Q.Describe the powers and functions of the Central Consumer Protection Authority (CCPA).
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Start your 14-day free trial to unlock the full solution →The Central Consumer Protection Authority (CCPA), created by the Consumer Protection Act, 2019, is a dedicated regulatory body with the mandate to protect, promote, and enforce consumer rights as a class — a role no institution under the 1986 Act was designed to fill, since the older redressal forums could only respond to individual complaints, one at a time.
The CCPA is headed by a Chief Commissioner, with an Investigation Wing led by a Director-General, and it functions through both a head office and regional offices, allowing nationwide reach.
Its functions and powers can be grouped as follows. It can inquire into or investigate violations of consumer rights or unfair trade practices, and it may do so suo motu (on its own initiative), on the basis of a complaint received, or on a reference made by the Central or a State Government — this suo motu power is the CCPA's most distinctive feature, letting it act even where no single consumer has personally come forward. Where it finds a genuine violation, it can order the recall of goods, or the withdrawal of services, that are dangerous, hazardous, or unsafe; direct a refund of the price paid by affected consumers; and direct the discontinuation of the unfair trade practice or the false or misleading advertisement in question.
The CCPA has particular authority over misleading advertisements: it can impose a penalty on both the manufacturer and the endorser of a false or misleading advertisement, and it can prohibit an endorser from making any further endorsement of that product or service for a period — up to one year for a first contravention, and up to three years for a repeat one. This closes a real gap the 1986 Act left open around celebrity and influencer endorsements of exaggerated product claims. …
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