Central Consumer Protection Authority

Central Consumer Protection Authority (CCPA) Latest News

The Central Consumer Protection Authority (CCPA) has taken suo moto cognizance against five Delhi restaurants for non-refund of mandatory service charges despite the Delhi High Court’s judgment.

Significance of Action

• The move is aimed at protecting consumer rights and preventing undue pressure on consumers to pay additional charges during service availing.
• As per law, no hotel or restaurant can force consumers to pay a service charge, nor can a service charge be collected under any alternative name.

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About Central Consumer Protection Authority (CCPA)

• The CCPA was established under Section 10 of the Consumer Protection Act, 2019.
• The Consumer Protection Act, 2019, which replaced the 1986 Act, was notified on August 9, 2019, and came into force on July 20, 2020.
• Nodal Ministry: Ministry of Consumer Affairs, Food & Public Distribution.

Functions and Powers of CCPA

• The CCPA protects, promotes, and enforces the rights of consumers as a class under the Act.
• It prevents unfair trade practices and curbs false or misleading advertisements.
• The CCPA ensures that no one publishes or disseminates false or misleading advertisements.
• The CCPA can initiate class-action suits, including recalls, refunds, and cancellation of licenses, when necessary.
• The CCPA can conduct inquiries and investigations through its Investigation Wing, headed by a Director-General.
• It can order the discontinuation of unfair practices, impose penalties on errant businesses, and enforce consumer welfare measures.
• Composition of CCPA: A Chief Commissioner heads the CCPA and has two other commissioners:
  • One commissioner deals with goods-related issues.
  • The other commissioner handles service-related complaints.

Central Consumer Protection Authority (CCPA) FAQs

Q1. What is the Central Consumer Protection Authority (CCPA)?
Ans. The CCPA is a statutory body established under the Consumer Protection Act, 2019, to protect consumer rights, prevent unfair trade practices, and ensure consumer awareness.

Q2. Under which Ministry does the CCPA function?
Ans. The CCPA functions under the Ministry of Consumer Affairs, Food and Public Distribution.

Q3. Where is the headquarters of CCPA located?
Ans. The headquarters of the CCPA is located in New Delhi.

Source: PIB