Central Consumer Protection Authority Issues Notice to e-commerce entities offering for sale Pressure Cookers in violation of compulsory BIS Standards

As part of celebrations of 75 years of Independence – ‘Azadi ka Amrit Mahotsav’, the Central Consumer Protection Authority (CCPA)has initiated a country-wide campaign to prevent sale of spurious and counterfeit goods that violate Quality Control Orders published by the Central Government.

In this regard, CCPA has already issued directions to district collectors across the country to investigate unfair trade practices and violation of consumer rights concerning manufacture or sale of such goods. Essential, daily use products which have been identified for the campaign are Helmets, Pressure Cooker and Cooking Gas Cylinders.

In furtherance to the campaign, CCPA has taken suo-moto cognizance against e-commerce entities found to be selling Pressure Cookers in violation to the Domestic Pressure Cooker (Quality Control) Order, 2020 issued by the Central Government under Section 16 (1) of the BIS Act, 2016 on 21st January 2020. By the said Order, Domestic Pressure Cooker are mandated to conform to Indian Standard IS 2347: 2017 and bear the standard mark under a license from BIS with effect from 1st August 2020.

Under Section 2(10) the Consumer Protection Act, 2019, “defect” means any fault, imperfection or shortcoming in the quality, quantity, potency, purity or standard which is required to be maintained by or under any law for the time being in force or under any contract, express or implied or as is claimed by the trader in any manner whatsoever in relation to any goods or product and the expression “defective” shall be construed accordingly.

Thus, Pressure Cookers which do not conform to the compulsory standards are liable to held ‘defective’ under the Act.

Also, ‘unfair trade practice’ defined under Section 2(47) of the Act means and includes promoting the sale, use or supply of any goods by adopting any unfair method or unfair or deceptive practice by permitting the sale or supply of goods intended to be used, or are of a kind likely to be used by consumers, knowing or having reason to believe that the goods do not comply with the standards prescribed by the competent authority relating to performance, composition, contents, design, constructions, finishing or packaging as are necessary to prevent or reduce the risk of injury to the person using the goods.

Rule 4(2) of the Consumer Protection (E-commerce) Rules, 2020 specifies that no e-commerce entity shall adopt any unfair trade practice, whether the in course of business on its platform or otherwise.

Moreover, Section 17 of the BIS Act prohibits any person to manufacture, import, distribute, sell, hire, lease, store or exhibit for sale any such goods or article for which direction of compulsory use of Standard Mark has been published by the Central Government under Section 16(1).

            Further, Section 29 (3) and (4), stipulate the penalty for contravention of Section 17 and designate it as a cognizable offence.

CCPA has sought response from the e-commerce entities within 7 days from issuance of notice, failing which necessary action may be initiated against them under the provisions of the Consumer Protection Act, 2019.

CCPA has also written to DG BIS to take immediate cognizance of the matter and take necessary action.

The Pressure Cookers observed to be in violation to the compulsory standards and listed on the e-commerce platforms is tabulated below –

  • Amazon (www.amazon.in)
  • Flipkart (www.flipkart.com)
  • Snapdeal (www.snapdeal.com)
  • Shopclues (www.shopclues.com)
  • Paytm Mall (www.paytmmall.com)

DJN/NS

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Central Government notifies Indian Telegraph Right of Way (Amendment) Rules, 2021

The Central Government has notified the Indian Telegraph Right of Way (Amendment) Rules, 2021 on 21st October 2021 to incorporate the provisions related to nominal one-time compensation and uniform procedure for establishment of Overground Telegraph Line in the Indian Telegraph Right of Way Rules, 2016. The amount of one-time compensation for establishment of overground telegraph line will be maximum one thousand rupees per kilometre. Documentation for RoW application for overground telegraph line has been made simple. Also, there will be no fee other than Administrative fee and Restoration charges for establishing, maintaining, working, repairing, transferring or shifting the underground andovergroundtelegraph infrastructure.

These amendmentswill ease Right of Wayrelated permission procedures for establishment and augmentation of Digital Communications Infrastructureacross the country. With a robust pan India digital infrastructure, the digital divide between rural-urban and rich-poor will be bridged; e-governance and financial inclusion will be strengthened; doing business will be easy; information and communication needs of citizens and enterprises will be fulfilled; and ultimately the dream of India’s transition to a digitally empowered economy and society will be translated into reality.

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RKJ/M

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AIST, Toyota, and Toyota Central R&D Labs to Consider Joint Research on Advanced Energy and Environment Technologies

The National Institute of Advanced Industrial Science and Technology (AIST), Toyota Motor Corporation (Toyota), and Toyota Central R&D Labs., Inc. (Toyota CRDL) announced today that they have commenced discussions on joint research aimed at accelerating development and implementing advanced technologies in the field of energy and the environment.

The three parties each possess a strong desire to contribute to the realization of carbon neutrality; With a focus on energy, which plays an important role in reducing volumes of CO2 emissions, they will seek to ensure that society has access to energy that is environmentally friendly and that can be used perpetually with peace of mind.

Carbon neutrality means achieving net-zero CO2 emissions for the entire life cycle of a product in a recycling-based society―from its production, transportation, and use―followed by ensuring that it is recycled. Critical questions to achieving carbon neutrality include: what type of energy is being used, who is using it, where is it being used, how much is being used, and in what manner is it being used?

Since energy conditions differ according to country and region, it follows that net-zero CO2 emissions can be achieved in different ways. Rather than limiting options to one form of energy or a single technology, the three parties will research ways to expand choice in the energy forms and technologies available, which cater better to individual lifestyles and different corporate activities.

