17 Joint Committee On The Jan Vishwas (Amendment of Provisions) Bill 2022 1

LOK SABHA
REPORT OF THE JOINT COMMITTEE ON

THE JAN VISHWAS (AMENDMENT OF PROVISIONS) BILL, 2022
SEVENTEENTH LOK SABHA
LOK SABHA SECRETARIAT

NEW DELHI
MARCH, 2023/PHALGUNA, 1944 (SAKA)
LOK SABHA
REPORT OF THE JOINT COMMITTEE ON

(SEVENTEENTH LOK SABHA)
Presented
esented to Lok Sabha on the 20 March, 2023
Laid in Rajya Sabha on the 17
1 March, 2023
LOK SABHA SECRETARIAT

NEW DELHI
MARCH, 2023/PHALGUNA 1944 (SAKA)
INDEX
PART CONTENT PAGE No.
Composition of the Committee ii-iv
Introduction v-vii
REPORT
Chapter I Objectives, Necessity and Scope of the Jan Vishwas 1-11

(Amendment of Provisions) Bill, 2022
Chapter II Examination of the Bill by the Joint Committee 12-251
Chapter III Clause by Clause consideration of the Jan Vishwas 252-362

APPENDICES
I. Motion in Lok Sabha for reference of the Bill to the 363-364

Joint Committee
II. Motion in Rajya Sabha for reference of the Bill to the 365
Joint Committee
III. Details of the sittings of the Joint Committee on the 366-370

Jan Vishwas (Amendment of Provisions) Bill, 2022
IV. List of Official witnesses who tendered oral evidence 371-375

before the Committee
V. Notes and Minutes of Dissent 376-391
VI. Minutes of the sittings 392-436
ANNEXURE
BILL AS REPORTED BY THE JOINT COMMITTEE 1-57

COMPOSITION OF THE JOINT COMMITTEE ON
SHRI P.P. CHAUDHARY – HON'BLE CHAIRPERSON
LOK SABHA
2. Dr. Sanjay Jaiswal

3. Shri Uday Pratap Singh
4. Shri Sanjay Seth
5. Smt. Queen Oja
6. Shri Khagen Murmu
7. Smt. Poonamben Hematbhai Maadam
8. Smt. Poonam Pramod Mahajan
9. Smt. Aparajita Sarangi
10. Shri Arvind Dharmapuri
11. Shri Rajendra Agrawal
12. Shri Rattan Lal Kataria
13. Shri Gaurav Gogoi
14. Adv. Dean Kuriakose
15. Shri A. Raja
16. Prof. Sougata Ray
17. Dr. Venkata Satyavathi Beesetti
18. Shri Gajanan Chandrakant Kirtikar
19. Shri Rajiv Ranjan Alias Lalan Singh
20. Shri Pinaki Misra
21. Shri Girish Chandra
RAJYA SABHA
22. Shri Ghanshyam Tiwari

23. Shri G.V.L. Narasimha Rao
24. Shri Mahesh Jethmalani
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25. Dr. Radha Mohan Das Agarwal
26. Shri Vivek K. Tankha
27. Shri Sukhendu Sekhar Ray
28. Dr. Kanimozhi NVN Somu
29. Shri Narain Dass Gupta
30. Shri Sujeet Kumar
31. Shri Masthan Rao Beeda
iii
SECRETARIAT
1. Shri Vinay Kumar Mohan - Joint Secretary

2. Shri H. Ram Prakash - Director
3. Shri Rahul Singh - Deputy Secretary
4. Ms. Maya Menon - Under Secretary
5. Shri Dinesh Kumar - Executive Officer
6. Ms. Vandana - Executive Officer
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INTRODUCTION
I, the Chairperson of the the Joint Committee on the Jan Vishwas

(Amendment of Provisions) Bill, 2022 to which 'The Jan Vishwas (Amendment
of Provisions) Bill, 2022' was referred, having been authorized to submit the
Report on their behalf, present this Report with the Bill, as reported by the Joint
Committee annexed thereto.
2. The Jan Vishwas (Amendment of Provisions) Bill, 2022 was introduced in

Lok Sabha on 22 December 2022. The Motion for reference of the Bill to a
Joint Committee of both the Houses of Parliament was moved in Lok Sabha on
22 December 2022 by Shri Piyush Goyal, Minister of Commerce and Industry,
Consumer Affairs, Food and Public Distribution and Textiles (Vide Appendix-I)
and concurred by the Rajya Sabha on 23 December 2022 (Vide Appendix-II).
3. As per the motion moved in the House, the Report of the Joint
Committee on the Jan Vishwas (Amendment of Provisions) Bill, 2022 is to be
presented to Lok Sabha by the last day of the first week of the second part of
the Budget Session, 2023 of Parliament.
4. Keeping in view the importance of the Bill, its wide ranging implications
including 183 amendments across 42 Acts administered by 19 Ministries, with
limited time available to examine the subject in detail, the Committee had
briefing by the representatives of the respective Departments/Ministries, which
were administering these Acts, on various amendments proposed to 42 Acts
mentioned in the Schedule to the Bill.
5. The Committee held nine sittings in all. In the first sitting, a general briefing
giving overall view of objective and rationale behind bringing this legislation
was made by the representatives of DPIIT. In the subsequent six sittings, the
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concerned Ministries/Departments were called for briefing on various
amendments proposed to the enactments specified in the Bill. They heard the
views of concerned Ministries/Department. The Committee held two sittings for
Clause by Clause consideration of the Bill. Details of the sittings of the Joint
Committee are at Appendix- III.
6. The Committee, in their tenth sitting held on 13 March, 2023, considered

and adopted the draft report and authorized the Chairperson to present the
report on their behalf. The Committee also decided that one copy of the
proceedings of the sittings of the Committee may be placed in the Parliament
Library, after the Report has been presented to Parliament, for reference by
the Members of Parliament. The Bill, as reported by the Joint Committee, is
appended after the Report.
7. The Committee wish to express their thanks to the representatives of the

Ministries/Departments of Agriculture and Farmers Welfare; Commerce;
Consumer Affairs; Defence; Economic Affairs; Financial Services; Food and
Public Distribution; Health & Family Welfare; Posts; Department for Promotion
of Industry and Internal Trade; Information and Broadcasting; Ports, Shipping
and Waterways; Railways; Electronics and Information Technology;
Environment, Forest and Climate Change; Housing and Urban Affairs; Road
Transport and Highways; Statistics and Program Implementation; Revenue;
and Ministry of Law and Justice (Legislative Department and Department of
Legal Affairs), who appeared before the Committee and placed their
considered views to the points raised by the Committee during examination of
the Bill.
8. The Committee take this opportunity to express their deep appreciation

to the officials of DPIIT for coordination with all other Departments/Ministries
and also the officials of the Legislative Department for providing valuable
inputs during the deliberations of the Joint Committee. The Committee would
vi
also like to acknowledge and place on record the appreciation of the
Committee to the sincere and devoted efforts made by the Officers of Lok
Sabha Secretariat by facilitating conduct of all the sittings of the Committee
smoothly and for preparing the draft Report of the Committee within the time
given to the Committee.
P.P. Chaudhary,
Chairperson,
Joint Committee on the Jan Vishwas
Dated: 13 March 2023

Place: New Delhi
vii
CHAPTER I
Objectives, Necessity and Scope
1. Objectives of the Jan Vishwas (Amendment of Provisions) Bill, 2022
1.1. The Jan Vishwas (Amendment of Provisions) Bill, 20221 was introduced in Lok Sabha
on 22nd December, 2022. It seeks to amend 183 provisions across 42 Acts administered by
19 Ministries to reduce the compliance burden on individuals and businesses with the twin
objectives of ease of doing business and ease of living for the citizens. The Bill has been
piloted by the Department for Promotion of Industry and Internal Trade, Ministry of
Commerce and Industry, Government of India after the respective Ministries had detailed
discussions with industry bodies and key stakeholders across different sectors on the Acts
enforced by them. The Bill proposes a number of changes to the existing laws, including but
not limited to: (a) decriminalizing various offences; (b) revision of various fines and
penalties; (c) appointment of Adjudicating Officers; (d) establishment of Appellate
Authorities; and (e) increase in the fines and penalties periodically. The Bill offers scope
and horizon to identify areas for reforms and improve the local business environment as well
as easing the lives of individuals simultaneously.
1.2. The exercise of reducing compliance burden on businesses and citizens has been
initiated with the goal of ensuring a hassle-free and seamless service delivery to the ultimate
beneficiary. Through the Jan Vishwas (Amendment of Provisions) Bill, 2022,
decriminalization is being proposed to be achieved in the following ways:
(i) both imprisonment and/or fine are proposed to be removed;
(ii) imprisonment is proposed to be removed and fine retained/enhanced;
(iii) imprisonment and/or fine are proposed to be converted to penalty; and
(iv) compounding of offences is proposed to be introduced.
1.3. Decriminalising certain offences: Under the Jan Vishwas (Amendment of

Provisions) Bill, 2022, several offences with an imprisonment term in certain Acts have been
proposed to be decriminalised by imposing only a monetary penalty. For example, under the
1
The Bill was published in the Gazette of India, Extraordinary, Part-II, Section 2 dated 22nd December, 2022
1
Cinematograph Act, 1952, there is an imprisonment for a term which may extend upto three
years if any person fails to notify to any film distributor or exhibitor about the title, length of
the film or number and nature of the certificate granted for the film, etc. in the manner
prescribed by the Act. The Bill now proposes to replace this with a monetary penalty of five
lakh rupees. Similarly, under the Agricultural Produce (Grading and Marking) Act, 1937,
counterfeiting of grade designation marks is punishable with imprisonment for a term
extending upto three years and a fine extending upto five thousand rupees. The Bill
proposes to replace this with a penalty of eight lakh rupees.
1.4. Fine and Penalty differentiated: In certain Acts, offences have been decriminalised
by imposing a penalty instead of a fine. For instance, under the Patents Act, 1970, a
person selling a falsely represented article as patented in India is subject to a fine of upto
one lakh rupees. The Bill replaces the fine with a penalty, which may extend upto ten lakh
rupees and in case of continuing contravention, there shall be an additional penalty of one
thousand rupees per diem.
1.5. Revision of fines and penalties: The Jan Vishwas (Amendment of Provisions) Bill,
2022 also proposes to increase the fines and penalties for some offences in the Acts
specified in the Schedule to this Bill. Further, fines and penalties, vide clause 3 of the Bill,
specified in the schedule have been proposed to be increased by ten per cent of the
minimum amount of fine or penalty prescribed therefor after expiry of every three years from
the date of commencement of the proposed Act, which seems to be a first time introduced
legislative proposal to save the precious limited time at the disposal of the Parliament.
1.6. Appointing Adjudicating Officers: As per the Jan Vishwas (Amendment of

Provisions) Bill, 2022, the Government of India may appoint one or more adjudicating
officers for the purpose of determining penalties. The adjudicating officers may summon
individuals for evidence and conduct inquiries into violations of the respective Acts. For
instance, the Agricultural Produce (Grading and Marking) Act, 1937, the Air (Prevention and
Control of Pollution) Act, 1981, the Environment (Protection) Act, 1986, and the Public
Liability Insurance Act, 1991 are the Acts among others which provide for the appointment
of Adjudicating Officer.
2
1.7. Appellate Mechanism: The Jan Vishwas (Amendment of Provisions) Bill, 2022 also
specifies the appellate mechanisms for persons, aggrieved by an order passed by an
adjudicating officer/authority. For instance, under the Cinematograph Act, 1952, the
provision to prefer appeal has been provided. Similarly, under the Merchant Shipping Act,
1958, provision to prefer appeal before the Director General within 30 days has been
provided. Under the Air (Prevention and Control of Pollution) Act, 1981 and the
Environment (Protection) Act, 1986, appeals may be preferred to the National Green
Tribunal within sixty days from the date of order.
1.8. Brief details of the number of provisions proposed to be decriminalized by the Jan
Vishwas (Amendment of Provisions) Bill, 2022 in respect of 19 Ministries/Departments and
42 Acts being considered in the Bill are given below:
Proposal
19 Ministries/Departments – 42 Acts
Sl. Categories Number of provisions to
No. be decriminalized (Acts)
1 Imprisonment and/or Fine removed 55 (21)
Imprisonment and fine removed 42
Imprisonment removed 3
Fine removed 10
2 Imprisonment and/or Fine converted to Penalty 89 (22)
Imprisonment and fine converted to Penalty 69
Imprisonment converted to Penalty 2
Fine converted to Penalty 18
3 Imprisonment removed and Fine retained 14 (6)
4 Imprisonment removed and Fine enhanced 18 (5)
5 Introduced Compounding of Offences 6 (3)
Total Provisions to be decriminalized 182
3
1.9. The details of number of provisions containing consequential and other amendments
proposed in the Bill are further tabulated hereunder:
Consequential and other amendments in the Bill

