3-Aug-2022: 728 Consumer Commissions established at State and District level, National Consumer Disputes Redressal Commission established at national level

The Union Minister of State for Consumer Affairs, Food and Public Distribution, Shri Ashwini Kumar Choubey in a written reply to a question in Lok Sabha today informed that At present, the National Consumer Disputes Redressal Commission is established at national level and 728 Consumer Commissions have been established at State and District level in the country.

 Under the provisions of the Consumer Protection Act, 2019, a consumer can file consumer complaint in Consumer Commission of appropriate jurisdiction offline or online using e-Daakhil portal (www.edaakhil.nic.in). As per the revised pecuniary jurisdiction, a District Consumer Dispute Redressal Commission has jurisdiction to entertain complaints where the value of the goods or services paid as consideration does not exceed Rupees Fifty Lakh. The State Consumer Dispute Redressal Commission and the National Consumer Dispute Redressal Commission have jurisdiction where such consideration is above Rupees Fifty Lakh &upto Rupees Two Crore and above Rupees Two Crore respectively.

Department of Consumer Affairs has generated consumer awareness under "Jago Grahak Jago" Campaign among all the consumers of the country through video spots and other material on issues like salient features of the Consumer Protection Act 2019, packaged commodities, weights and measures, hallmark, consumer grievance redressal mechanism through departmental website, State / UT Governments, VCOs, TV, Radio, CSCs. Regular messages on these issues are being posted on social media to harness its potential to create consumer awareness. State / UT Governments have been involved to spread consumer awareness in rural and remote areas.

The Department of Consumer Affairs has recently launched “Jagriti”, a mascot for empowering consumers and generating awareness of their rights. “Jagriti” is projected as an empowered young consumer.

The Consumer Protection Act, 2019 provides for, inter-alia, simplification of the adjudication process in the Consumer Commissions; filing of a complaint by a consumer in the Consumer Commission having jurisdiction with respect  to his place of work/residence irrespective of place of transaction and place of business or residence of the opposite parties, e-filing and e-payment, video conferencing for hearing, deemed admissibility of complaints if admissibility is not decided within 21 days of filing; court monitored mediation to facilitate early disposal of cases; provision of product liability

The Consumer Protection (Consumer Disputes Redressal Commissions) Rules, 2020 notified under the ibid Act provides that no fees is required for registering cases in the District Consumer Disputes Redressal Commissions involving value of goods or services paid as consideration upto 5 lakhs.

Further, Section 38(7) of the Consumer Protection Act, 2019 prescribes that every complaint shall be disposed of as expeditiously as possible and endeavour shall be made to decide the complaint within a period of three months from the date of receipt of notice by opposite party where the complaint does not require analysis or testing of commodities and within five months if it requires analysis or testing of commodities.

26-Feb-2021: E-Daakhil portal, launched by National Consumer Dispute Redressal Commission (NCDRC) on 7th September, 2020,  for online redressal of consumer grievances now operational in 15 States/UT's

E-Daakhil portal for Consumer grievance redressal is now operational in 15 States/UTs. Department of Consumer Affairs is now proactively following up with the states to launch e-filing portal at their ends.

The Consumer Protection Act, 2019, which has come into force from 20th July, 2020, has provision for e-filing of consumer complaints in the Consumer Commissions and online payment of the fees for filing a complaint. A web application for E-filing of consumer complaints named “edaakhil.nic.in” has been developed by NIC for the purpose. This digital software for filing consumer complaints has the many features like e-Notice, case document download link & VC hearing link, filing written response by opposite party, fling rejoinder by complainant and alerts via SMS/Email.

The e-Daakhil portal empowers the consumer and their advocates to file the consumer complaints along with payment of requisite fees online from anywhere for the redressal of their complaints. It also facilitates the consumer commissions to scrutinize the complaints online to accept, reject or forward the complaint to the concerned commission for further processing.

