Laws hamper interest of the consumer

Well-known consumer activists, H.D Shourie, Manubhai Shah, R. Desikan and Mala Banerjee, the trade bodies FICCI, Assocham and CII, director general of BIS, and senior bureaucrats from the CAD and the Law Ministry, comprised the committee.

“Every one will benefit if the reforms are carried out and the Consumers Protection Act gets some teeth. Today, we strongly feel that effective consumer laws are beneficial for both the industry and the consumer,” the FICCI spokesperson said.

The committee has suggested that the Consumer Protection Act, 1986, must be amplified to include all related and incidental services and facilities connected with banking, financing, insurance, transport, etc. And that the realm of `housing’ service should be updated to include time-sharing resorts as well.

“This will amplify the scope of `service’ under the Act. Take the insurance sector for instance, the industry faces the same problems as the individual insurer. So all insurance litigations should come under the consumer courts,” said the FICCI spokesperson.

To improve the dismal conditions of the consumer courts, the committee asked the State Governments to prescribe the salary allowances and honorarium of the District Forums members. “This would mean greater autonomy for the consumer courts which are hamstrung without budgetary support,” said consumer activist J.N. Jogi.

For speedier disposal of cases, the consumer courts have been asked to send notices to the opposite party within 21 days of the receipt of the complaint.

The State Commission has been asked to set up circuit-court camps at regular intervals in different regions of the states. This would ensure speedy redressal of the complaint in rural areas.

“The complainants from rural areas face enormous problems turning up at far-off District Forums hearings. Now the courts would have the option to travel to the consumer than the other way round,” the FICCI spokesperson said.

But the trade bodies demand that the manufacturers be allowed to get their lawyers to represent them in consumer courts was shot down by the Law Ministry.