Sl. Action Proposed Number of provisions (Acts)
No.
1 Introduce Adjudication/ Appeal/ Recovery 41 (10)
Mechanism
2 Introducing Imprisonment and/or fine 6 (6)
3 Introducing penalties 1 (1)
4 Enhancing penalties/fine 4 (1)
5 Imprisonment reduced and/or fine 3 (2)
retained/enhanced
6 Imprisonment retained and fine enhanced 7 (2)
7 Consequential amendments
Shifting of offence 6
Omission from Schedule 6
Creation of Fund 12
Other amendments like definitions 55
Total 141
2. Necessity for the Jan Vishwas (Amendment of Provisions) Bill, 2022
2.1. Trust is a prerequisite and fundamental for democratic governance. The outdated
rules and regulations cause trust deficit amongst the general public and entrepreneurs. The
linchpin of democratic governance lies in the Government trusting its own institutions as well
as the common citizenry. The fear of imprisonment for minor offences is a major factor
hampering the growth of the business ecosystem and shattering the confidence of
entrepreneurs. Reducing the compliance burden also gives impetus to business process
reengineering and improves ease of living of people. Pursuing the spirit of ‘Minimum
Government Maximum Governance’, India needs to get rid of the vintage laws that were
adversely affecting the development of the country as well as out of sync with the
philosophy of the Government. With the advent of technology and changes in the socio-
economic scenario, it is necessary for the country to liberate the entrepreneurial spirit of its
4
citizens to instill confidence and step forward towards the new era of business reforms
making India the most preferred global investment destination by boosting investor
sentiments - locally as well as globally.
2.2. The World Bank Group had established a ranking system called the Ease of Doing
Business Index wherein, as per the last World Bank Ease of Doing Business Report 2020,
India ranked at 63rd position against the 77th rank in 2018 and 142nd rank in 2014. It has
been highly appreciated that since 2014, the Government processes underwent major
change and started responding innovatively. The Government started reengineering,
bringing various ministries and departments of the Centre and the States together to
achieve a common goal of making India the most preferred business destination. The
Department for Promotion of Industry and Internal Trade is the institutional anchor for the
Ease of Doing Business programme. The Department for Promotion of Industry and Internal
Trade has acted as a fulcrum and brought in a cohesive approach by breaking the silos and
working to network with all the Government agencies.
2.3. More ease of doing business means more withdrawals or relaxing of regulations and
undoubtedly it lead to ease of living along; albeit the investors take into consideration
various other issues before making a decision to invest in any economy, such as legal
framework, democratic status, potential growth of trade, geo-political situation, the stability
of the Government, market potential, black swan events, law and order, etc. The Jan
Vishwas (Amendment of Provisions) Bill, 2022, as introduced, has endeavoured to identify a
large number of offences of minor nature and decriminalize them with monetary penalties.
The endeavour is not only to make lives and businesses easier but also to reduce judicial
burden. Settlement of large number of issues by compounding method and adjudication by
administrative mechanism without involving courts will enable persons to remedy minor
contraventions and defaults, thereby saving time, energy and resources.
2.4. The following factors necessitate the introduction of the Jan Vishwas (Amendment of
Provisions) Bill, 2022:
 The Amendment Bill envisages a thrust to businesses by eradicating the fear of

criminal provisions for minor, technical and procedural defaults. This will go a long
5
way in realizing the vision of greater ease of doing business, ease of living and an
‘Atmanirbhar Bharat’.
 Sound and efficient business regulations are vital, for an economy cannot thrive
without a healthy private sector. When local businesses flourish, they create jobs
and generate income that can be spent and invested domestically. Effective
business regulations present micro, small and medium scale enterprises the
opportunity to grow, innovate and move from informal to formal sector of an
economy.
 It is important to have effective rules and regulations in place that are easy to
understand and follow. The micro, small and medium entrepreneurs especially
emerging entrepreneurs face significantly different realities as they set up and start
operating their businesses. In order to realize financial gains, trim down corruption
and encourage micro, small and medium scale enterprises to flourish, unnecessary
red tape should be eliminated.
 The clauses of criminality for small procedural lapses and minor defaults clog
judiciary and may put adjudication of major offences on the back burner. Some of the
proposed amendments are introducing suitable adjudication mechanism, wherever
applicable and feasible for dealing with minor offences. This would go a long way in
reducing burden on the judiciary, unclog courts and help in efficient justice
dispensation.
 There is rise in the cases of criminal nature where the acts of omission or
commission are either of trivial nature or compoundable and settled only with penalty.
As per the National Judicial Data Grid, as on 23rd February, 2023, out of a total of
4,24,02,907 pending cases, 3,15,86,284 cases are in relation to criminal
proceedings. As per the National Crime Records Bureau’s Prison Statistics as on
31st December, 2021, a total of 5,54,034 prisoners were confined in different prisons
in India against a capacity of 4,25,609. Decriminalising of minor offences will
certainly reduce the burden on judiciary and prisons while easing the doing of
business and easing the living of the individuals at the same time.
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 As contrary to punishing wrongful conduct, criminalization of minor acts of omission
or commission often becomes a tool for the Executive to project a strong image. As
many of the Acts belong to British era where the State mistrusts its citizens, it is no
longer the case in the country. This “overcriminalisation” is required to be redressed
by justifying the penalties in the law and bringing in flexibility.
 The regulatory burden often poses substantial deterrents for investors.

Discrepancies among existing laws can lead to unnecessary and even contradictory
compliance requirement. Moreover, the lengthy processing times for the needed
approvals can escalate costs and dampen the entrepreneurial spirit. Proposed
amendments would accelerate investment decisions due to smoother processes and
attracting more investment.
SEAMLESS TRANSFORMATION FROM EXISTING PROVISIONS TO THE

EASE OF DOING BUSINESS
Decriminalization
•Imprisonments for minor •Certainty
offences •Trustworthiness among
•Lesser Fines •No unnecessary investors, entrepreneurs
•Lesser penalties imprisonments and individuals
•Fear of punishment and •Higher penalties •Higher compliance ratio
distrust on Government •Fines wherever required
•Adjudication mechanism
Ease of Doing
Existing laws Business and Ease of
Living
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3. Scope of the Bill
3.1. As mentioned in the Statement of Objects and Reasons of the Jan Vishwas
(Amendment of Provisions) Bill, 2022, the Bill seeks to reduce compliance burden to give
impetus to business process reengineering and improve ease of living of people. The
large number of reforms expected to be brought by the Bill will impact all kinds of business
enterprises ranging from small and medium enterprises to mega corporations, investors to
start-ups, workers to entrepreneurs, and companies to the economies and most
importantly the citizens of the country.
3.2. The excessive compliances are onerous on micro, small and medium enterprises.
The Bill proposes to undertake ‘quasi-decriminalisation’. The regulatory offences to be
considered for ‘decriminalisation’ need to be prioritised not only from the point of view of
the ease of doing business but also from the points of view of the ills that plague our
criminal justice system itself. A monograph titled 'Jailed For Doing Business' by the
Observer Research Foundation presents a deep dive into the imprisonment clauses that
plague India's business compliance regulation framework. The report found among the
69,233 unique compliances that regulate doing business in India, 26,134 clauses have
imprisonment clauses as a penalty of non-compliance. As per the said Report, an average
Indian enterprise in the manufacturing sector with more than 150 employees deal with 500-
900 compliances a year that cost nearly 12 to 18 lakh rupees in a single year. Almost two
out of five compliances can send an entrepreneur to prison. In this light, the number of
offences deregulated under the Bill is an initiative in the right direction. The Bill conforms
to the understanding of the government that decriminalization should be limited to
regulatory domains.
3.3. Presently, people are reluctant to do business in India as even minor offences can
lead them to being jailed and the Jan Vishwas (Amendment of Provisions) Bill, 2022 will
incontrovertibly impact the business mindset of the people on the one hand and reduce the
burden on the Judicial and Quasi Judicial system on the other hand. Overall the Jan
Vishwas (Amendment of Provisions) Bill, 2022 aims to provide and expand business
8
opportunities with a swift and effective resolution of various minor disputes while also
ensuring that the government is able to collect penalties.
3.4. In the present scenario, the compliance burden by the business community and the
individuals can be reduced through the following steps, which are also the focus areas of the
exercise of reducing compliance burden:
(i) Rationalization of legal provisions by repealing, amending or omitting the
redundant laws.
(ii) Simplification of procedures related to applications, renewals, inspections, filing

