank officials in Kolkata and Mangaluru. Mar 07,2024 Source: Economic Times

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Indian Railways Directed To Pay ₹30,000 To Passenger Who Suffered Emotional, Physical Distress Due To ‘Dirty Toilet’ In Train

The passenger complained that the toilet of the train was not clean and there was no water inside. The Indian Railways was directed by the Delhi District Consumer Commission to pay the said amount to the passenger. The Indian Railways has been ordered to pay Rs 30,000 to a passenger who suffered emotional and physical distress as due to poor sanitary conditions in the train. The passenger complained that the toilet of the train was not clean and there was no water inside. The Indian Railways was directed by the Delhi District Consumer Commission to pay the said amount to the passenger. As per reports in TOI, the District Consumer Commission observed that the Indian Railways was not able to provide basic amenities to the passenger. The basic necessities of the passengers must be fulfilled by the Indian Railways under the ‘Citizen’s Charter’. the Citizen’s Charter is a document of commitments which is made by government organisations to the citizens. The Delhi Commission also observed that this has resulted in a lack in services provided to the consumers. The advocate of the complainant argued that the passengers of the Indian Railways pay full price for their ticket for the journey in the train, and still they are barred from basic amenities such as water and clean toilets in the trains. The consumers suffer due to the lack of these facilities in their long journey in the train. As per reports, the complainant said that on September 3, 2021, he was travelling from New Delhi Railway Station to Indore on a 3AC ticket. He also said that he bought the 3AC ticket which is more expensive than that of a sleeper coach for comfortable and hassle-free travel. However, when he woke in the morning and felt the need to go to the toilet, he noticed that there was no water and the toilet of the train was dirty. He also claimed that there was not enough water to also wash hands. The passenger also claimed that the wash basin was also choked up with dirt and filth. The passenger then lodged a complaint with the Indian Railways on its online portal “Rail Madad” and also shared the incident on ‘X’, formerly Twitter, account of union Railway Minister and Railway Sewa. Even after two hours of registering the complaint, no action was taken in the context. The train reached Indore station and the passenger was not able to go to the toilet which caused him emotional and physical distress due to which he had to suffer from a severe headache which led him to take an off from work. The railways kept denying that these services are not covered under the Citizen’s Charter. However, the Consumer Commission asked the Indian Railways to pay a compensation of Rs 30,000 and also Rs 10,000 for litigation charges. Jan 21,2024 Source: Free Press Journal

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CPI retail inflation for January 2024 comes in at 3-month low of 5.10%

India’s retail inflation eased to a three month low of 5.10% in January 2024, showed data from the Ministry of Statistics and Programme Implementation. According to the government data, the Consumer Price Index (CPI) inflation rural stood at 5.34% and the CPI urban was at 4.92%. The combined CPI inflation for January 2024 stood at 5.10%. The final CPI data for December 2023 came in at 5.69%. In January, food inflation, comprising nearly half of the overall consumer price basket, stood at 8.30%, down from 9.53% in December. Economist Vivek Kumar from Quanteco Research noted that with favorable seasonal support from food, disinflation in fuel, and subdued core inflation drivers, headline CPI inflation moderated to a 3-month low in Jan-24. The trajectory of moderation could persist if food price pressures remain contained in the near term. However, climate risks and potential adverse spillover from escalation in merchandise trade costs post the Red Sea disturbance may introduce volatility in food prices,” he told Reuters. Meanwhile, the Reserve Bank of India, maintaining its repo rate at 6.50% for the sixth consecutive meeting on February 8, underscored “large and repetitive food price shocks” as a significant risk to the ongoing disinflation trend. “Headline inflation, after moderating to 4.9 per cent in October, rose to 5.7 per cent in December 2023. This was primarily due to food inflation, mostly vegetables. The softening in core inflation (CPI inflation excluding food and fuel) continued across both goods and services, reflecting the cumulative impact of monetary policy actions as well as significant softening in commodity prices. The uncertainties in food prices, however, continue to impinge on the headline inflation trajectory,” “The MPC will carefully monitor any signs of generalisation of food price pressures which can fritter away the gains in easing of core inflation. Monetary policy must continue to be actively disinflationary to align inflation to the target of 4 per cent on a durable basis. The MPC will remain resolute in this commitment,” he added. Economists surveyed by Reuters anticipated that India’s retail inflation eased to a three-month low of 5.09% in January. A separate Reuters poll indicated that inflation would average 5.4% this fiscal year and 4.7% in the next, aligning closely with the RBI’s forecasts of 5.4% and 4.5%. However, the RBI is expected to maintain its key policy rate unchanged until at least end-June before considering a 25 basis points cut in each of the third and fourth quarters, a relatively modest move compared with expectations for other global central banks’ easing cycles. Feb 12,2024 Source: Times Of India