More specifically, AIST, Toyota, and Toyota CRDL, will discuss joint research on the following four topics:

Establishing energy scenarios for achieving carbon neutrality

Using energy models developed by AIST, the three parties will analyze the impact on energy use systems occasioned by future trends in energy-related technologies, energy environment policies, and other societal changes. Considering various aspects such as predicted clean energy consumption, implementation of new technologies, impact on the environment, and costs, they will develop energy scenarios to achieve carbon neutrality.

Establishing energy urban networks that realize both carbon neutrality and economic rationality

The three parties will propose a carbon neutral and cost-minimizing optimal urban energy structure that utilize renewable energies, and will also propose high-quality yet affordable energy infrastructure that makes use of electrification technologies developed for automobiles.

Developing high-efficiency in-vehicle solar power generation systems

The three parties will seek to popularize vehicles equipped with solar power generation systems, which convert light energy into electrical energy. To this end, they will pursue improvements in conversion efficiency and reductions in cost for both solar batteries and solar power generation systems.

Developing elemental technologies for the production, transportation, and use of hydrogen

The three parties will develop elemental technologies capable of resolving various issues related to the realization of a hydrogen society: technologies to produce hydrogen, technologies to transport hydrogen safely and at low costs (hydrogen carriers), and technologies to use hydrogen as energy.

AIST is one of the largest national research institutions in Japan. At its Fukushima Renewable Energy Institute and Global Zero Emission Research Center, it carries out advanced research aimed at the realization of carbon neutrality, including research into solar power and other forms of renewable energy, and into the production and use of hydrogen.

Toyota and Toyota CRDL wish to see advanced technologies aimed at carbon neutrality implemented across society at the earliest opportunity. They believe that collaboration between industrial, public, and academic sectors is crucial, and for this reason they are exploring joint research with AIST.

Going forward, AIST, Toyota, and Toyota CRDL, intend to work closely together to explore, from a variety of different perspectives, the possibility of various technologies capable of contributing to the realization of carbon neutrality by 2050. At the same time, they will openly consider collaborating with other like-minded partners, and seek to ensure that the results of their joint research come to be implemented, widely adopted, and established in society.


Topic: Press release summary

Central Government relaxes provisions of TDS u/s 194A of the Income-tax Act, 1961 in view of section of 10(26) of the Act

The Central Government in exercise of the powers conferred by sub-section(1F) of section 197A of the Income-tax Act, 1961(“the Act”) notified that no deduction of tax shall be made on the following payment under section 194A of the Act, namely payment in the nature of interest, other than interest on securities, made by a Scheduled Bank (hereinafter the ‘payer’) located in a specified area to a member of Scheduled Tribe  (hereinafter the ‘receiver’) residing in any specified area as referred to in s.10(26) of the Act, subject to the following conditions:

  1. the payer satisfies itself that the receiver is a member of Scheduled Tribe residing in any specified area, and the payment as referred above is accruing or arising to the receiver as referred to in section 10(26) of the Act, during the previous year relevant for the assessment year in which the payment is made, by obtaining necessary documentary evidences in support of the same;
  2. the payer reports the above payment in the statements of deduction of tax as referred to in sub-section (3) of section 200 of the Act;
  3. the payment made or aggregate of payments made during the previous year does not exceed twenty lakh rupees.

           For the purposes of the said notification, ‘Scheduled Bank’ means a bank included in the Second Schedule of the Reserve Bank of India Act,1934.

Notification no. 110/2021 dated 17th September, 2021 has been issued. It is available on www.incometaxindia.gov.in and also on www.egazette.nic.in .

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RM/KMN

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Central Global Berhad Increases Production Capacity by 250% to Meet Fresh Demand

Central Global Berhad (“Central Global” or “Group”), a producer of industrial masking tapes and label stocks as well as general building contractor, is in the midst of finalizing the purchase of machinery that will triple the Group’s manufacturing arm’s capacity to produce industrial masking tapes.

Central Global executive chairman Dato’ Faisal Zelman

With the purchase of the new machinery, the Group’s factory in Kuala Muda, Kedah, will have a capacity to produce up to 70 million square metres (“sqm”) per year of tapes from 20 million sqm of tapes per year from the old machinery.

Central Global executive chairman Dato’ Faisal Zelman said, “This is perfect timing for us as we currently have new potential orders of up to 30 million sqm of masking tape orders from existing customers. The new machinery will make us even more productive and efficient while allowing us the capacity to grow the business.”

“We are also able to fulfil backlog orders worth RM10.0 million from July and August that had been delayed due to the enhanced movement control order that was extended by two weeks in parts of Kuala Muda to the end of July. We were only able to restart operations from 2 August 2021 and only at 60% capacity for employees, but we are pleased to announce that all our employees will be fully vaccinated by 23 August 2021.”

The purchase of new machinery for the Group’s factory in Kuala Muda will be partly financed through a private placement exercise of 18 million new shares which is expected to raise approximately RM26.0 million, which included financing for a construction project in Penang.

The production expansion of the Group’s manufacturing arm is in conjunction with Central Global’s growth initiatives for its construction segment. The Group signed an MoU in early June with Multi Scopes Engineering Sdn Bhd to form a joint venture to bid for building a RM250.0 million sewage treatment plant in Kwasa Damansara, Selangor and was awarded an RM101.0 million construction project in April 2021 to upgrade the water supply system in Lahad Datu, Sabah.

Contact:
Hakim Juraimi
Email: h.juraimi@swanconsultancy.biz


Topic: Increase Production