To facilitate the rural consumers for e-filing, it has been decided to integrate the Common Service Centres (CSC) with the e-Daakhil portal. As many consumers at Gram Panchayat level may either not have access to electronic modes of communication or unable to use the tools, they may avail the services of CSCs in filing their complaints in the Consumer Commission. The work for integration of this portal with CSC is in under process.

E-filing was launched by National Consumer Dispute Redressal Commission (NCDRC) on 7th September, 2020. Delhi was the first state to implement it on 8th September, 2020.  Later Maharashtra, Andaman & Nicobar Islands, Bihar, Chhattisgarh, Jharkhand, Gujarat, Chandigarh, Andhra Pradesh, Odisha, Uttar Pradesh, Madhya Pradesh, Punjab, Karnataka & Haryana implemented facility of e-filling in their respective States/UTs. 

Department of Consumer Affairs had been proactively following up with the States/UTs to launch e-filing. Total 444 locations are covered including NCDRC, State Commissions and District Commissions.

20-Sep-2020: Adjournment in consumer complaints by NCDRC

The Consumer Protection Act, 2019 and the Consumer Protection (Consumer Commission Procedure) Regulations, 2020 provide for expeditious disposal of cases. To ensure timely disposal of cases it has been provided that adjournment shall be entertained in exceptional circumstances and the reason for the same to be recorded in writing. It has been further provided that in case of a prayer for adjournment under any other circumstances, the Consumer Commission may, unless sufficient cause is shown, impose such cost, as it deems necessary, for granting such adjournment.

As per data available on CONFONET portal, the details of consumer complaints filed in and disposed of by the National Consumer Disputes Redressal Commission during the last three years is as under:

Year

Filed

Disposed

2017

3907

1303

2018

2839

1405

2019

2459

1435

The details of the origin of the number of consumer complaints filed in the National Consumer Disputes Redressal Commission, State/UT-wise, is not being maintained.

As per available information, at present, 534 Presidents and 1140 members are in position in the National Commission, State Commissions and all District Commissions.

27-Oct-2018: Department of Consumer Affairs & NCDRC organizes conference to review functioning of State Commissions and District Fora

The Department of Consumer Affairs, Government of India along with National Consumer Disputes Redressal Commission (NCDRC) jointly organized a Conference at Vigyan Bhawan New Delhi to review the functioning of the State Commissions and District Fora. The Conference was attended by Presidents of State Commissions and Secretaries in charge of Consumer Affairs of States and UTs. The Conference was presided over by the Minister of State for Consumer Affairs, Food, Public Distribution & Commerce and Industry, Shri C.R. Chaudhary, and President, NCDRC, Justice R. K. Agarwal. The Conference is being held at a crucial time, when the Government has introduced a new Consumer Protection Bill, 2018 in the Lok Sabha repealing the Consumer Protection Act of 1986 with substantial changes for meeting the emerging challenges faced by consumers in the new markets.

The Secretary, Department of Consumer Affairs, Shri Avinash K. Srivastava, while welcoming the delegates mentioned that the Conference is being held to discuss the issues relating to the functioning of the Consumer Fora such as pendency of case and filling up of vacancies in the post of President and Members of the Commissions. Shri Srivastava also drew attention to the alternate ways of redressal of consumer complaints, computerization of consumer fora and notification of Model Rules by the States.

President NCDRC, Justice R. K. Agarwal, in his address mentioned about increasing pendency of cases in various consumer fora including national commission and suggested that the vacancies in these commissions should be filled up expeditiously. Shri Agarwal emphasized that the number of adjournment and appeals should be restricted according to the monetary value of the cases. He welcomed the introduction of Mediation in the Consumer Protection Bill and mentioned that this will also help in reducing the pendency of cases.

The Minister of State of Consumer Affairs, Food and Public Distribution, Shri C.R Chaudhary, in his address mentioned that enforcement of Consumer Protection Act and allied laws are the joint responsibility of the Centre and the States. Shri C.R Chaudhary stated that Model Rules relating to appointment, salary/remuneration and other conditions of service of President/ Members in the State Commission/District Fora framed by this Ministry in consultation with the National Consumer Disputes Redressal Commission has been circulated to the States and UTs. The Minister requested all States and UTs to issue notifications adopting these rules as early as possible.