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UP panel issues arrest warrant as power department ‘ignores’ RTI query on connection dated 1911

The arrest warrant was issued recently against Superintending Engineer Anil Verma, Executive Engineer R K Gautam, Sub Divisional Officer Sarvesh Yadav and Sub Divisional Officer Ravi Anand. State Information Commissioner Ajaya Kumar Uprety said the warrant was issued under section 18 (3) of the Right to Information Act and powers given in the CPC (Civil Procedure Code) 1908. “This is the first time the UP state information commission has initiated such a strong penal action against erring officials ever since the RTI Act came into existence in 2005,” State Information Commissioner Ajaya Kumar Uprety told PTI. Uprety has asked Kashi zone Deputy Commissioner of Police Pramod Kumar to produce these officials before the Commission on February 20 when this case will be heard in Lucknow. He also asked him to apprise the Commission how this warrant is being executed. The matter pertains to an electricity connection dated January 1, 1911 in the Kazakpura area of Varanasi against consumer Uma Shankar Yadav. The electricity department has raised a bill of Rs 2.24 lakh against this connection. When Yadav disputed the bill and refused to pay it, the department issued an RC (recovery challan) against him. Yadav approached department officials to correct the bill, but his pleas fell on deaf ears. Disappointed, Yadav took the recourse of the RTI. “While hearing the case, the commission had asked the officials following questions — Whether in 1911 the electricity was being given to consumers in Varanasi? How the bill was calculated and what was the cost per unit? Which was the company that was transmitting power to the consumers then? Was UPPCL (Uttar Pradesh Power Corporation Limited) in existence then?” a source said. The electricity department officials failed to answer these questions despite repeated summonses, prompting the Commission to issue an arrest warrant against them. The warrant addressed to DCP Pramod Kumar said that Superintending Engineer Anil Verma, Executive Engineer R K Gautam, SDO (Upkendra Chauk, Macchodari Varanasi) Sarvesh Yadav and SDO (Lohta) Ravi Anand have been summoned to the Uttar Pradesh State Information Commission to answer the questions “pertaining to an electricity connection dated 1911”. “But these officials have failed to turn up on the dates of hearing. Neither have they given any reply to the Commission about their non-appearance. Prima facie, it appears that these officials have been deliberately ignoring/disobeying the orders of the Commission,” the warrant said. Hence, exercising its power under section 18(3) of the Right to Information Act, 2005 and CPC 1908, the Commission “orders you to arrest and produce these officials before the Commission” without fail, the warrant said. Feb 11,2024 Source: Deccanherald

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Consumer court orders BDA to refund flat owner’s ‘free’ maintenance charges

In 2017, the Bangalore Development Authority (BDA) had put up for sale flats in Malagala 2nd Stage, Nagarabhavi 8th Block, but few people took up the offer, as reported by DH in February that year.  To attract buyers, BDA officials introduced a slew of offers, one of which was exempting flat buyers from paying maintenance fees for two years, from July 25, 2018, to July 24, 2020.  S Ramachandra was one such buyer, who saw that report in the papers and decided to encash in on the opportunity. He was allocated a flat by the BDA at the Brahmagiri apartments — part of the second phase of the Malagala Housing Project — on September 11, 2018.  A year later, he confirmed the validity of BDA’s free maintenance charge offer from the authority itself via an RTI response dated September 26, 2019.  However, Ramachandra and other apartment owners were demanded electrical maintenance charges by the apartment owner welfare association, which prompted him to begin paying both Bescom and the BWSSB directly via cheques.  Finding this to be in conflict with the BDA’s admission of free maintenance, he filed a consumer complaint against BDA, the construction firm Ramalingam Construction Company Pvt Ltd, and the Brahmagiri Owner Welfare Association.  BDA representatives contended that Ramachandra had misinterpreted the maintenance costs and clarified that the BDA notification excluded BWSSB and Bescom deposits, the payments of which must be borne by the flat residents themselves. As evidence, Ramachandra presented both the newspaper article and the BDA’s RTI response acknowledging the legitimacy of the article’s claims of a two-year maintenance-free offer to flat buyers. He also presented the BDA’s letter dated June 11, 2019, which directed all flat allottees who registered their flats that year to bear maintenance charges, to justify his claims for just entitlement since he was allocated a flat much earlier.  The court found Ramachandra’s plea for a refund justified and ordered all three parties to jointly pay the total of maintenance charges paid, amounting to Rs 21,904, to the complainant at an interest rate of 9 per cent. The parties must also pay Rs 10,000 as compensation and litigation costs.  Dec 26,2023 Source: Deccanherald

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