All Policies And Guidelines For Misleading Advertisements & Endorsements Be Made Available On Official Website: Allahabad HC Directs Centre

The Allahabad High Court has recently directed the Central Government to make all relevant policies and guidelines aimed at preventing misleading advertisements and endorsements publicly accessible on official websites.

The Single-Judge Bench of Justice Rajeev Singh passed the order while dealing with a contempt application filed by Moti Lal Yadav, a practicing lawyer.

Yadav sought action under Section 12 of the Contempt of Courts Act, alleging willful disobedience of a previous court order dated September 22, 2022, by central government officials. The earlier order addressed concerns about the endorsement of tobacco products by national awardees.

In his original Public Interest Litigation (PIL) filed in 2022, Yadav argued that prominent individuals, including Padma Vibhushan and Padma Shri recipients, were endorsing tobacco products, in violation of the Prohibition of Advertisement and Regulation of Trade and Commerce (Production, Supply, and Distribution) Amendment Act, 2020.

"'Padma Awardees' have been participating in such endorsements and advertisements, a prayer has been made seeking a direction to the Central Consumer Protection Authority of India, which is a statutory body created under the Consumer Protection Act, 2019 (hereinafter referred to as 'Act, 2019') to take appropriate action against the private respondents by imposing penalty as per the provisions contained in Section 21 (2) of the Act, 2019. Another prayer made in the petition is that certain individuals i.e. 'Padma Awardees' as named in the writ petition be directed to deposit entire amount earned by them from such advertisements and further that an equal amount be also ordered to be deposited by them in relief fund of the Government of India," the PIL read. 

The Court had previously directed Yadav to approach competent authorities to frame guidelines and to utilize the statutory mechanism under the Consumer Protection Act, 2019, for addressing grievances related to misleading advertisements. However, Yadav claimed that no substantial action had been taken following the Court's directives.

During the hearing on July 4, Yadav informed the Bench that he had submitted a representation to the Central Consumer Protection Authority (CCPA) on October 15, 2022. In a response dated September 12, 2023, Jasbir Tiwari, Under Secretary of the CCPA, acknowledged the initiation of an investigation and stated that endorsers would face penalties if found guilty. Despite this, Yadav contended that there had been no significant follow-up action.

Additionally, Yadav pointed out that while the CCPA had issued the Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022, no specific guidelines had been framed to address cases involving prominent awardees who endorse tobacco products.

"Submission of the applicant is that till today, no action has been taken. It is also submitted that though in relation to the preparation of guidelines for prevention of misleading advertisements and endorsements, the Central Consumer Protection Authority has already notified Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022, which may be exploited by such advertisements, but no guidelines have been framed for dealing the cases related to the prominent persons of the Country, who are holders of several awards and are doing advertisement of tobacco etc.," the Court noted. 

Taking these concerns into account, the Court sought an affidavit of compliance and an action taken report in line with the CCPA's September 12, 2023, order. The Court has set the next hearing for August 20, 2024. "It is also expected from the authorities that all the Policies and Guidelines are made available on the Official Website," the Court said. 

Cause Title: Moti Lal Yadav v. Sri Rajiv Gowba, Cabinet Secy. Central Secrtt. Govt. Of India, New Delhi And Another

Appearance:-

Respondent: Deputy Solicitor General of India (DSGI) S.B. Pandey, Advocate Ambrish Rai

Click here to read/download the Order