Shri Chaudhary also mentioned that the District Fora should avoid giving any adjournments and should be encouraged to decide cases on the first hearing itself and requested State Commissions to monitor this aspect. The Minister further invited suggestions from the States for strengthening the redressal mechanism and the support required from the Centre for this purpose. He asserted that the Government has already strengthened the National Consumer Helpline as the alternate system for resolving consumer complaints so that the consumers need not approach the consumer fora for resolving their grievances. The Minister expected that this Conference will come out with a future action plan for better strengthening the existing consumer disputes redressal mechanisms.

The Conference had two Technical Sessions. In Session I the functioning of the Consumer Fora, steps to be taken to reduce the pendency of the cases, and implementation of the Model Rules etc. were discussed. In the Session II the matters discussed included progress of the implementation of computerization and networking of Consumer Fora, utilization of funds release under various schemes such as strengthening  and Swachh Bharat Action Plan.

23-Nov-2021: Union Minister Dr. Jitendra Singh inaugurates a separate Bench of Central Administrative Tribunal (CAT) at Srinagar to deal exclusively with service matters of government employees

Union Minister of State (Independent Charge) Science & Technology; Minister of State (Independent Charge) Earth Sciences; MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr Jitendra Singh today inaugurated a separate Bench of Central Administrative Tribunal (CAT) at Srinagar to deal exclusively with service matters of government employees. While the CAT Bench at Jammu started functioning with effect from 08.06.2020 and now with the issuance of notification (dated 17.11.2021) of jurisdiction of Srinagar Bench is also made functional. The Minister said with today’s historic decision, now all three important agencies of DoPT- CAT, CIC and CVC are fully functional in UTs of J&K and Ladakh.

Dr Jitendra Singh said Jammu and Kashmir is the rare State/UT in the country to have two CAT Benches and this is because Prime Minister Narendra Modi accords special priority to J&K and he takes a keen interest in the matters and issues related to the new Union Territory. He said, two Benches for J&K will go a long way in not only reducing the burden of various Courts, but would also provide to the persons covered by the Administrative Tribunals speedy relief in respect of their grievances and service matters.

Dr Jitendra Singh informed that the Jurisdiction of Jammu Bench of CAT extends up to 10 districts of UT of J&K and one district (Leh) from UT of Ladakh, while the jurisdiction of Srinagar Bench extends up to 10 districts of UT of J&K and one district (Kargil) from UT of Ladakh.  A Judicial Member, Shri D.S. Mahra, as also the support officers and staff have been deputed at Srinagar Bench to manage its functioning.

Dr Jitendra Singh concluded that Modi Government is committed to Transparency and “Justice for All” and the people friendly reforms taken in the last seven years have benefitted the entire country including people of Jammu and Kashmir and Ladakh. He said that more than 800 Central laws, which were not applicable to J&K have been made applicable since the abolition of Article 370 and 35A on 5th August 2019 for the benefit of people of Jammu & Kashmir and Ladakh and now they enjoy same rights as people from the rest of India.

Dr Jitendra Singh said, with the notification of Tribunals Reforms Act, 2021 on 13.8.2021, the process for filling up of vacancies of Members in CAT has been started.  Presently, the post of Chairman, CAT is occupied by Ms. Manjula Das and it has been the constant endeavour of the Government to strengthen the infrastructure in all the Benches of CAT for their smooth functioning. Referring to high disposal rate of cases, the Minister informed that since its inception in 1985 and up to 30.6.2021, the Central Administrative Tribunal received 8,56,069 cases for adjudication (including those transferred from High Courts), out of which 7,86,647cases have been disposed of, leaving a pendency of 69,422 cases. On average, more than 91.89% of the cases instituted are disposed, he added.