records, etc.
(iii) Digitization of government processes by creating online interaces.
(iv) Decriminalisation of minor, technical or procedural defaults.
3.5. Unambiguously defined regulation and equal access to property rights are essential
for enabling businesses to expand their operations. If governments do not put in place
adequate protection laws and leave the business community open to disputes, the
stakeholders would be disinclined to invest in the developmental projects. Protection of
interests of the minority investors is paramount. Greater protection helps foster trust and
confidence and, in turn, spurs greater access to finance for entrepreneurs. Unambiguous
rules and regulations, robust rights and augmented transparency are some of the regulatory
instruments at the disposal of Government. An incessant and focused reform agenda keeps
an economy competitive and vigilant. The regional diversity and varying income levels
among the citizens accentuate the fact that with few bureaucratic hurdles and robust laws
and regulations, any economy can make it to the top. The quality and effectiveness of
regulations matter most for a good performance in the ease of doing business and ease of
living. The trust-based governance is needed at all levels. Regulatory environment should
be more conducive for starting and running businesses.
4. Acts under consideration
4.1. The following Acts included in the Schedule to the Jan Vishwas (Amendment of
Provisions) Bill, 2022 are proposed to be amended by the Bill:
1. The Press and Registration of Books Act, 1867
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2. The Indian Post Office Act, 1898
3. The Boilers Act, 1923
4. The Indian Forest Act, 1927
5. The Agricultural Produce (Grading and Marking) Act, 1937
6. The Drugs and Cosmetics Act, 1940
7. The Public Debt Act, 1944
8. The Rubber Act, 1947
9. The Pharmacy Act, 1948
10. The Industries (Development and Regulation) Act, 1951
11. The Cinematograph Act, 1952
12. The Tea Act, 1953
13. The Copyright Act, 1957
14. The Merchant Shipping Act, 1958
15. The Deposit Insurance and Credit Guarantee Corporation Act, 1961
16. The Warehousing Corporations Act, 1962
17. The Food Corporations Act, 1964
18. The Patents Act, 1970
19. The Marine Products Export Development Authority Act, 1972
20. The High Denomination Bank Notes (Demonetisation) Act, 1978
21. The Air (Prevention and Control of Pollution) Act, 1981
22. The National Bank for Agriculture and Rural Development Act, 1981
23. The Spices Board Act, 1986
24. The Environment (Protection) Act, 1986
25. The National Housing Bank Act, 1987
26. The Motor Vehicles Act, 1988
27. The Railways Act, 1989
28. The Public Liability Insurance Act, 1991
29. The Cable Television Networks (Regulation) Act, 1995
30. The Trade Marks Act, 1999
31. The Geographical Indications of Goods (Registration and Protection) Act, 1999
32. The Information Technology Act, 2000
33. The Metro Railways (Operation and Maintenance) Act, 2002
34. The Prevention of Money-laundering Act, 2002
35. The Food Safety and Standards Act, 2006
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36. The Government Securities Act, 2006
37. The Cantonments Act, 2006
38. The Payment and Settlement Systems Act, 2007
39. The Collection of Statistics Act, 2008
40. The Legal Metrology Act, 2009
41. The Factoring Regulation Act, 2011
42. The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and
Services) Act, 2016.
---x---
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CHAPTER II
PROCEDURE ADOPTED BY THE COMMITTEE IN EXAMINATION OF THE BILL
2.1. The Jan Vishwas (Amendment of Provisions) Bill, 2022 (Bill No. 299 of 2022) to
amend certain enactments for decriminalising and rationalising minor offences to enhance
trust-based governance towards ease of living and doing business was introduced in Lok
Sabha by Shri Piyush Goyal, Union Minister for Ministry of Commerce and Industry,
Consumer Affairs, Food and Public Distribution and Textiles. A motion was moved and
adopted by Lok Sabha on December 22, 2022 for the constitution of a Joint Parliamentary
Committee for the purpose of examination of the Bill and making a report to the House by
the last day of the first week of the second part of the Budget Session, 2023. The Rajya
Sabha concurred in the recommendation of the Lok Sabha in joining the Joint Committee
and nominated 10 Members to serve on the Joint Committee on a motion moved in and
adopted by Rajya Sabha on December 23, 2022. Accordingly, the Joint Parliamentary
Committee (JPC) consisting 20 Members from Lok Sabha and 10 Members from Rajya
Sabha under the Chairpersonship of Shri P. P. Chaudhary was constituted to examine the
Bill and make a report.
2.2. Taking cognizance of the fact that the Jan Vishwas (Amendment of Provisions) Bill,
2022 envisages to achieve the principle of ‘Minimum Government Maximum Governance',
redefining the regulatory landscape of the country under the Ease of Living and Ease of
Doing Business reforms and that the proposed amendments would impact multiple
stakeholders across multiple sectors, the Committee in their first sitting held on January 09,
2023 decided to examine each and every aspect of the reforms intended to be brought by
this Bill. During the sitting, the Secretary, DPIIT, Ministry of Commerce and Industry giving
the overview of the background to the Bill inter-alia submitted as under:
“xxx, there was a renewed focus on the trust based governance in 2014. xxxxxx, one
of the earliest decisions of the Government when it changed into 2014, was to move
from attestation by a Gazetted Officers or a Public Representative to self-attestation,
which actually made impact on millions of youth who had to actually apply to various
applications for admission or for employment, had to be attested, which they got rid of.
Thereafter, there was a concerted movement to improve the ease of doing business
ranking, which World Bank used to publish, and World Bank ranking 2015 based on
the data of 2014, India was ranked at 142. Within a short frame of five years, data of
2019, with ranking of 2022, India moved up to 63, a jump of 79 ranks in just a small
period of five years. But World Bank used to measure the ease of doing business in
two cities of Delhi and Mumbai. But the Government wanted that the improvement
should happen across the country, and so the DPIIT also started a programme called
Business Reform Action Plan which was all across States and UTs. So, initially, the
team would sit with the representatives of all the States and UTs. A list of points to be
improved would be finalised in consultation with the States an UTs, and that would
become the agenda for States/UTs to follow. At the end of the period, whatever
changes were done, they would be assessed by a third party, and thereafter, ranking
should be issued.
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xxxxx World Bank stopped the ranking in 2020. But we have continued with our
Business Reform Action Plan even after that. That is an ongoing exercise. xxxxxxx
When we try to simplify or reduce the compliance burden, we do it in four manners.
First, we look at whether this particular provision is required at all or not. So, if it is a
redundant provision, we remove it. If it can be simplified, the simplification is done. If it
is offline, can it be done online? And, can this thing be helped by digitisation. The
fourth and equally important aspect was decriminalisation. xxxxx, there were
provisions where for a small thing like, not whitewashing the toilets or not
whitewashing the canteen, a businessman could be sent to jail for a year or two. And,
these provisions actually emanated from the fact that many of our Acts had a general
provision. The general provisions would read like: “If nothing is provided, and if there is
a violation of any other provision, there would imprisonment of one year or six months
or two years – whatever the Act would provide.” Most of these things actually
emanated from the general provisions. The mind-set had to change. Most of the Acts
were actually of pre- independence time. So, we took an exercise in consultation with
the States. Acts were listed which were identified. We call the identification of the
proposals which may lead to imprisonment. For the Government of India, about 1500
such provisions were identified. We pursued with all the concerned Departments who
were the administrator of that particular Act. Out of 1,500, say about 900 --- the
Department said --- need to be retained because they are serious. About 350 have
already been decriminalised over this period of exercise because there have been
amendments.
Xxxxxx
So, about 350 had been handled; 900 required to be retained. Remaining
about 250 odds were still remaining from those identified. So, we interacted with all the
Departments. There was a high level meeting in which a desire was made that
‘whatever you have identified, please close this exercise. xxxxx, in discussion with Law
and Legislative Affairs, we finalised this modus operandi that through a common Act,
we will amend all the remaining provisions. Then, we found that certain Departments
had actually their Bills and they were in very advance stages, in some cases the Bill
had been introduced
They were taking a comprehensive revision; and the Bill had already been introduced
in the Parliament. So, obviously, that we left outside. In some cases, we found that
they would take a long time before they were able to close their interaction with the
stakeholder. Xxxxx our common Bill would have been pending. So, we left out certain
Acts where they had been introduced in the Parliament at a very advance stage, or we
left out a very few Acts, where it is going to take still longer for them. For rest of the
Act, we sat down. Under the chairmanship of the Cabinet Secretary, xxxx, and there
was a sub- Committee of that Committee chaired by CEO, NITI.
xxxx. We sat down with each and every department and went through each and every
clause of what could lead to imprisonment. Then, we, actually, carved out certain
general principles. Actually, the things which are not specified in the Act, they are
invariably of lesser magnitude. So, such things should not lead to imprisonment. You
should put a clear thought. If you want something to result in imprisonment, it should
be well thought out thing. The general provisions should be dealt with by penalty or
fine. Similarly, non-submission of small information or certain procedural lapses, such
13
things should be dealt with through penalty or at most fine in certain cases. In some
cases, even the compounding could be taken as decriminalisation that it gets settled.
This will also have the benefit of reduction of pendency in the courts. It would also help
to ease the burden on police because they have to, actually, put the cases before the
courts. So, this will have multifarious advantages. In addition to that, xxxx, there were
certain ridiculous provisions. xxxxx So, we cleaned that up
As the Committee gave suggestions that these are the principles that you
should follow, the Department had consultations with the stakeholders and submitted
to us that this is what that can be decriminalised. Then, we compiled the whole thing
and went through the Legal Department. Then, the whole thing was presented to the
Cabinet which was approved and then converted into a Bill and put to the Parliament.
xxx”
Expounding further on the matter the Ministry submitted as under:
हम लोगों ने वर्ष 2014 से ही इज ऑफ डूइंग बिजनेस के ऊपर ज्यादा ध्यान ददया है । उसका कारण
यह था कक हमें बिजनेस प्रोसेसरी-इंजीननयररंग के ऊपर ववशेर् ध्यान रखना था, क्योंकक we wanted
to improve the business ecosystem for the investors and business entities coming
into the country. xxxxx, हम लोगों ने रे गल ु ेटरी कम्पलायंस िडेन के इश्यू को भी दे खा है और
reducing of compliance became a very important task of Department of Promotion
and Industry and Internal Trade. In January 2021, a portal was formed, and different
States, UTs, Central Ministries and Departments were asked to identity such
regulatory compliances and also to undertake the process of reducing the
compliances which were considered unnecessary. इसकी स्ट्रै टजी चार माध्यमों के तहत
िनाई जा रही है । Either we looked at elimination of redundant laws, processes, forms –
if they were not required, we had to do away with them – or simplify the forms and the
processes.
Digitisation was undertaken in a big way. Many of these processes were brought
online from the offline mode. The other aspect of it was decriminalisation of minor
offences.
One important point is that this portal is open to all State Governments, Central
Government and UT Administrations. It was also made open to three major industry
associations and they could also submit their procedures and compliances, which
they thought were burdensome, for the review by different stakeholders and business
departments and the State Governments. They also had an access to this ‘reducing
compliance burden’.
As of today, the number of compliances that stand reduced is more than 39,000.
Some of them are still under review. This process of compliance reduction is an
ongoing process. As and when the business entities put it to us or the Departments,
which are continuously looking at their processes, that there is a requirement of
looking at things ab initio for further simplification, this process will continue.
14
There were some provisions which were brought to the notice of Departments and
the State Governments by the stakeholders and, through the portal, by the industry
associations. Intensive stakeholder discussions with all kinds of associations –
sectoral, business entities etc. – are also uploaded through this portal. Then, every
stakeholder looks at it in minute details. Some of them were required to be retained
because there is some portion of business processes that requires regulations.
The present Jan Vishwas Bill comprises of 42 Acts across 19 Ministries and in total,
182 provisions are proposed to be decriminalised and they fall under various
categories. We looked at all these provisions with a certain requirement that was first
to ensure that the commission of an offence should be commensurate to the
seriousness of the offence. As the hon. Members have mentioned, there are very
minor provisions जजसके ललए जेल होती है और वह केस कई सालों तक चलता रहता है । their
intent is not absolutely criminal or to treat them as criminal provisions. They were
undertaken here. xxxxx
Then, certain provisions consist of technical or procedural lapse or very minor non-
compliance. They were also considered under imprisonment. xxxx Those were also
taken under this proposed Bill.
The important motivation to come about with this Bill was also that criminal provisions
lead to a sense of insecurity and hamper investment decisions by potential investors
and businesses. That is why, it was very essential to segregate these acts and
segregate these technical or procedural omissions or certain defaults that were done
either with mala fide intention अगर कोई प्रोववजन जान-िूझकर या किलमनल इंटेन्शन के साथ
ककया जाए or due to an oversight or it was a minor commission of an act or it was done
unintentionally. All that was also looked into and certain criminal provisions were then
converted. The imprisonment was removed, the fine was retained depending on the
intention and whether it was important for the Department to send a message that we
will not imprison you but the fine process will need to be resorted to. Or, there were
xxxx
The Committee sought to know whether the Government has taken decision to make
the fine or penalty and punishment with retrospective effect or with prospective effect. The
Ministry have informed that the same shall be with prospective effect.
The Committee thereafter enquired as to the difference between fine and penalty. In
this regard, representative, Legislative Department submitted as under:
“Fine is imposed by a judicial court. If you take all the existing provisions, we find that
court can imprison the person to certain months or years and also impose fine or
both. What the Bill is trying to address is, instead of the imprisonment and fine, there
will be an adjudication mechanism whereby an administrative authority, a quasi
judicial authority would impose monetary penalty. So, what we mean by penalty is
nothing but monetary penalty so that there will be no fine; he will not be fined; he will
pay the penalty and get out of whole judicial system. We don’t want the person to
languish in the court. That is the purpose.”
15
2.3. On being asked whether any mechanism has been provided in the respective acts for
non compliance of penalty, the Committee was informed as under:
“We have taken care of that. There is an adjudication mechanism either an officer or
an authority or there is an appellate mechanism to challenge the orders of imposition
of monetary penalty by adjudicating mechanism”
2.4. It was further submitted that
“The Bill proposes to amend various Acts. In the respective Acts, wherever there are
mechanisms for imposition of penalty, we have provided this system. If the person
fails to pay the penalty, it will be recovered as land revenue.”
2.5. Keeping in view that the Acts proposed to be amended by the Bill are being
administered and enforced by 19 different Ministries, the Committee decided to begin with
hearing the views of Ministries enforcing these Acts.
2.6. Accordingly, the Committee obtained Background Notes and other requisite
documents from the administering Ministries. The Committee also took briefing of the
representatives of the administering Ministries/ Departments. The representatives of the
nodal Ministry, i.e. the Department for Promotion of Industry and Internal Trade, which is
coordinating with all the 18 Ministries/Departments and the Ministry of Law (Legislative
Department and Department of Legal Affairs) also remained present in all the sittings of the
Committee. A Chronology of briefing taken by the Committee is as under in a tabular form:
16
Chronology of briefing by various Departments/Ministries
Sl. Date & Day Agenda

No
1 09 January, 2023 Briefing by the representatives of the Ministry of Commerce
(Monday) and Industry (Department for Promotion of Industry and
Internal Trade) on the overall Bill and the Objectives and
Purpose of the said Bill. The Representatives of the
Ministry of Law and Justice (Legislative Department and
Department of Legal Affairs) also remained present in the
meeting.
2 16 January, 2023 Briefing/Oral Evidence of the representatives of the
(Monday) Ministry of Electronics and Information Technology with
regard to Sl. Nos. 32 and 42 of the Schedule to the Bill; (ii)
Ministry of Agriculture & Farmers Welfare (Department of
Agriculture & Farmers Welfare) with regard to SI. No. 5 of
the Schedule to the Bill and (ii) Ministry of Consumer
Affairs Food and Public Distribution (Department of Food
and Public Distribution) with regard to Sl. Nos. 16 and 17 of
the Schedule to the Bill on the Jan Vishwas (Amendment
of Provisions) Bill, 2022. The Representatives of the
Ministries of Commerce and Industry and Law and Justice
(Legislative Department and Department of Legal Affairs)
also remained present in the meeting.
3 17 January, 2023 Briefing/Oral Evidence of the representatives of the (i)
(Tuesday) Ministry of Environment, Forest and Climate Change with
regard to SI. Nos. 4, 21, 24 and 28 of the Schedule to the
Bill; and (ii) Ministry of Housing & Urban Affairs with regard
to SI. No. 33 of the Schedule to the Jan Vishwas
(Amendment of Provisions) Bill, 2022. The representatives
of the Ministries of Commerce and Industry and Law and
Justice (Legislative |Department and Department of Legal
Affairs) also remain present in the meeting.
4 31 January, 2023 Briefing/Oral Evidence of the representatives of the
(Tuesday) Ministry of Commerce and Industry - (i) Department for
Promotion of Industry & Internal Trade and (ii) Department
of Commerce with regard to the Acts pertaining to them
being amended by the Ministries.
5 06 February, 2023 Briefing/Oral Evidence of the representatives of the
(Monday) Ministry of Finance- (i) Department of Financial Services (ii)
Department of Economic Affairs and (iii) Department of
Revenue on amendments proposed in the Bill related to
them.
6 07 February, 2023 Briefing/Oral Evidence of the representatives of (i) the
(Tuesday) Ministry of Health & Family Welfare, Department of Health
& Family Welfare (ii) the Ministry of Railways and (iii) the
Ministry of Road Transport & Highways
17
7 09 February, 2023 Briefing/Oral Evidence of the representatives of (i) the
(Thursday) Ministry of Information & Broadcasting (ii) the Ministry of
Statistics & Programme Implementation (iii) the Ministry of
Communications, Department of Posts (iv) the Ministry of
Consumer Affairs, Food & Public Distribution, Department
of Consumer (v) the Ministry of Defence, Department of
Defence and (vi) the Ministry of Ports, Shipping &
Waterways.
2.7. Based on the written and oral depositions of the official witnesses, the Committee
have examined every provision of the Bill as well as every amendment proposed to 42 Acts
specified in the Schedule to the Bill very minutely and given their considered
opinion/suggestions as enumerated in the succeeding paragraphs.
18
The Press and Registration of Books Act, 1867
[Serial No. 1 of the Jan Vishwas (Amendment of Provisions) Bill, 2022)]
2.8. Administering Ministry: Ministry of Information and Broadcasting
2.9. Purpose of the Act: The Press and Registration of Books Act, 1867 provides for
registration of printing presses, periodicals, including newspapers and books in the country,
to keep a record of all the informatory material that was being printed in the country.
2.10. Amendments proposed to the Act:
Sl. Sections Existing Provision Provision as amended in

