CCPA Issues Notices to Six E-Commerce Platforms
Context:
The Central Consumer Protection Authority (CCPA) has issued notices to six e-commerce platforms—including IndiaMart, Xboom, and AirONE Robotics—for listing and selling restricted wireless transmitting devices like "Anti-Drone Systems," "Drone Jammers," and "GPS Jammers."
Regulatory Framework for Jammers:
The sale and use of jamming equipment are strictly restricted in India.
They are permitted only to authorised government agencies and law enforcement authorities, subject to statutory approvals.
Governing Acts:
The unauthorized possession and commercial sale of these devices violate multiple laws:
Indian Telegraph Act, 1885
Wireless Telegraphy Act, 1933
Foreign Trade (Development and Regulation) Act, 1992
The CCPA observed that these devices were listed without valid Equipment Type Approval (ETA) or Wireless Planning & Coordination (WPC) certification.
Violations under Consumer Protection Act (CPA), 2019:
Unfair Trade Practice:
The omission of material information regarding the legal consequences of using such devices amounts to a misleading advertisement and unfair trade practice under Sections 2(47), 18, and 19 of the CPA, 2019.
E-Commerce Rules:
Under Rule 4 of the Consumer Protection (E-Commerce) Rules, 2020, marketplace entities are mandated to exercise due diligence.
Facilitating the sale of restricted items without verifying statutory authorization is a violation of these rules.
Consumer Protection Act 2019 and CCPA:
The Consumer Protection Act, 2019 (Act) came into effect from 20.07.2020.
The act paved the way to protect, promote and enforce the rights of class of consumers.
The act established of a regulatory authority, namely, the Central Consumer Protection Authority (CCPA) to regulate matters relating
to violation of consumer rights,
misleading advertisement and
unfair trade practice which are prejudicial to the interest of consumers as a class and public at large.
It is tasked with regulating matters relating to the violation of consumer rights, unfair trade practices, and false or misleading advertisements prejudicial to the interests of the public.
The CCPA has the power to issue notices, conduct inquiries, and direct entities to furnish detailed information (such as import licenses and buyer details) to safeguard consumer interests.