Section 21 Consumer Protection Act
What can the government do if I encounter a false or misleading advertisement?
Short answer
The Central Authority can order the ad stopped or changed, levy penalties up to ₹10 lakh (₹50 lakh for repeat), and ban endorsers for up to a year.
In detail
If a consumer or any authority believes an advertisement is false, misleading, or harms consumer interests, the Central Authority may investigate. After a satisfactory investigation, it can direct the trader, manufacturer, endorser, advertiser, or publisher to stop the ad or modify it within a set time. If the Authority thinks a penalty is needed, it may fine the manufacturer or endorser up to ten lakh rupees for a first offence, and up to fifty lakh rupees for each subsequent breach. It can also prohibit an endorser from promoting any product for up to one year, extending to three years for repeat violations. Publishers who help spread a misleading ad may be fined up to ten lakh rupees. Defences are available: an endorser who exercised due diligence, or a publisher who acted in the ordinary course of business without knowing of a prior order, may avoid the penalty. Before any order, the Authority must give the person a chance to be heard, and it will consider factors such as the affected population, frequency, vulnerability of consumers, and sales revenue generated by the offence.
Related questions
Who conducts investigations under the Consumer Protection Act?
The Central Authority’s Investigation Wing, led by a Director‑General, carries out inquiries under the Act.
Am I a consumer if I bought a product on credit?
Yes, buying goods on credit for personal use makes you a consumer under the Act.
Where can I file a complaint about false advertising or unfair trade practices?
You can send a written or electronic complaint to the District Collector, the regional Commissioner, or the Central Authority.
Can I appeal a District Commission order if I missed the 45‑day deadline?
Yes, you may still appeal, but only if the State Commission accepts your reason for delay and you meet any deposit requirement.
Not legal advice. This is general legal information, not legal advice. Laws change and every case turns on its own facts — speak to a lawyer about your situation.