No. the Bill introduced in Lok
Sabha
1 Section 8C 8C. Appeal.--(1) Any person Any person aggrieved by
aggrieved by an order of a an order of a Magistrate
Magistrate refusing to refusing to authenticate a
authenticate a declaration declaration under section
under section 6 or cancelling 6 or cancelling a
a declaration under section declaration under section
8B may, within sixty days 8B or an order by the
from the date on which such Press Registrar
order is communicated to suspending or
him, prefer an appeal to the cancelling the certificate
Appellate Board to be called of registration under
the Press and Registration section 12 or imposing
Appellate Board consisting of penalties under section
a Chairman and another 13 or under section 19K
member to be nominated by may, within sixty days from
the Press Council of India, the date on which such
established under section 4 order is communicated to
of the Press Council Act, him, prefer an appeal to
1978 (37 of 1978), from the Appellate Board to be
among its members]: called the Press and
Registration Appellate
Provided that the Appellate Board consisting of a
Board may entertain an Chairman and another
appeal after the expiry of the member to be appointed
said period, if it is satisfied by the Central
that the appellant was Government:
prevented by sufficient cause Provided that the
from preferring the appeal in Appellate Board may
time. entertain an appeal after
the expiry of the said
period, if it is satisfied that
19
the appellant was
prevented by sufficient
cause from preferring the
appeal in time.
(2) On receipt of an appeal (2) On receipt of an
under this section, the appeal under this section,
Appellate Board may, after the Appellate Board may,
calling for the records from after calling for the
the Magistrate and after records from the
making such further inquiries Magistrate or from the
as it thinks fit, confirm, modify Press Registrar, as the
or set aside the order case may be, and after
appealed against. making such further
inquiries as it thinks fit,
confirm, modify or set
aside the order appealed
against.
2 Section 12 Penalty for printing Proposed for omission
contrary to rule in in the Bill, as
Section 3 - whoever shall introduced.
print or publish any book or
paper otherwise than in
conformity with the rule
contained in section 3 of
this Act, shall, on
conviction before a
Magistrate, be punished by
fine not exceeding two
thousand rupees, or by
simple imprisonment for a
term not exceeding six
months, or by both.
3 Insertion of --- 12. Suspension or
new Section cancellation of
12 in certificate of
substitution registration.-- (1) The
of existing Press Registrar may, by
Section 12 order, suspend the
certificate of registration
of a newspaper for a
period not exceeding one
year, if –
(a) the publisher has
failed to publish the
newspaper continuously.
Explanation. – For the
removal of doubts, it is
hereby clarified that if a
newspaper publishes less
than half of its issues, as
20
are required to be
published under rule (6)
of section 5, such
newspaper shall be
deemed to have failed to
publish continuously; or
(b) the publisher of a
newspaper has given
false particulars in the
annual statement; or
(c) the publisher of a
newspaper has failed to
furnish the annual
statement within two
years from the end of the
financial year for which
the annual statement was
to be furnished.
(2) The Press Registrar

may, by order, cancel the
certificate of registration
where-
(i) a newspaper has

ceased publication for a
period exceeding twenty-
four months;
(ii) the publisher of a

newspaper fails to furnish
the annual statement
even after the expiry of
the period during which
the certificate of
registration was
suspended under sub-
clause (c) of sub-section
(1);
(iii) the registration was

obtained on false
representation or on
concealment of any
material fact;
(iv) the title of the

newspaper bears the
same or similar title
already held by any other
21
owner of a newspaper
either in the same
language anywhere in
India or in any other
language in the same
State or Union territory
administration.
(3) No order for

suspension or
cancellation of certificate
of registration shall be
made under this section,
without giving an
opportunity of being
heard to the publisher or
owner of the newspaper,
as the case may be.
(4) A copy of order of

suspension or
cancellation passed
under this section shall
be made available to the
Central Government or
State Government or
Union territory
administration, as the
case may be, and to the
Magistrate.
4 Section 13 Penalty for keeping press Proposed for omission
without making in the Bill, as
declaration required by introduced.
Section 4 - whoever shall
keep in his possession any
such press as aforesaid, in
contravention of any of the
provisions contained in
section 4 of this Act, shall,
on conviction before a
Magistrate, be punished by
fine not exceeding two
thousand rupees, or
by simple imprisonment for
a term not exceeding six
months, or by both.
5 Insertion of --- 13. Penalty for certain
new Section contraventions.- The
13 in Press Registrar may
substitution impose a penalty-
22
of existing
Section 13 (i) not exceeding ten
thousand rupees where
the publisher prints or
publishes any book or
paper otherwise than in
conformity with the
section 3;
(ii) not exceeding ten

the keeper of the press
fails to make and
subscribe the declaration
in conformity with the
section 4;
(iii) not exceeding twenty

the publisher fails to
furnish the annual
statement as required
under clause (a) of
section 19D within one
year from the end of the
financial year in respect
of which the annual
statement was required to
be furnished;
(iv) not exceeding twenty

thousand rupees where a
person who has ceased
to be a printer or
publisher of any
newspaper fails or
neglects to make a
declaration in compliance
with the provisions of
section 8;
(v) not exceeding two

thousand rupees for not
delivering books or not
supplying printer with
maps referred to in
section 9;
23
(vi) not exceeding two
any printer of a
newspaper neglects to
deliver copies of the
newspaper in compliance
with the provisions of
sections 11A and 11B.”.
6 Section 14 Punishment for making Proposed for omission
false statement - Any in the Bill, as
person who shall, in making introduced.
any declaration or other
statement under the
authority of this Act, make
a statement which is
false, and which he either
knows or believes to be
false, or does not believe to
be true, shall, on conviction
before a Magistrate, be
punished by fine not
exceeding two thousand
rupees, and imprisonment
for a term not exceeding six
months.
7 Section 15A Penalty for failure to make Proposed for omission
a declaration under in the Bill, as
section 8.--If any person introduced.
who has ceased to be a
printer or publisher of any
newspaper fails or neglects
to make a declaration in
compliance with section 8,
he shall, on conviction
before a Magistrate, be
punishable by fine not
exceeding two hundred
rupees
8 Section 16 16. Penalty for not Proposed for omission
delivering books or not in the Bill, as
supplying printer with introduced.
maps.-- If any printer of any
such book as is referred to in
section 9 of this Act shall
neglect to deliver copies of
the same pursuant to that
section, he shall for every
such default forfeit to the
Government such sum not
exceeding fifty rupees as a
24
Magistrate having jurisdiction
in the place where the book
was printed may, on the
application of the officer to
whom the copies should have
been delivered or of any
person authorised by that
officer in this behalf,
determine to be in the
circumstances a reasonable
penalty for the default, and, in
addition to such sum, such
further sum as the Magistrate
may determine to be the
value of the copies which the
printer ought to have
delivered.
If any publisher or other

person employing any such
printer shall neglect to
supply him, in the manner
prescribed in the second
paragraph of section 9 of
this Act, with the maps,
prints or engravings which
may be necessary to enable
him to comply with the
provisions of that section,
such publisher or other
person shall for every such
default forfeit to the
Government such sum not
exceeding fifty rupees as
such a Magistrate as
aforesaid may, on such an
application as aforesaid,
determine to be in the
circumstances a reasonable
penalty for the default, and,
in addition to such sum,
such further sum as the
Magistrate may determine to
be the value of the maps,
prints or engravings which
such publisher or other
person ought to have
supplied.]
25
9 Section 16A 16A. Penalty for failure to Proposed for omission
supply copies of in the Bill, as
newspapers gratis to introduced.
Government.-- If any printer
of any newspaper published
in India neglects to deliver
copies of the same in
compliance with section
11A, he shall, on the
complaint of the officer to
whom copies should have
been delivered or of any
person authorised by that
officer in this behalf, be
punishable, on conviction by
a Magistrate having
jurisdiction in the place
where the newspaper was
printed, with fine which may
extend to fifty rupees for
every default.
10 Section 16B 16B. Penalty for failure to Proposed for omission
supply copies of in the Bill, as
newspapers to Press introduced.
Registrar.-- If any publisher
of any newspaper published
in India neglects to deliver
copies of the same in
compliance with section 11
B, he shall, on the complaint
of the Press Registrar, be
punishable, on conviction by
a Magistrate having
jurisdiction in the place
where the newspaper was
printed, by fine which may
extend to fifty rupees for
every default.
11 Section 17 Any sum forfeited to the Proposed for omission
Government under section in the Bill, as
16 may be recovered, under introduced.
the warrant of the Magistrate
determining the sum, or of
his successor in office, in
the manner authorised by
the Code of Criminal
Procedure (10 of 1882) for
the time being in force, and
within the period prescribed
by the Indian Penal Code
26
(45 of 1860), for the levy of
a fine.
12 Section 19K 19K. Penalty for 19K. Penalty for
contravention of section contravention of section
19D or section 19E, 19D or section 19E.— If
etc.—If the publisher of the publisher of any
any newspaper— newspaper –
(a) refuses or neglects to
comply with the provisions (a) refuses or neglects to
of section 19D or section comply with the provisions
19E; or of clause (b) of section
19D or section 19E; or
* * * *
(b) publishes in the
(c) publishes in the newspaper in pursuance
newspaper in pursuance of clause (b) of section
of clause (b) of section 19D any particulars
19D any particulars relating to the newspaper
relating to the newspaper which he has reason to
which he has reason to believe to be false,
believe to be false,
he shall be punishable
with fine which may he shall be punishable
extend to five hundred with penalty not
rupees. exceeding ten
thousand rupees.
13 Section 19L Penalty for improper Proposed for omission
disclosure of information - in the Bill, as
If any person engaged in introduced.
connection with the
collection of information
under this Act willfully
discloses any information
or the contents of any
return given or furnished
under this Act otherwise
than in the execution of his
duties under this Act or for
the purposes of the
prosecution of an offence
under this Act or under the
Indian Penal Code (45 of
1860), he shall be
punishable with
imprisonment for a term
which may extend to six
months, or with fine which
may extend to one thousand
rupees, or with both.
27
2.11. Submissions of the Ministry:
2.11.1. The Ministry of Information and Broadcasting, in their background note,

submitted that it was felt that the provisions relating to imprisonment compromise on
Press Freedom and hence there is a need to decriminalize the existing statute and to
make it more consistent keeping in view the present day scenario. Hence, the
proposed Amendments aim to decriminalize the existing statute. This is also in tune
with the commitment of ensuring Press Freedom in the country. The existing
sections namely section 12 to 17 and 19L provides for penalties, including
imprisonment, or penalties by Magistrate on the newspapers for contravention of various
provisions of the Act.
2.11.2. The Ministry further informed that the Jan Vishwas Bill proposes to bring
the provisions related to suspension and cancellation of certificate of registrations on
various grounds by Press Registrar. At present, there are no powers to suspend and
cancel the Certificate of Registration with Press Registrar. The bill also replaces the
imprisonment with penalties which is more in line with the present times.
2.12. Discussion during the sitting of the Committee:
2.12.1. During the sitting of the Committee held on 9th February, 2023, the representative
of the Ministry of Information and Broadcasting gave briefing on the proposed amendments.
He explained how the Ministry reviewed the Act and decided to propose amendments to
decriminalize the provisions. He stated that:
“After review, it was decided to propose certain amendment for decriminalization of

provisions. So, seven provisions under the Act, Sections 12 to 14, Sections 15A to 17
and 19L are proposed to be omitted, which are all provisions having criminal
implications to be introduced in lieu of that and instead of fine, financial penalties are
being proposed, which can be imposed through the Central Government. Section 12
of the Act is for imposition of penalty contrary to Rule 3. Rule 3 essentially is that
when a paper is printed, certain type of details has to be mentioned in the paper and if
those details are not printed, then a penalty can be imposed leading to imprisonment
or a fine of up to two thousand rupees. So, this provision is proposed to be deleted.
Similarly, Sections 13 and 14 are also proposed to be deleted. These also are
provisions with regard to the printing press where a printing press is required to furnish
a declaration before the District Magistrate. If it has not furnished that declaration and
runs a printing press, a penalty/fine can be imposed by way of conviction before a
Magistrate. So, both Sections 12 and 13 are proposed to be deleted and instead of
that a new Section 12 and Section 13 have been proposed in the Bill.”
2.12.2. In this regard the representative, Ministry of Information and Broadcasting

