Central Consumer Protection Authority (CCPA)
Contents
Central Consumer Protection Authority (CCPA)
The Central Consumer Protection Authority (CCPA) is a regulatory body established under Section 10(1) of the Consumer Protection Act, 2019, which came into force on July 20, 2020. The CCPA officially began operations on July 24, 2020, as a significant reform in India’s consumer protection framework, replacing the previous Consumer Protection Act of 1986.
The CCPA operates under the Ministry of Consumer Affairs, Food and Public Distribution and is headquartered in New Delhi. Its primary mandate is to promote, protect, and enforce the rights of consumers as a class while addressing violations of consumer rights, unfair trade practices, and misleading advertisements that are prejudicial to public interest.
Composition and Leadership
The CCPA comprises a compact but powerful structure:
Core Members
Chief Commissioner
Two Commissioners:
Tenure and Qualifications
Chief Commissioner: Must have at least 25 years of professional experience in relevant fields such as law, public affairs, economics, or consumer protection.
Commissioner: Requires minimum 20 years of experience in similar domains.
Both positions serve five-year terms or until age 65, whichever comes first, and are eligible for reappointment.
Powers and Functions
The CCPA possesses extensive authority that distinguishes it from traditional regulatory bodies:
Core Functions
Protect, promote and enforce consumer rights as a class and prevent violations under the Act
Prevent unfair trade practices and ensure no person engages in such practices
Regulate misleading advertisements and ensure compliance with the Act
Ensure transparency in publication of advertisements
Investigative Powers
Suo motu action: Can initiate investigations independently without waiting for complaints
Complaint-based investigations: Respond to consumer complaints and government directions
Referral authority: Can refer matters to the Director General for detailed investigation
Inter-agency coordination: Can refer cases to other regulatory authorities for further action
Enforcement Powers
Product recalls: Order recall of unsafe goods and services with mandatory reimbursement to consumers
Penalty imposition: Can impose penalties up to ₹10 lakh for first-time misleading advertisement violations, with imprisonment up to 2 years
Enhanced penalties: For repeat offenses, penalties can reach ₹50 lakh with imprisonment up to 5 years
Endorsement bans: Can prohibit endorsers from advertising any products for up to 1 year (3 years for subsequent violations)
Legal Intervention
File complaints before District, State, and National Consumer Disputes Redressal Commissions
Intervene in proceedings before any Consumer Commission regarding consumer rights violations
Recent Enforcement Actions and Impact
Coaching Institute Crackdown
The CCPA has been particularly active in addressing misleading claims by educational coaching centers. As of October 2025:
54 notices issued to various coaching institutes for misleading advertisements
Penalties exceeding ₹90.6 lakh imposed on 26 coaching institutes
Recent notable cases include:
Drishti IAS: Fined ₹5 lakh in October 2025 (second penalty after previous ₹3 lakh fine)
Total penalties on coaching institutes reached ₹85.6 lakh across multiple cases
E-commerce Platform Actions
FirstCry: Penalized ₹2 lakh in September 2025 for misleading price representations regarding GST inclusion
Five Delhi restaurants: Action taken for mandatory service charges despite court rulings
Guidelines Implementation
In November 2024, the CCPA issued “Guidelines for Prevention of Misleading Advertisement in Coaching Sector, 2024” to prevent deceptive practices in the education sector.
Guidelines for Prevention of Misleading Advertisements
The CCPA issued comprehensive “Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022” on June 9, 2022.
Key Provisions
Apply to all advertisements regardless of format or medium
Define requirements for valid, non-misleading advertisements
Establish duties for manufacturers, advertisers, and endorsers
Regulate bait advertisements, surrogate advertisements, and free claim advertisements
Advertisement Requirements
Valid advertisements must:
Contain truthful and honest representations
Avoid exaggerating benefits or creating false expectations
Provide substantiated claims backed by evidence
Comply with sector-specific regulations
Distinction from Consumer Disputes Redressal Commissions
The CCPA operates differently from the traditional three-tier Consumer Disputes Redressal Commission (CDRC) system:
CCPA Focus
Class action matters: Addresses issues affecting consumers as a group
Regulatory enforcement: Takes proactive action against systemic violations
Prevention-oriented: Focuses on preventing unfair practices before they harm consumers
CDRC Jurisdiction
Individual complaints: Handle specific consumer grievances
Monetary jurisdiction: District CDRC (up to ₹1 crore), State CDRC (₹1-10 crore), National CDRC (above ₹10 crore)
Adjudicatory role: Provide specific relief and compensation to individual consumers
Current Challenges and Legal Scrutiny
The CCPA faces ongoing legal challenges regarding its jurisdiction and powers. The Delhi High Court has sought clarification from the Union Government regarding:
Whether CCPA can impose penalties for unfair trade practices beyond misleading advertisements
The intended role of CCPA vis-à-vis existing Consumer Disputes Redressal Commissions
Whether CCPA should function as a parallel forum to CDRCs or focus on specific violations
Consumer Access and Complaints
For individual consumer grievances, the CCPA directs consumers to:
National Consumer Helpline: Toll-free numbers 1800-11-4000 or 1915
Online portal: www.consumerhelpline.gov.in
NCH Mobile App: For convenient grievance registration
e-Dakhil platform: For filing complaints with Consumer Commissions
The CCPA specifically handles class action matters while individual complaints are processed through the National Consumer Helpline and Consumer Commissions.
Significance for Consumer Protection
The establishment of CCPA represents a paradigm shift in India’s consumer protection approach, moving from purely reactive dispute resolution to proactive prevention of consumer exploitation. With its suo motu powers, investigative capabilities, and penalty enforcement mechanisms, the CCPA serves as a crucial guardian of consumer welfare in India’s evolving marketplace, particularly in the digital economy era.