It may be recalled that after the abrogation of the Article 370, the Jammu & Kashmir and Ladakh became two separate Union Territories and according employees of erstwhile State of Jammu & Kashmir became the employees of the Union Territories.  As such the disputes pertaining to their service matters are now being adjudicated by CAT.  At the time of Inauguration of CAT Jammu Bench 30,000 service matters were pending including17363 received from High court. Out of received 17363 cases, CAT Jammu has disposed 4371 cases (2452 of Srinagar Wing and 1919 of Jammu Wing).As of now 12992 case are pending (7610 of Srinagar Wing and 5382 of Jammu Wing.)7610 cases are being sent to CAT Srinagar from CAT Jammu. Almost 13000 cases are still in High court which will come to CAT.

8-Jun-2020: Union Minister Dr. Jitendra Singh inaugurates CAT Bench at Jammu.

Union Minister of State (Independent Charge) Development of North Eastern Region (DoNER), MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr Jitendra Singh today inaugurated the 18th Bench of Central Administrative Tribunal (CAT) for the Union Territories of Jammu and Kashmir and Ladakh through a Video Conference. Speaking after the inauguration Dr. Singh said that the setting up of CAT Bench of Jammu to deal exclusively with service matters of government employees would go a long way in not only reducing the burden of various Courts and thereby giving them more time to deal with other cases expeditiously but would also provide to the persons covered by the Administrative Tribunals speedy relief in respect of their grievances and service matters. He said that Modi Government is committed to Transparency and “Justice for All” and the people friendly reforms taken in the last six years have benefitted the entire country including people of Jammu and Kashmir and Ladakh. He said that more than 800 Central laws, which were not applicable to J&K have been made applicable since the abolition of Article 370 and 35A on 5th August 2019 for the benefit of people of Jammu & Kashmir and Ladakh and now they enjoy same rights as people from the rest of India. Dr. Jitendra Singh expressed hope that pendency of about 30,000 cases would be resolved in a time bound and judicious manner.

Dr Jitendra Singh said that all three important agencies of DoPT- CAT, CIC and CVC are now operational in UTs of J&K and Ladakh. Earlier, in a notification issued on 28.05.2020 in exercise of the powers conferred by sub-section (7) of section 5 of the Administrative Tribunals Act, 1985 (13 of 1985), the Central Government has specified Jammu and Srinagar as the places at which the benches of the Central Administrative Tribunal shall ordinarily sit for the Union Territory of Jammu and Kashmir and Union Territory of Ladakh. Similarly, the Central Information Commission (CIC) has started hearing Right to Information (RTI) Act applications of applicants from the UTs of J&K and Ladakh from 15.05.2020. Dr. Singh said that Shri Sanjay Kothari, Central Vigilance Commissioner who called on him on 5th May, 2020 informed the Minister that the jurisdiction of the Central Vigilance Commission has been extended over the Union Territory of Jammu and Kashmir under the Prevention of Corruption Act.

Chairman, Central Administrative Tribunal Hon’ble Mr. Justice L. Narasimha Reddy gave the welcome address. The inaugural ceremony was also addressed by Chief Justice of the High Court of Jammu and Kashmir Hon’ble Ms. Gita Mittal and Lieutenant Governor of Union Territory of Jammu and Kashmir Shri Girish Chandra Murmu. Member Judicial, Central Administrative Tribunal, Jammu Shri Rakesh Sagar Jain gave the vote of thanks on the occasion.

11-Apr-2020: Press Statement from Central Administrative Tribunal

It has always been the endeavour of the Principal Bench of the Central Administrative Tribunal and its Benches across the Country to dispose off as many as cases as possible and to function to the satisfaction of the persons who approached the Tribunal for remedies. As a matter of fact, the disposal rate even upto the month of February 2020 had been phenomenal.

With the outbreak of the Corona Virus, the sittings were arranged on the alternative  ensure that the social distance is maintained. However, even that became impossible in view of the steps taken by the Government from 22nd of March onwards. With the imposition of lock down, it became impossible for the Benches to function since neither the Advocates nor the Employees of the Tribunal would be in a position to attend to the work. The option to conduct the hearings through Video Conference was not available firstly because the necessary equipment infrastructure was not in place and secondly it was not possible to procure it in view of lock down. The Principal Bench in fact was scheduled to be on a mini vacation from 2nd to 12th of April.