informed the Committee about the proposed insertion of new Section 12 regarding the
suspension or cancellation of certificate of registration by Press Registrar for certain
instances mentioned therein. In this regard Committee sought to clarify, if the proposed
entrustment of power to cancel certificate of registration to the Press Registrar would afford
their opportunity of being heard. The Committee made sure that the freedom of Press is not
compromised by the changes, the administrative Ministry is proposing to incorporate. The
28
Committee further queried about the availability of provision for appeal in the Act, the
Ministry representative apprised that remedy lies in Section 8, which provides for opportunity
for appeal against the order.
2.12.2A On being enquired by the Committee about the role of the District Magistrate, the
representative from the Ministry explained as under:
“Every newspaper has to file a declaration before the District Magistrate, from where it
comes to the Press Registrar. If we are cancelling somebody’s registration or
suspending, the DM should be aware of the fact that this order has been passed by the
Press Registrar General.”
2.12.3. The Committee analyzed and noted as under:
“For suspension and cancellation, they may defend it. So, full opportunity of hearing is
there. Even if the order is passed prejudice to the interest of any person, remedy of
appeal is there.”
2.12.4. Further, the Committee observed that a person can also approach the court of law
under Article 226 for violation of fundamental right. The Committee deliberated in detail on
all the amendments proposed in the Press and Registration of Books Act, 1867 in the Jan
Vishwas (Amendment of Provisions) Bill, 2022.
2.13. Suggestions by the Committee:
2.13.1. After detailed discussions, the Committee agreed, in principle, to the amendments
proposed to the Press and Registration of Books Act, 1867, specified at serial no. 1 of the
Schedule to the Bill and decided to consider the suggestions/modifications, if required,
during clause-by-clause consideration. The Committee, however, suggested that in section
19K, the words “liable for” should be substituted for the words “punishable with”.
29
The Indian Post Office Act, 1898
[Serial No. 2 of the Jan Vishwas (Amendment of Provisions) Bill, 2022]
2.14. Administering Ministry: Ministry of Communications

[Department of Posts]
2.15. Purpose of the Act: Indian Post Office Act, 1898 is the sole Act being
administered by the Department of Posts. Indian Post Office Rules, 1933 serve as
subordinate legislation. The Indian Post Office Act of 1837 was enacted to bring about
uniformity in postal operations. This Act was followed by a more comprehensive Indian Post
Office Act of 1854 which laid the foundation of modern-day postal system in the country.
The Indian Post Office Act of 1898 further strengthened the postal system in the country.
2.16. Amendments proposed to the Act: This Bill, as introduced, propose to omit
Chapter X of the Indian Post Office Act, 1898. Accordingly, the following existing Sections
(Sections 49 to 56 and 58 to 72)(Section 57 already omitted by the Financial Act 1950) are
proposed to be omitted:
Sl. Sections Existing Provision

No.
1. Section Penalty for misconduct of person employed to carry or deliver
49 mail bags or postal articles.-
Whoever, being employed to carry or deliver any mail bag or any
postal article in course of transmission by post, -
(a) is in a state of intoxication while so employed, or
(b) is guilty of carelessness or other misconduct, whereby the safety of
any such mail bag or postal article as aforesaid is endangered, or
(c) loiters or makes delay in the conveyance or delivery of any such
mail bag or postal article as aforesaid, or
(d) does not use due care and diligence safely to convey or deliver any
such mail bag or postal article as aforesaid,
shall be punishable with fine which may extend to fifty rupees.
2 Section Penalty for voluntary withdrawal from duty, without
50 permission or notice, of person employed to carry or deliver mail
bags or postal articles.-Whoever, being employed to carry or deliver
any mail bag or any postal article in course of transmission by post,
voluntarily withdraws from the duties of his office without permission or
without having given one month's previous notice in writing, shall be
punishable with imprisonment which may extend to one month, or with
fine which may extend to fifty rupees, or with both.
3 Section Penalty for making false entry in register kept by person
51 employed to carry or deliver any postal articles.-
Whoever, being employed to carry or deliver any postal article in
course of transmission by post and required while so employed to
keep any register, makes, or causes or suffers to be made, any false
entry in the register with intent to induce the belief that he has visited a
30
place, or delivered a postal article, which he has not visited or
delivered, shall be punishable with imprisonment for a term which may
extend to six months, or with fine which may extend to one hundred
4 Section Penalty for theft, dishonest misappropriation, secretion,
52 destruction, or throwing away of postal articles.-
Whoever, being an officer of the post office, commits theft in respect
of or dishonestly misappropriates, or for any purpose whatsoever,
secretes, destroys or throws away, any postal article in course of
transmission by post or anything contained therein, shall be
punishable with imprisonment for a term which may extend to seven
years, and shall also be punishable with fine.
5 Section Penalty for opening, detaining or delaying postal articles.-
53 Whoever, being an officer of the Post Office, contrary to this duty,
opens, or causes or suffers to be opened, any postal article in course
of transmission by post, or wilfully details or delays, or causes or
suffers to be detained or delayed, any such postal article, shall be
punishable with imprisonment for a term which may extend to two
years, or with fine or both.
Provided that nothing in this Section shall extend to the opening,
detaining or delaying of any postal article under the authority of this
Actor in obedience to the order in writing of the Central Government or
the direction of a competent Court.
6 Section Penalty for fraud in connection with official marks and for receipt
54 of excess postage.- Whoever, being an officer of the Post Office.-
(a) fraudulently puts any wrong official mark on a postal article, or
(b) fraudulently alters, removes or causes to disappear an official mark
which is on a postal article, or
(c) being entrusted with the delivery of any postal article, knowingly
demands or receives any sum of money in respect of the postage
thereof which is not chargeable under this Act, shall be punishable
with imprisonment for a term which may extend to two years, and shall
also be punishable with fine.
7 Section Penalty for fraudulently preparing, altering, secreting or
55 destroying Post Office documents.-Whoever, being an officer of the
Post Office entrusted with the preparing or keeping of any document,
fraudulently prepares the document incorrectly, or alters or secretes or
destroys the document, shall be punishable with imprisonment for a
term which may extend to two years, and shall also be punishable with
fine.
8 Section Penalty for fraudulently sending unpaid postal articles.-
56 Whoever, being an officer of the post office, sends by post, or puts into
any mail bag, any postal article upon which postage has not been paid
or charged in the manner prescribed by this Act, intending thereby to
defraud the government of the postage on such postal article shall be
years and shall also be punishable with fine.
9 Section Penalty for contravention of Section 4.- (1) Whoever-
58 (a) conveys otherwise than by post, a letter within the exclusive
31
privilege conferred on the Central Government by Section 4 or
(b)performs any service incidental to conveying, otherwise than by
post, any letter within the exclusive privilege aforesaid, or
(c) sends, or tenders or delivers in order to be sent, otherwise than by
post, a letter within the exclusive privilege aforesaid, or
(d) makes a collection of letters excepted from the exclusive privilege
aforesaid for the purpose of sending them otherwise than by post,
shall be punishable with fine which may extend to fifty rupees for every
such letter.
(2) Whoever, having already been convicted of an offence under this
section, is again convicted thereunder, shall, on every such
subsequent conviction, be punishable with fine which may extend to
five hundred rupees.
10 Section Penalty for contravention of Section 5.- (1) Whoever, in
59 contravention of the provision of section 5, carries, receives, tenders or
delivers letters, or collects letters, shall be punishable with fine which
may extend to fifty rupees for every such letter.
(2) Whoever, having already been convicted of an offence under this
section, is again convicted thereunder, shall, on every such
subsequent conviction, be punishable with fine which may extend to
five hundred rupees.
11 Section Penalty for breach of rules under Section 16.-
60 Whoever, being appointed to sell postage stamps,-
(a) takes from any purchaser for any postage stamp or quantity of
postage stamps a price higher than that fixed by any rule made under
section 16, sub-Section (3), clause (a), shall be punishable with
imprisonment for a term which may extend to six months, or with fine
which may extend to two hundred rupees, or with both; or
(b) commits a breach of any other rule under Section 16, shall be
punishable with fine which may extend to two hundred rupees.
12 Section Penalty for contravention of section 19, 19A or 20. – (1) whoever,
61 in contravention of the provisions of section 19 or section 19A or
section 20, sends or tenders or makes over in order to be sent by post
any postal article or anything, shall be punishable with imprisonment
for a term which may extend to one year, or with fine, or with both.
(2) The detention in the Post Office of any postal article on the ground
of its having been sent in contravention of the provisions of section 19
[or section 19A] or section 20, shall not exempt the sender from any
proceedings which might have been taken if the postal article had
been delivered in due course of post.
13 Section Penalty for defiling or injuring post office letter boxes. – Whoever
62 places in or against any letter box provided by the post office for the
reception of postal articles any fire, match or light, any explosive,
dangerous, filthy, noxious or deleterious substance, or any fluid or
commits a nuisance in or against any such letter box, or does anything
likely to injure any such letter box or its appurtenance or contents,
shall be punishable with imprisonment for a term which may extend to
one year or with fine or with both.
14 Section Penalty for affixing without authority thing to, or painting, tarring
63 or disfiguring post office or post office letter-boxes.- Whoever,
32
without due authority, affixes any placard, advertisement, notice, list,
document, board or other thing in or on, or paints, tars or in any way
disfigures any post office or any letter-box provided by the Post Office
for the reception of postal articles, shall be punishable with fine which
may extend to fifty rupees.
15 Section Penalty for making false declaration.- Whoever, being required by
64 this Act to make a declaration in respect of any postal article to be sent
by post or the contents or value thereof, makes in his declaration any
statement which he knows , or has reason to believe, to be false, or
does not believe to be true, shall be punishable with fine which may
extend to two hundred rupees, and, if the false declaration is made for
the purpose of defrauding the Government, with fine which may extend
to five hundred rupees.
16 Section Penalty for master of ship failing to comply with the provisions of
65 section 40 or 41. - Whoever, being the master of a ship,-
(a) fails to comply with the provisions of section 40, or
(b) without reasonable excuse, the burden of proving which shall lie on
him, fails to deliver any postal article or mail bag or to comply with the
directions of the officer-in-charge of the post office at a port of arrival,
as required by section 41,
shall be punishable with fine which may extend to one thousand
rupees.
17 Section Penalty for detention of letters on board vessel arriving in port.-
66 (1) Whoever, being either the master of ship arriving at any port in
India or any one on board, knowingly has in his baggage or in his
possession or custody, after the postal articles on board or any of
them have been sent to the post office at the port of arrival, any postal
article within the exclusive privilege conferred on the Central
Government by section 4, shall be punishable with fine which may
extend to fifty rupees for every such postal article as aforesaid.
(2) Whoever, being such master or other person as aforesaid, detains
any such postal articles as aforesaid after demand made for it by an
officer of the Post Office,
shall be punishable with fine which may extend to one hundred rupees
for every such postal article.
18 Section Penalty for detaining mails or opening mail bag.- Whoever, except
67 under the authority of this Act or of any other Act for the time being in
force or in obedience to the order in writing of the Central Government
or the direction of a competent Court, detains the mail or any postal
article in course of transmission by post, or on any pretence opens a
mail bag in course of transmission by post, shall be punishable with
fine which may extend to two hundred rupees :
Provided that nothing in this section shall prevent the detention of an
officer of the post office carrying the mails or any postal article in
course of transmission by post, on a charge of having committed an
offence declared to be cognizable by the Code of Criminal Procedure,
1898 (5 of 1898), or any other law for the time being in force.
19 Section Penalty for retaining postal articles wrongly delivered or mail
68 bags. – Whoever fraudulently retains or wilfully secretes or makes
away with, or keeps or detains, or when required by an officer of the
33
post office, neglects or refuses to deliver up, any postal article in
course of transmission by post which ought to have been delivered to
any other person, or a mail bag containing a postal article, shall be
years, and shall also be punishable with fine.
20 Section Penalty for unlawfully diverting letters.- Whoever, not being an
69 officer of the Post Office, wilfully and maliciously, with intent to injure
any person, either opens or causes to be opened any letter which
ought to have been delivered, or does any act whereby the due
delivery of a letter to any person is prevented or impeded, shall be
punishable with imprisonment for a term which may extend to six
months, or with fine which may extend to five hundred rupees, or with
both :
Provided that nothing in this Section shall apply to a person who does
any act to which the section applies, if he is a parent, or in the position
of a parent or guardian, of the addressee, and the addressee is a
minor or a ward.
21 Section Penalty for abetting or attempting to commit, offences under Act.
70 – Whoever, abets the commission of any offence punishable under
this Act or attempts to commit any offence so punishable, shall be
punishable with the punishment provided for that offence.
22 Section Property in cases of offences to be laid in the Post Office.- In
71 every prosecution for an offence in respect of a mail bag or of any
postal article sent by post, it shall be sufficient, for the purpose of the
charge, to describe the mail bag or postal article as being the property
of the Post Office, and it shall not be necessary to prove that the mail
bag or postal article was of any value
23 Section Authority for prosecutions under certain sections of Act.- No
72 Court shall take cognizance of an offence punishable under any of the
provisions of sections 51, 53, 54, clauses (a) and (b), 55, 56, 58, 59,
61, 64, 65, 66 and 67 of this Act, unless upon complaint made by order
of, or under authority from, the Director General or a Post Master
General.
2.17. Submissions by the Ministry:
2.17.1. The Ministry of Communications in their Background note informed that the
Department of Posts proposes the repeal of twenty-three Sections of the Indian Post Office
Act, 1898 for decriminalization of minor violations under the Act and thereby entirely
decriminalizing the Act. All these 23 provisions are covered under Chapter X 'Penalties and
Procedures' of the Indian Post Office Act, 1898.
2.17.2. It further informed that the Review of the Indian Post Office Act, 1898, for
decriminalization of minor violations under the Act, was carried out by an internal Committee
in the Department in the month of July, 2022. The Sections of the Act, containing criminal
liability in their overall context of criminal jurisprudence in India and with reference to all
relevant considerations, especially with reference to other Acts / Rules available for similar
offences in the country.
34
2.17.3. As regards the reasons for proposed amendments, the Ministry in its note
submitted following details:
(i) Criminal provisions of IPO Act, 1898 applicable to workforce of the

