Context: The Central Consumer Protection Authority (CCPA) has imposed penalties on two food companies for allegedly using misleading “100%” claims on product packaging. The action reinforces the Authority’s role in curbing deceptive advertisements and protecting consumer rights under the Consumer Protection Act, 201
Explanation:
- The Central Consumer Protection Authority (CCPA) is a statutory body established under the Consumer Protection Act, 2019 to protect, promote and enforce consumer rights.
- It functions under the Department of Consumer Affairs, Ministry of Consumer Affairs, Food and Public Distribution.
- The CCPA is headed by a Chief Commissioner and supported by Commissioners.
- It can inquire into violations, conduct investigations (through the Director General), order recall of unsafe goods, withdrawal of unsafe services, refund of prices, and discontinue unfair trade practices.
- The Authority has the power to regulate misleading advertisements, impose penalties on manufacturers, advertisers and endorsers, and prohibit endorsers from promoting products for repeated violations.
- Misleading advertisement refers to any advertisement that falsely describes a product, gives false guarantees, conceals important information or is likely to mislead consumers.
- The CCPA complements the Consumer Commissions (District, State and National), which mainly adjudicate consumer disputes, whereas the CCPA focuses on market regulation and enforcement.
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