The further course of action would be decided depending on the steps which the Government would take in respect of the period from 15.04.2020 onwards. Even if there exists the slightest possibility to conduct the Courts, the same would be availed.

25-Jan-2021: Finance Minister Smt. Nirmala Sitharaman inaugurates the Chennai Bench of National Company Law Appellate Tribunal

Union Minister for Finance and Corporate Affairs Smt. Nirmala Sitharaman inaugurated the Chennai Bench of National Company Law Appellate Tribunal (NCLAT) through virtual mode here today.

The inaugural ceremony was held in presence of Shri. Justice Bansi Lal Bhat, Acting Chairperson, NCLAT, Shri Rajesh Verma, Secretary, Ministry of Corporate Affairs, other members of NCLAT and the National Company Law Tribunals, officers of Ministry of Corporate Affairs, Ministry of Finance as well as members of the Bar.

The Chennai Bench of NCLAT shall have jurisdiction to hear the Appeals arising out of the orders passed by the benches of NCLT having jurisdiction of Karnataka, Tamil Nadu, Kerala, Andhra Pradesh, Lakshadweep and Puducherry. Two Members of NCLAT, New Delhi, Hon’ble Shri. Balvinder Singh, Member (Technical) and Hon’ble. Shri. Justice Venugopal M. have taken charge of the newly constituted Chennai Bench of the NCLAT.

Hon’ble Shri. Justice Bansi Lal Bhat welcomed Finance Minister Smt. Nirmala Sitharaman and expressed his gratitude for inaugurating the Chennai Bench of the NCLAT. He also expressed his gratitude to Hon’ble Prime Minister Shri Narendra Modi who has very aptly underscored the role of the Insolvency and Bankruptcy Code, 2016 in providing freedom of exit to insolvent entities. He stated that the Central Government has demonstrated a proactive approach by bringing successive amendments to the Code and that the Government is taking all steps to strengthen the NCLT in terms of number of Benches and number of courts at heavily loaded benches.

Five new Benches of NCLT have been announced at Jaipur, Cuttack, Kochi, Indore and Amaravati, bringing the total number of Benches to 16 (including the Principal Bench). The NCLAT now functions at a strength of 5 courts, 4 at the Principal Bench in New Delhi and the 5th at NCLAT, Chennai.

While congratulating the citizens of the country, she emphasised on the significance of constituting another Bench of the NCLAT at Chennai and stated that the Bench of the NCLAT at New Delhi shall henceforth be known as the Principal Bench of the NCLAT which shall hear appeals other than those in the jurisdiction of Chennai Bench of the NCLAT.

The Finance Minister stated that the Union Government’s decision to set up a bench of the NCLAT at Chennai will give a major relief to the companies and litigants in Southern States of India, who faced great difficulty in travelling to Delhi for work pertaining to filing and arguing of appeals in the NCLAT. This will reduce the pendency of cases, shorten the period of process and shall result in speedier disposal of the cases. Smt. Sitharaman further stated that advent of the Insolvency and Bankruptcy Code (IBC), 2016 has benefited the economy in several ways. 

The Finance Minister stated that along with the Hon'ble Supreme Court as the apex forum, the NCLAT and the NCLTs have done a commendable job in ironing out the issues and difficulties faced in implementing the new law. On the one hand, the judiciary and quasi-judicial Tribunals have been working tirelessly, at the same time, she stated that it was heartening to note that these institutions have kept themselves technologically up to date. While the COVID-19 Pandemic brought physical hearings to a halt, the NCLTs and the NCLAT continued to function on video mode. At the NCLAT even during the period of lockdown, nearly 69% of cases were adjudicated during this time between March 2020 and December, 2020; 985 cases were filed and 681 cases were heard and disposed of.