Department which can be repealed in view of other extant Rules, laws and
provisions that can be applied to serve the same purpose. (Sections
49,50,51,52,53,54,55 ,56 & 60 fall in this category).
(ii) Criminal provisions of IPO Act, 1898 that have become outdated and are not
relevant anymore.(Sections 58,59, 65 & 66 fall in this category).
(iii) Criminal provisions of IPO Act, 1898 with comparable provisions in

enforcement Laws like Indian Penal Code, 1860, Narcotics Drugs and Psychotropic
substances act, 1985, Transportation of dangerous Goods Act, 1992, Customs Act,
1962, Protection of Children from Sexual Offences Act, 2012, Indecent
Representation of Women (Prohibition) Act, 1986, Public Property (Prevention of
Damage) Act, 1985 etc. (Sections 61,62,63,64,67,68,69 fall in this category).
(iv) Some non- criminal provisions which will become non-relevant since they
are linked to the above sections recommended for repeal (Sections 70,71 & 72 fall
in this category).
2.17.4. In view of the above, it is proposed to repeal all sections of the Indian Post Office
Act, 1898.
2.18. Discussion in the sitting of the Committee:
2.18.1. During the sitting of the Committee held on 9th February, 2023, the
representatives from the Department of Posts briefed the Committee on the proposed
omissions of Chapter X in the Bill. It was elaborated by the Department that the entire
Chapter X of the Indian Post Office Act, 1898 has been touched for omission primarily
because either the provisions have become redundant or obsolete or the same are covered
under other provisions and enactments like the Indian Penal Code, 1860, the Central Civil
Services (Classification, Control and Appeal) Rules, 1965 and various other
enactments/rules.
2.19.1. After the briefing by the Department and discussions on the proposed
omissions, the Committee agreed, in principle, with the amendments proposed to the Indian
Post office Act, 1898, specified at Serial No. 2 of the Schedule to the Bill and decided to
consider the suggestions/modifications, if required, during Clause-by-Clause consideration.
35
The Boilers Act, 1923
2.20. Administering Ministry: Ministry of Commerce and Industry

[Department for Promotion of Industry and Internal
Trade]
2.21. Purpose of the Act: To consolidate and amend the law relating to steam-
boilers.
Sl. Sections Existing Provision Provision, as amended in the Bill

No. introduced in Lok Sabha
1. Section 22- Minor Penalties 22- Minor Penalties
22 Any owner of a boiler who refuses Any owner of a boiler who refuses
or without reasonable excuse or without reasonable excuse
neglects — neglects —
(i) to surrender a provisional order
(i) to surrender a provisional order as required by section 9, or
as required by section 9, or (ii) to produce a certificate or
(ii) to produce a certificate or provisional order when duly called
provisional order when duly called upon to do so under section 15, or
upon to do so under section 15, or (iii) to make over to the new owner
(iii) to make over to the new owner of a boiler a certificate or provisional
of a boiler a certificate or order as required by section 16, or
provisional order as required by
section 16,
shall be punished with fine which
may extend to five thousand
rupees
2. Insertion Nil (iv) to report an accident to a
in boiler or boiler component when
Section so required under section 18,
22 shall be punished with fine which
may extend to five thousand rupees
3. Section 23- Penalties for illegal use of Section 23- Penalties for illegal
23 boiler use of boiler
Any owner of a boiler who, in any Any owner of a boiler who─
case in which a certificate or (a) in any case in which a
provisional order is required for certificate or provisional order
the use of the boiler under this is required for the use of the
Act, uses the boiler either without boiler under this Act, uses the
any such certificate or order boiler either without any such
36
being in force or at a higher certificate or order being in
pressure than that allowed force or at a higher pressure
thereby shall be punishable with than that allowed thereby,
fine which may extend to one (b) uses or permits to be used a
lakh rupees, and in the case of a boiler which has been
continuing offence, with an transferred from one State to
additional fine which may extend another without such
to one thousand rupees for each transfer having been
day after the first day in regard to reported as required under
which he is convicted of having clause (b) of section 6,
persisted in the offence. (c) fails to cause the register
number allotted to the boiler
under this Act to be
permanently marked on the
boiler as required by sub-
section (6) of section 7,
shall be liable for fine which
may extend to one lakh
rupees, and in the case of a
continuing offence, with an
additional fine which may
extend to one thousand
rupees for every day during
which such offence continues.
3. Section 24-Other penalties Proposed for omission in the Bill,

24 Any person who— as introduced.
(a) uses or permits to be used
a boiler of which he is the owner
and which has been transferred
from one State to another without
such transfer having been
reported as required by section
6, or
(b) being the owner of a boiler

fails to cause the register number
allotted to the boiler under this
Act to be marked on the boiler as
required by sub-section (6) of
section 7, or
(d) fails to report an accident to

a boiler or steam-pipe when so
required by section 18, or
2.23. Submission by the Ministry:
2.23.1. The Department for Promotion of Industry and Internal Trade has proposed to
amend Sections 22, 23 and 24 of the Boilers Act, 1923. The Department, in their
37
background note, has stated that the subject “Boiler” falls in the concurrent list given in the
seventh schedule to the Constitution of India and administration of the Boilers Act, 1923
which is a Central Act is being carried out by the Inspectorate of Boilers of the States in their
respective territories. The Act provides for safety of life and property from the danger of
boiler explosions. There are more than 41000 boilers in the country. The aforesaid
Amendments have been proposed to benefit boiler users in large and small scale sector in
Power Plants, Chemical Plants, Steel Plants, Sugar Mills etc.
2.24.1. During their sitting held on 31st January, 2023, the Committee held in depth
discussions on the amendments proposed by the Department. The Committee observed
that where there is a provision for imprisonment, then the fine may also be retained for the
court adjudicating the imprisonment will also look into the fine and that process goes
concurrently; but where the punishment for imprisonment is being removed, there should not
be any fine, there must be a penalty. A person need not approach to court of law for a small
fine of five thousand rupees. The intent of the Committee is crystal clear that the Committee
do not want to burden the courts. The Committee has to examine the litigation potential.
The Committee also opined that quasi-judicial authority might be created that would be
competent to impose and recover penalty.
2.24.2. The representative from the Department submitted that they would be required
to held consultation once again with the States and ponder over this.
2.25.1. After detailed deliberations and clarifications on the amendments proposed, the
Committee decided to consider inter alia the following suggestions/modifications to the
amendments proposed to the Boilers Act, 1923 specified at Serial No. 3 of the Schedule to
the Bill during clause-by-clause consideration:
(i) The fine related provision should be replaced with penalty provision.
(ii) In case of Penalties, where the penalty amount is high, Adjudication and Appellate
mechanism may be proposed and where the penalty amount is less, adjudication
mechanism is not required.
(iii) Whether the amendments to the Acts can have a retrospective effect.
38
The Indian Forest Act, 1927
[Serial. No. 4 of the Jan Vishwas (Amendment of Provisions) Bill, 2022]
2.26. Administering Ministry: Ministry of Environment, Forests and Climate Change
2.27. Purpose of the Act: The Indian Forest Act, 1927 has been enacted to
consolidate the law relating to forests, the transit of forest-produce and the duty leviable
on timber and other forest-produce. It provides legal framework of forest administration
and management for all States/UTs. Various States from time to time have carried out
amendments in the relevant sections while implementing the provisions of the Act.
Sl. Sections Existing Provision Provisions as amended in the Bill

1 Section (1) Any person who- Clauses (d) and (e) have been
26 proposed for omission in the Bill, as
(d) trespasses or pastures cattle, introduced.
or permits cattle to trespass; or
(e) causes any damage by

negligence in felling any tree or
cutting or dragging any timber,
shall be punishable with

imprisonment for a term which
may extend to six months, or with
fine which may extend to five
hundred rupees, or with both, in
addition to such compensation for
damage done to the forest as the
convicting Court may direct to be
paid.
2 Insertion Nil (1A) Any person who, in a reserved
of new forest-
sub-
section (a) trespasses or pastures cattle, or
(1A) after permits cattle to trespass;
sub-
section (b) causes any damage by
(1) in negligence in felling any tree or
Section cutting or dragging any timber,
26
shall be liable to pay fine which may
extend to five hundred rupees, in
addition to such compensation for
damage done to the forest as the
39
Court may direct to be paid.
3 Section 33. Penalties for acts in Clauses (e), (f) and (g) have been
33 contravention of notification proposed for omission in the Bill, as
under section 30 or of rules introduced.
under section 32.-- (1) Any
person who commits any of the
following offences, namely:–
x xxxx
(e) leaves burning any fire

kindled by him in the vicinity of
any tree reserved under section
30, whether standing fallen or
felled, or closed portion of any
protected forest;
(f) fells any tree or drags any

timber so as to damage any tree
reserved as aforesaid; or
(g) permits cattle to damage any

such tree,

hundred rupees, or with both.
4 Insertion Nil (1A) Any person who commits any
of new of the following offences, namely:-
sub-
section (a) leaves burning any fire kindled
(1A) after by him in the vicinity of any tree
sub- reserved under section 30, whether
section standing, fallen or felled, or closed
(1) in portion of any protected forest;
Section
33 (b) fells any tree or drags any timber
so as to damage any tree reserved
as aforesaid;
(c) permits cattle to damage any

such tree,
shall be liable to pay fine which may

extend to five hundred rupees.
40
2.29.1. Expounding on the need for the proposed amendment, the Ministry have in
their background note submitted as under:
“The Indian Forest Act, 1927 prescribes penalties for certain acts which are
prohibited in forests. In case of non-compliance or contravention of the provisions of
the IFA, 1927, or of the rules or directions issued under the said Act, the violator/
offender shall be punished with imprisonment and fines. At times, there are difficulties
in differentiating between a major and minor offence and because of that
punishments are often not distinct. Hence, it is required to incorporate differentiated
penal provisions in the Act by amending IFA, 1927. Concerns have been raised with
regard to the imprisonment provision for minor violations which are simple
infringements not leading to any injury to human or significant damage to forest.
Further, the imprisonment provision, may cause harassment to citizens, especially to
forest dwelling communities and forest dependent people living in and around forest,
for simple non-compliance.
2.29.2. As regards the rationale behind the proposed amendment, the Ministry have
stated:
“The Indian Forest Act,1927 provides for the penalty of imprisonment for some
minor offences/violations. Imprisonment provision for such minor
violations/noncompliance to leading to significant injury to human or damage to
forest do not merit such penalty.
 The imprisonment provision for some minor offence is not justifiable as

the criminal provisions may cause harassment to citizens, especially forest
dwelling communities and forest dependent people.
Considering the above, it is proposed that imprisonment for minor lapses

