Celebrities will be accountable for misleading ads

Parliamentary Standing Committee today recommended that celebrities should accountable for misleading ads, severe provisions including jail term up to 5-Years and penalty of up to INR 50 lakh, this is to protect consumer interest. In the report on the Consumer Protection Bill, 2015 tabled in Parliament today, the panel has suggested ASCI advertising watchdog to control misleading ads besides proposing severe penalties, jail and cancellation of license of those involved in food adulteration. The committee headed JC Divakar Reddy Telugu Desam Party (TDP) lawmaker. The government has introduced the Consumer Protection Bill, 2015 in Lok Sabha in August-15 to  revoke the 30-year old Consumer Protection Act.  The Committee recommended severe provisions to be made in the bill to tackle misleading advertisement and to fix liability on celebrities/endorsers it said.

The committee recommends that for first time the offender may be penalised with either a fine of INR 10 lakh or imprisonment up to two years, or may be both. For second time offence a fine of INR 50 lakh and imprisonment of five years. And for subsequent offences, the penalties may be increased proportionately based on the value of sales volumes of such products or services, the report said.