The Finance Minister observed that a large part of the Insolvency Law's evolution can be accredited to the development of jurisprudence which happens under the very able guidance of our judicial and quasi-judicial institutions. Before the NCLAT, out of approximate 5,600 cases filed as of December 2020, approximately 3,800 cases pertaining to IBC matters have been handled. Also, out of the total matters filed before the NCLAT, 4200 matters have been disposed of, indicating a disposal rate of 75%. She stated that the Government is committed to ensuring continued efforts to ensure speedy and cost-effective delivery of justice and ensure ease of doing business in India.

Hon’ble Shri Justice Venugopal M. extended his vote of thanks to Finance Minister Smt. Nirmala Sitharaman, Hon’ble Shri. Justice Bansi Lal Bhat, Acting Chairperson, NCLAT, Shri. Rajesh Verma, Secretary, MCA. He thanked the Finance Minister for being instrumental in the establishment of the Chennai Bench of the NCLAT. He conveyed his appreciation for the former chairperson of NCLAT, Hon’ble Shri. Justice S. J. Mukhopadhyay. Hon’ble Shri. Justice Bansi Lal Bhat, Acting Chairperson, NCLAT, and other Members of the NCLAT for as well as learned advocates for their support.

7-Mar-2020: NCLAT Chairperson exhorts NCLAT & NCLT members to stick to time limits for cutting delays in insolvency cases

Every delay may have 100 good explanations, but the fact still remains that there is a delay, said Justice S. J. Mukhopadhaya, Chairperson, NCLAT. He was speaking here today at the colloquium on “Judicial Sensitisation on Insolvency Law and Associated Best Practices”.

Justice Mukhopadhaya raised serious concerns with regard to the constant delays in insolvency proceedings and said that the Members of NCLAT and NCLTs must cut the time period of insolvency proceedings short and focus on quicker disposal of cases. He emphasised that there are only limited grounds to argue at the stage of admission and that the Members of NCLTs should admit or dismiss the cases adhering to the prescribed time limits.

He requested the members of NCLTs to adhere to prescribed time limits by focusing on the subject matter at hand.

Justice Mukhopadhaya also discussed in detail the applicability of different provisions of the Limitation Act to insolvency proceedings and remarked, “If a party comes (to the tribunal) within limitation, we must also pass a reasoned order within limitation”, implying that Tribunals are equally obligated to follow timelines.

Talking about the bidding in insolvency process, he emphasised that the highest bid is not always the best in case of insolvency and therefore the need for careful consideration.

Spelling out the already envisaged six exits out of Corporate Insolvency Resolution Process (CIRP), Justice Mukhopadhaya emphasised:

  • Pre-admission, where the erstwhile management/promoters settle with the applicant creditor.
  • Post admission, prior to constitution of Committee of Creditors, with the Applicant Creditor by invoking inherent powers of NCLTs and NCLAT.
  • After constitution of the Committee of Creditors by taking advantage of Section 12A of Insolvency and Bankruptcy Code, 2016 (IBC).
  • Resolution Plan.
  • After liquidation order is passed by reading section 230 of Companies Act into IBC in terms with the Appellate Tribunal’s Judgment in Y. Shivaram Prasad Vs S. Dhanapal dated 27.02.2019.
  • Outright sale of the company as a whole, as opposed to being sold piece by piece, leading to its corporate death.

2-Dec-2019: Government to set up National Company Law Appellate Tribunal Bench in Chennai

In pursuance of judgement of Hon’ble Supreme Court, the Government has decided to set up a bench of National Company Law Appellate Tribunal (NCLAT) at Chennai.

Benches of National Company Law Tribunal (NCLT) are set up in various States depending on the case load and other relevant factors. Considering the heavy case load at some existing benches, additional members have been appointed and additional courts have been operationalised from time to time.

The Government is taking all steps to strengthen the NCLT and NCLAT in terms of number of benches, number of courts and number of members, to reduce the pendency. Apart from decision to set up NCLAT bench at Chennai, five new benches of NCLT have been set up during 2018-2019 at Jaipur, Cuttack, Kochi, Indore and Amaravati. The Government has recently appointed 28 more members in NCLT and 4 more members in NCLAT. For capacity building of members, regular colloquiums are being held. e-Court project has also been implemented in a few benches with heavy case load.