shall be removed in certain cases. Hence, the amendments in IFA, 1927 seeks
to curtail harassment of people for simple violations such as trespasses of
cattle, causing damage by negligence in felling any tree or cutting or dragging
any timber. The present bill for amendment of the Indian Forest Act, 1927 shall
eliminate the fear of imprisonment especially for forest dependent people for
minor lapses.
2.29.3. Giving the benefits of carrying out the proposed amendments, the Ministry have
inter-alia submitted that the amendments shall:
(a) Send out a clear message to the law-abiding people, about the Government’s
commitments to remove harassment.
(b) Create an atmosphere of trust based governance.
(c) Eliminate the fear of imprisonment on minor lapses among the tribal and forest
dwelling communities.
(d) Reduce litigation for prosecution under minor offences.
41
2.30.1. During the sitting held on 17th January, 2023, the Committee sought to know
why the Ministry seeks to bring about amendment in Section 26 (d) of the Act. The
representative of the Ministry inter-alia informed that in the reserve forest, the grazing
rights of the cattle grazers have been settled elsewhere by the forest settlement officer
and the penalty imposed would act as mental deterrent to prevent cattle trespass.
2.30.2. On being asked how grazing by cattle would harm the reserve forests, the
Ministry replied as under:
“जो नेचरु ल रीजन रे ट्स हैं, जो छोटे -छोटे पौधे ननकलते हैं, वे कुचल जाते हैं। आप दे खेंगे कक
ककसी भी फॉरे स्ट्ट ववलेज के पास वाले जंगल पूरे ज डग्रडेड होते हैं, जैसे ही अंदर जाते हैं, वे
ठीक रहते हैं। इसका कारण यही है कक जइननशयल स्ट्टे ज में कैटल प्रेशर इतना ज्यादा रहता
है कक सारे पौधे दि जाते हैं।
दस
ू रा, वहााँ की लमट्टी कॉम्पैक्ट हो जाती है । लमट्टी कॉम्पैक्ट हो जाएगी तो वहााँ जजमनेशन
नहीं हो पाता है । कैटल के आने से काफी प्रभाव पड़ता है । यही कारण है कक पैरीफेरी में
हमारा फॉरे स्ट्ट िहुत खराि होता है ।”
2.30.3. The Committee also sought to know why the penalty amount has been kept
the same for both Section 26 (d) as well as Section 26 (e). The Ministry informed that
13 of the states in the country have their own Forest Act and most of the states have
their own penal provisions. The Committee were also informed that once consent of
Government of India has been taken by the States to bring about their own provisions
by way of amendment, the same shall have an overriding over the Central provisions.
2.30.4. On being asked whether any adjudication authority is available under the Act
which can adjudicate on the penalty being imposed under Section 26 and Section 33 the
Ministry replied in affirmative.
2.31.1. After detailed discussions and clarifications on the amendments proposed, the
Committee decided to consider, inter alia, the following modifications to the amendments
proposed to the Indian Forest Act, 1927, specified at Serial No. 4 of the Schedule to the Bill,
during Clause-by-Clause consideration.
Section 26: i) The word “fine” may be replaced by “penalty”.
(ii) Penalty of up to Rs. 500 may be kept for violation of section 26 (1) (d) of
the Act.
(iii) Section 26 (1)(d) and (e) of original Act, are to be made compoundable
and an adjudicating officer be authorized to charge the penalty or
determine the compensation for damage.
42
(iv) Increase penalty from Rs 500 to Rs. 5000 for violation of section 26 (1)
(e) of the Act.
Section 33: (i) The word “fine” may be replaced by “penalty”.
(ii) Increase penalty of Rs 500 to Rs 5000 for violations of section 33(e)

and (f) of the Act.
(iii) Section 33 (1) (e) and (f) of original Act, be made compoundable and
authorize an adjudicating officer to charge the penalty or determine the
compensation for damage.
(iv) Omission of Section 33 (1) (g).
43
The Agricultural Produce (Grading & Marking) Act, 1937
2.32. Administering Ministry: Ministry of Agriculture & Farmers’ Welfare

[Department of Agriculture & Farmers Welfare]
2.33. Purpose of the Act: The Agricultural Produce (Grading and Marking) Act, 1937
and the rules made there under broadly mandates the Central Government to:
(i) notify the standards, popularly called Agmark standards, containing two to
three quality grades for grading and marking of agricultural and other produce;
and
(ii) provide the procedure to undertake certification of agricultural and other

produce under the brand Agmark.
Sl. Sections Existing Provision Provisions as amended in the

No. Bill introduced in Lok Sabha
1 Insertion of Nil (ga) holding inquiry to impose
clause (ga) in penalty under sub-section (1) of
Section 3(2) section 5C;
2 Insertion of Nil (gb) preferring appeal under sub-
clause (gb) in section (1) of section 5D.
Section 3(2)
3 Section 4 4. Penalty for un-authorised 4. Penalty for un-authorised
marking with grade marking with grade
designation mark. – designation mark. –
Whoever marks any scheduled Whoever marks any scheduled
article with a grade designation article with a grade designation
mark, not being authorised to mark, not being authorised to do
do so by rule made under so by the rule made under
Section 3, shall be punishable section 3, shall be punishable
with imprisonment for a term with penalty of five lakh
not exceeding six months and rupees.
fine not exceeding five
thousand rupees.
4 Section 5 5. Penalty for counterfeiting 5. Penalty for counterfeiting
grade designation mark.-- grade designation mark.--
Whoever counterfeits any Whoever counterfeits any grade
grade designation mark or has designation mark, or has in his
in his possession any die, possession any die, plate or
plate or other instrument for other instrument for the purpose
the purpose of counterfeiting a of counterfeiting a grade
grade designation mark, shall designation mark, shall be
be punishable with punishable with penalty of eight
imprisonment for a term not lakh rupees.
44
exceeding three years and fine
not exceeding five thousand
rupees.
5 Section 5A 5A. Penalty for selling 5A. Penalty for selling
misgraded articles.-- misgraded articles.--
Whoever sells any scheduled Whoever sells any scheduled
article which is misgraded shall article which is misgraded shall
be punishable with be punishable with penalty of
imprisonment for a term not three lakh rupees."
exceeding six months and fine
rupees.
6 Section 5B (4) 5B. Power to prescribe 5B. Power to prescribe
compulsory grade compulsory grade
designations in respect of designations in respect of
certain articles.— certain articles.--
(4)Whoever contravenes the (4) Whoever contravenes the
provisions of this section shall provisions of this section shall be
be punishable with punishable with penalty of five
imprisonment for a term not lakh rupees.
rupees.
7 Section 5C 5C. Institution of 5C. Adjudicating officer.-- (1)
prosecution.—No court shall The Central Government may,
take cognizance of an offence for the purposes of determining
punishable under this Act the penalties under sections 4, 5,
except upon a complaint in 5A and 5B, appoint an officer not
writing made by— below the rank of Deputy
(a) the Central Government or Secretary to the Government of
the State Government or any India or an officer not below the
officer authorised by it in rank of Deputy Secretary to the
writing; or State Government, to be
(b) the person aggrieved; or adjudicating officer to hold an
(c) a recognised consumer inquiry in the manner, as may be
association, whether the prescribed and to impose
person aggrieved is a member penalty:
of that association or not.
Explanation.—For the Provided that the Central
purposes of this section, Government may appoint as
“recognised consumer many adjudicating officers as
association” means a voluntary may be required.
consumer association (2) The adjudicating officer may
registered under the summon and enforce the
Companies Act, 1956 (1 of attendance of any person
1956) or any other law for the acquainted with the facts and
time being in force. circumstances of the case to give
evidence or to produce any
document, which in the opinion of
the adjudicating officer, may be
45
useful for, or relevant to, the
subject-matter of the inquiry and
if, on such inquiry, he is satisfied
that the person concerned has
failed to comply with the
provisions of sections 4, 5, 5A,
5B, he may impose penalty:
Provided that no such penalty
shall be imposed without giving
the person concerned an
opportunity of being heard in the
matter.
8 Insertion of Nil 5D. Appeal.- (1) Any person
new Section 5D aggrieved by the order, passed
by the adjudicating officer under
section 5C may prefer an appeal
to the Agricultural Marketing
Adviser, Government of India
within thirty days from the date
on which the copy of the order
made by the adjudicating officer
is received by the aggrieved
person in such manner as may
be prescribed.
(2) The Agricultural Marketing
Adviser may, after giving the
parties to the appeal an
opportunity of being heard, pass
such order as he may thinks fit,
confirming, modifying or setting
aside the order appealed against.
(3) The Agricultural Marketing
Adviser referred to in sub-section
(1) shall dispose of the appeal
within sixty days from the date of
filing the appeal.
9 Insertion of Nil 5E. Recovery.--
new Section 5E Notwithstanding anything
contained in this Act, if penalty
imposed by adjudicating officer
under section 5C or the
Agricultural Marketing Adviser
under section 5D, as the case
may be, is not deposited, the
amount shall be recovered as an
arrears of land revenue.
46
2.35.1. In their background note submitted to the Committee, the Department of

Agriculture and Farmers Welfare (Ministry of Agriculture and Farmers’ Welfare) submitted:
The Agricultural Produce (Grading and Marking) Act, 1937 is implemented by

Directorate of Marketing & Inspection (DMI), an attached office of DA&FW with its
Headquarters at Faridabad and Regional and Sub - Offices spread across the
country.
Agmark certification is a voluntary scheme except for food products like Blended
Edible Vegetable Oil, Fat Spread, which are mandated by Food Safety and
Standards (Prohibition and Restriction on Sale) Regulations, 2011.
2.35.2. Elaborating on the need for the proposed amendments, the Ministry in their
background note submitted as under:
“In sync with national policy to reform and decriminalize the policies and laws
to promote ease of doing business and ease of life, Dept. of Agriculture and Farmers
Welfare (DA&FW) has identified the Agriculture Produce (Grading & Marking) Act,
1937 to decriminalize by completely removing the imprisonment clauses and
substituting the same by monetary penalties. The imprisonment clauses existed in
four sections, namely 4, 5, 5A and 5B of the Act.
Department undertook consultation with the stakeholders like Agmark packers

/ manufacturers, graders / quality analysts and State Government officials to arrive at
the conclusion for need of decriminalizing the aforesaid law. Thus, considering the
discussions in the administrative Ministry /Department, suggestions of NITI Aayog
and Department of Promotion of Industry and Internal Trade (DPIIT) and further
stakeholder consultation with respect to amendment provisions, the proposal to
decriminalize the imprisonment penal provisions was decided. Furthermore, to arrive
at the reasonable monetary amount for penalty it was benchmarked with the similar
provisions of Food Safety and Standards (FSS) Act, 2006.
The proposed decriminalization amendments in the aforesaid Act would

facilitate in development of supportive ecosystem for food and agribusiness. Further,
the proposed amendment would also make the Act more implementable.
The beneficiary of the proposed amendment provisions of aforesaid Act under

umbrella Bill of “the Jan Vishwas (Amendment of Provisions) Bill, 2022” would largely
be manufacturers/packers/Food business operators, who grade and mark the raw or
processed commodity in the packaged form under AGMARK. In addition, consumers
who consume agmark product are also the beneficiary. Apart from above, ease of
doing business would encourage manufacturers and packers to grade and mark
more quantities of agricultural produce, creating thereby demand in the market and
indirectly benefitting the farming community in terms of better price realization.”
47
2.36.1. During the sitting held on 16thJanuary, 2023, concerns were raised by the
members of the Committee that the raise of penalty would lead to corruption, extortion and
harassment of micro food enterprises. In this regard, the representative of the Department
submitted as under:
“सर, इसके ललए ककतनी पेनाल्टी लगायी जाए, 8 लाख हो सकती है , 5 लाख हो सकती है , 1
लाख भी हो सकती है या 15 लाख भी हो सकती है , कैसे वह पेनाल्टी ननधाषररत करें , इसके
ललए हम लोगों ने एक स्ट्टे क होल्डर कंस्ट्लटे शन ककया था। जहां पर ये सारे जजतने भी
मैनुफैक्चरसष हैं, पैकसष हैं, उन सभी के साथ मीदटंग हुई थी। स्ट्टे कहोल्डर कंसल्टे शन हुआ था।
नीनत आयोग के साथ और कॉमसष के साथ मीदटंग्स हुई थीं। इसके िाद हमने एफ एस एस ए
आई के साथ िेंचमाकष भी ककया।उनके साथ िेंचमाकष करके यह पेनॉल्टी अराइव ककया गया
है ।”
2.36.2. Asked about the justification for removal of penal provisions in Section 5 of the
Act relating to Penalty for counterfeiting grade design mark, Secretary, Ministry of
Agriculture informed as under:
“Sir, this has been taken back voluntarily. जो रे डसष और मैन्यूफैक्चरसष इसको ले रहे हैं,
वह भी चाहते हैं कक उनके प्रोडक्ट की गुणवत्ता माकेट में स्ट्थावपत हो वह उसके ललए लेते हैं।
अभी तक जजतने लोगों ने भी ललए हैं, लसफष 3 हजार 770 लोगों ने ललया है। िहुत ज्यादा स्ट्केल
में लोगों ने नहीं ललया है । इसमें हर महीने हमारी मोननटररंग होती है , अभी तक इतने िड़े
केस नहीं आए हैं, We can take resort to IPC also. इसमें चचदटंग और काउन्टररकफदटंग इसमें
आ जाते हैं। अगर हमें लगेगा कक कोई जघन्य अपराध हो रहा है तो हम अपनी अथराइजेशन
भी ववड्रा कर सकते हैं।”
2.37.1. After detailed discussions and clarifications on the amendments proposed to be

made in the Act, the Committee decided to consider, inter alia, the following modifications to
the amendments proposed to the Agricultural Produce (Grading and Marking) Act, 1937,
specified at Serial No. 5 of the Schedule to the Bill, during Clause-by-Clause consideration:
Section 5: Enhancement of penalty of eight lakh rupees to fifteen lakh rupees.
Section 5D: Deletion of the word “modifying” in sub-section (2) of section 5D.
Section 5E: Substitution of the words “amount shall be recovered in the same manner
as an arrear of land revenue” for the words “amount shall be recovered as
arrears of land revenue” so as to bring clarity in the expression.
48
The Drugs and Cosmetics Act, 1940
2.38. Administering Ministry: Ministry of Health and Family Welfare

