Source: TOI
Context: The Central Consumer Protection Authority (CCPA) has imposed a penalty of ₹10 lakh on Rapido for misleading advertisements promising “Auto in 5 min or get ₹50”. It also directed Rapido to compensate affected consumers and discontinue deceptive claims.
About Central Consumer Protection Authority (CCPA)
What it is
- A statutory regulatory body established under the Consumer Protection Act, 2019.
- Functions as the apex authority for safeguarding consumer rights and curbing unfair trade practices.
Established in
- Formed in July 2020, under Section 10 of the Consumer Protection Act, 2019.
Chaired by
- Headed by the Chief Commissioner, assisted by two Commissioners (one for goods, one for services).
- Chief Commissioner – overall leadership and decision-making.
- Two Commissioners – focus areas: goods and services.
- Investigation Wing – headed by a Director-General, responsible for inquiries and evidence collection.
- Regional & District Networks – linked with consumer helplines and grievance redressal systems.
- Protect and enforce consumer rights against misleading ads and unfair practices.
- Conduct investigations into violations through its Investigation Wing.
- Pass orders for withdrawal/discontinuation of misleading advertisements.
- Impose penalties on companies and celebrities endorsing false claims.
- Initiate class action suits in cases of large-scale consumer harm.
- Coordinate with National Consumer Helpline (1915) for grievance redressal.
- Promote consumer awareness through campaigns and advisories.
Legal Authority
- Empowered under Sections 10, 20, and 21 of the Consumer Protection Act, 2019.
- Can impose fines, order discontinuation of ads, and recommend prosecution where necessary.
