Consumer protection: Union goverment sanctions Rs. 1 crore for mediation centre

January 13, 2015 12:00 am | Updated 05:51 am IST - MANGALURU:

Bengaluru-based National Law School of India University will set up a centre for mediation for the protection of consumers with an assistance of Rs. 1 crore from the Union government.

Ashok R. Patil, Chair Professor, Chair on Consumer Law and Practice at the university, told The Hindu, on the sidelines of a workshop at SDM College here on Monday, that a standing committee of the Ministry of Consumers Affairs had sanctioned the amount for establishing the online centre.

He added that the amount may be received within one or two months and the centre would take shape six months after that. A proposal has been submitted. Under the proposed amendments to the Consumer Protection Act, there was a chapter providing for setting up mediation centres in all districts, States and at the national level to handle consumer litigations. Stating that the amendments recognised online complaints and online payment of court fees, there was a need to establish an online consumer redressal centre.

“The infrastructure and the technical aspects have to be set up and we are working on that,” he added. He said that the centre would deal mainly with unfair trade practices where people are exploited by manufacturers or service providers. The cases which the district consumer redressal forums cannot handle will be referred to the centre.

Alleged large-scale violations by online retail trading companies would also be looked into by the mediation centre. However there was no bar on taking the cases of individuals. He said the bill on amendments to the Act was sure to be tabled in the next session of Parliament. “We recently sat with the Minister and others and we have come out with very good amendments,” he said.

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