Central Consumer Protection Authority (CCPA)

Why in News?

Recently, the Central Consumer Protection Authority (CCPA) has issued 45 notices to various coaching centres and imposed a penalty of Rs 61, 60,000 on 19 coaching institutes for misleading advertisements.

• It is a statutory authority.
• Established in – 2019 under Section 10 of the Consumer Protection Act, 2019 and came into force in 2020.
• Aim – To regulate matters relating to violation of rights of consumers, unfair trade practices and false or misleading advertisements which are prejudicial to the interests of consumers as class and public at large.
• Nodal Ministry – Ministry of Consumer Affairs, Food & Public Distribution.
• Functions – Protect, promote and enforce the rights of consumers as a class, and prevent violation of consumers’ rights under this Act.
• Prevent unfair trade practices and ensure that no person engages himself in unfair trade practices
• Ensure that no false or misleading advertisement is made of any goods or services which agree with the provisions of this Act or the rules and regulations made.
• Ensure that no person takes part in the publication of any false or misleading advertisement.
• Powers – Conduct investigations into violations of consumer rights.
• Issue directions to recall, refund and discontinuation of practices in matters of violation of rights and unfair trade practices.
• Discontinue & modify the false and misleading advertisement or may impose penalties.
• Mechanisms
  • Individual consumer complaints are to be registered through the National Consumer Helpline only.
  • Register consumer grievances in Consumer Commissions through e-Dhakil.

National Consumer Helpline (NCH) is a single access point for grievance redressal of consumers that is available in 17 languages through a toll-free number (1915). The grievances are registered on the Integrated Grievance Redressal Mechanism (INGRAM), an omnichannel IT-enabled central portal or through various channels.

• Penalty for coaching institutes – CCPA has issued “Guidelines for Prevention of Misleading Advertisement in Coaching Sector, 2024”.
• It facilitates a total refund of Rs.1.15 crores to affected students.

References

1. PIB| CCPA issues notices to Coaching Institutes
2. DOCA| Central Consumer Protection Authority