[Department of Health and Family Welfare)]
2.39. Purpose of the Act: The Drugs and Cosmetics Act, 1940 is an Act to regulate the
import, manufacture, distribution and sale of drugs and cosmetics in India. The Act prescribes
penalties for the contraventions of various provisions prescribed in the Act.
Sl. Sections Existing Provision Provision as amended in the

1 Section Whoever, having been Whoever, having been convicted
30(2) convicted of an offence under of an offence under section 29 is
section 29 is again convicted again convicted of an offence
of an offence under the same under the same section, shall be
section shall be punishable punishable with fine which shall
with imprisonment which may not be less than five lakh
extend to two years, or with rupees.
fine which shall not be less
than ten thousand rupees or
with both.
2 Section 32B Notwithstanding anything Notwithstanding anything
(1) contained in the Code of contained in the Code of Criminal
Criminal Procedure, 1973, (2 Procedure, 1973, (2 of 1974) any
of 1974) any offence offence punishable under clause
punishable under clause (b) (b) of sub-section (1) of section
of sub-section (1) of section 13, clause (d) of section 27 and
13, section 28 and section clause (ii) of section 27A,
28A of this Act (whether section 28 and section 28A of
committed by a company or this Act (whether committed by a
any officer thereof), not being company or any officer thereof),
an offence punishable with not being an offence punishable
imprisonment only, or with with imprisonment only, or with
imprisonment and also with imprisonment and also with fine,
fine, may, either before or may, either before or after the
after the institution of any institution of any prosecution, be
prosecution, be compounded compounded by the Central
by the Central Government or Government or by any State
by any State Government or Government or any officer
any officer authorised in this authorised in this behalf by the
behalf by the Central Central Government or a State
Government or a State Government, on payment for
Government, on payment for credit to that Government of such
49
credit to that Government of sum as that Government may, by
such sum as that rules made in this behalf, specify:
Government may, by rules Provided that such sum shall not,
made in this behalf, specify: in any case, exceed the
Provided that such sum shall maximum amount of the fine
not, in any case, exceed the which may be imposed under this
maximum amount of the fine Act for the offence so
which may be imposed under compounded:
this Act for the offence so Provided further that in cases of
compounded: subsequent offences, the same
Provided further that in cases shall not be compoundable.
of subsequent offences, the
same shall not be
compoundable.
2.41.1. The Ministry of Health and family Welfare in their background note has submitted
the following information regarding the proposed amendments in the Act:-
“Section 30(2) of the said Act relates to the fine to be imposed for the
second/subsequent use of a Government analyst report for the purpose of
advertising. which has inherent risk of misuse of forcing/ influencing prescriptions or
self medication, etc. or to get the undue advantage by repeating the same offence.
However, it is felt that the imprisonment provision can be removed and penalty of a
proper fine would be appropriate to address this offence. Hence this provision is
proposed to be decriminalized
Section 29 deals with the fine to be imposed in case of the first time use of such a
report for advertising. The imprisonment clause in Section 30(2) is being proposed to
be removed and the fine increased from ten thousand rupees to upto five lakh
rupees.
Section 32B (1) deals with compounding of offences under the Drugs and Cosmetics
Act. It is proposed to include section 27(d) and section 27A(ii) of the said Act under
the ambit of compounding by inserting them in Section 32B(1).
Section 27(d) deals with the manufacture, sale etc of drugs in contraventions of the
provisions of this Act (other than spurious, adulterated or without a valid license).
Section 27A (ii) deals with the manufacture, sale etc of cosmetics in contraventions
of the provisions of this Act (other than spurious or adulterated cosmetics).
Both the section are related to quality failure. It is felt that the enhanced penalty and
prescribing compounding mechanism in rules would be appropriate to address this
offence. Hence this provision is proposed to be made compoundable and
decriminalized to that extent accordingly.”
50
2.42.1. In this regard, the Secretary, Department of Health and Family Welfare, during
the sitting of the Committee on 7.2.2023, deposed before the Committee as under:
“…………The amendments are proposed in Sections 32, 27(d), 27A(ii) Section 32

deals with penalty for subsequent offences. The proposal is that there was an
imprisonment provision, which could extend to two years, which has been removed.
There was also a provision for fine. In the original Act, the fine was up to Rs.10,000
or with both, that is imprisonment as well as Rs. 10,000 fine. The fine has now been
increased to not less than Rs. 5 lakh. So, from Rs. 10,000 it has become not less
than Rs. 5 lakh, and up to two years imprisonment clause has been removed.
Section 27(d) deals with penalty for manufacture, sale, etc. of certain drugs
other than drugs, which are spurious or adulterated. Here also, there was a provision
of imprisonment for a term, which shall not be less than one year but may extend to
two years. Similarly, in Section 27A (ii) provision there is penalty for manufacture,
sale, etc. of cosmetics. It is a similar as Section 27(d), which focuses on drugs and
Section 27A(ii), which focuses on cosmetics. Here, it was imprisonment up to one
year. So, in both Sections 27(d) as well as 27A(ii) the provision of imprisonment has
been removed and compounding of offences has been included.”
2.42.2. The Committee wanted to know whether Section 32B provides for compounding
of offences. The Secretary, D/o Health & Family Welfare, stated that Section 32(B) being an
omnibus section refers to section 13, 28 and 28(A) of this Act. And to this two more
sections 27 (d) and 27(A) (ii) have been added.
2.42.3. The Committee in this connection wished to know about the rationale for
including these two sections in Section 32B and making them compoundable, the
representatives of the Ministry replied that hypothetically, nothing should be compounded as
all offences under this act are, offences against society.
2.42.4. While deliberating upon the amendments in section 30 (2), the Committee
desired to be apprised about the rational for increasing the penalty for subsequent offence
to Rs. 5 lakh from Rs. 5000 for first offence under Section 29. The Committee suggested
that to reduce this difference the amount of five thousand under section 29 may also be
enhanced to rupees one lakh and fine maybe converted into penalty to ensure
administrative adjudication. The Committee also suggested Ministry to change heading of
Section 29 and use the word ‘punishment’ in it.
2.42.5. The Committee asked Ministry to use word `punishment’ in place of ‘penalty’ in
respect of sections 13, 27, 27A, 28, 28A, 28B, 29, 30 and 33(i) and 33J and also elsewhere,
where the change is required in the Act, after checking its consequential effect.
2.43.1. After detailed discussions and clarifications on the amendments proposed to be

made in the Act, the Committee decided to consider, inter alia, the following modifications to
51
the amendments proposed to the Drugs and Cosmetics Act, 1940, specified at Serial No. 6
of the Schedule to the Bill, during Clause-by-Clause consideration:
Section 29 : Fine to be increased from Rs. 5000 to Rs. 1 lakh
Section 13(3) 27, 27A, 28, 28A, 28B, 29, 30 and 33 (1): Word `penalty’ to be
substituted by `punishment’.
Substitution of the word may be carried out in other sections after checking its
consequential effect.
52
The Public Debt Act, 1944
2.44. Administering Ministry: Ministry of Finance

[Department of Economic Affairs]
2.45. Purpose of the Act: To consolidate and amend the law relating to Government
securities and to the management by the Reserve Bank of India of the public debt of the
Government. The Public Debt Act, 1944 applies to Government securities, created and
issued by the Central Government or a State Government. As per the Act, a “Government
security” means – (A) a security, created and issued, by the Government for raising a public
loan, and having one of the following forms, namely, (i) Stock, (ii) a promissory note payable
to bearer and (iii) a form prescribed in this behalf; (B) any other security created and issued
by the Government in such form and for such of the purposes of this Act as may be
prescribed.
2.45.1. In 2006, the Government enacted the Government Securities Act, 2006 to
consolidate and amend the law relating to Government securities and its management by
the Reserve Bank of India and for matters connected therewith or incidental thereto. Section
1(2) of the Government Securities Act, 2006 states that it applies to the Government
securities created and issued, whether before or after the commencement of this Act, by the
Central Government or a State Government. Further, 31(1) of the Government Securities
Act, 2006 provides that the Public Debt Act, 1944 shall cease to apply to the Government
securities to which Government Securities Act, 2006 is applicable and to all matters for
which provisions have been made by this Act.
2.46. Amendments proposed to the Act
Sl. Section Existing Provision Provision, as amended in the

1. Section 27 Penalty.—(1) If any person, for the Proposed for omission in the
purpose of obtaining for himself or for Bill, as introduced.
any other person any title to a
Government security, makes to any
authority under this Act in any
application made under this Act or in
the course of any inquiry undertaken in
pursuance of this Act any statement
which is false and which he either
knows to be false or does not believe
to be true, he shall be punishable with
imprisonment for a term which may
extend to six months, or with fine or
with both.
(2) No Court shall take cognizance of

any offence under sub-section (1)
except on the complaint of the Bank.
53
The Department of Economic Affairs has proposed to omit sub-section (1) of Section
27 of the Public Debt Act, 1944 and in consequence thereto sub-section (2) of Section 27 of
the Act. In their background note, the Department has given the following rationale for
omitting the said Section:
(i) The existing Public Debt Act, 1944 doesn't explicitly mention the quantum of fine in
the Act. Besides, the Public Debt Act, 1944 coexists with the Government
Securities Act, 2006, for the Government Securities Act, 2006 was not adopted by
the erstwhile state of Jammu and Kashmir.
(ii) Currently, the proposed amendment will not affect any stakeholder as the Public
Debt Act, 1944 co-exists with the Government Securities Act, 2006 just for the
erstwhile state of Jammu and Kashmir. However, post-enactment of the Jammu
and Kashmir Reorganisation Act, 2019, the State of Jammu & Kashmir was
reorganised into two separate Union Territories and, thus, the process of repealing
the Public Debt Act, 1944 is underway thereby making Government Securities Act,
2006 applicable to all states and UTs.
(iii) As confirmed by the Reserve Bank of India, there has not been any instance of
invocation of Section 27 of Public Debt Act, 1944.
During the sitting held on 6thFebruary, 2023, the Committee discussed the proposal
of the Department of Economic Affairs with the representatives of the Department. The
Department briefed the Committee on the proposed amendment regarding omission of
Section 27 of the Public Debt Act, 1944.
2.49.1. After the briefing by the Ministry on the proposed omission of Section 27 of the
Act, the Committee agreed, in principle, with the amendment proposed to the Public Debt
Act, 1944, specified at Sr. No. 7 of the Schedule to the Bill and decided to consider the
suggestions, if required, during clause-by-clause consideration of the Bill.
54
The Rubber Act, 1947
2.50. Administering Ministry: Ministry of Commerce & Industry

[Department of Commerce]
2.51. Purpose of the Act: The Rubber Act 1947 provides for the development [under
the control of the Union] of the rubber industry. The Act provides for the constitution of a
Board for the overall promotion and development of the rubber sector under government’s
guidance and control. The Rubber Act also provided that the government must maintain
control over rubber production for any unexpected exigencies.
2.52. Amendments proposed in the Act:
Sl. Section Existing Provision Provisions as amended in

Sabha
1 Section If any person contravenes any If any person contravenes
11(3) order made under sub-section any order made under sub-
(1), he shall, without prejudice section (1), (of Section 11) he
to any confiscation or penalty shall, without prejudice to any
to which he may be confiscation or penalty to
liable under the provisions of which he may be liable under
the Sea Customs Act, 1878, as the provisions of the Sea
applied by sub-section (2), be Customs Act, 1878, as applied
punishable with imprisonment by sub-section (2), be
for a term which may extend to punishable with penalty
one year or with fine or with which may extend to one
both. lakh rupees or cancellation
of licence issued under
Section 14, or with both.
2 Section If any person buys or sells, or Proposed for omission in the
13(3) agrees to buy or sell, rubber at Bill, as introduced.
a price which is more than the
maximum price, or less than the
minimum price, fixed under
sub- section (1) in that behalf,
he shall be punishable with
may extend to one year, or with
fine, or with both.
3 Section If any person-- If any person--
26(1) (a) contravenes any provision (a) contravenes any provision
of this Act, other than section of this Act, other than section
11 or section 13, or any rule 11 or section 13, or any rule
made under this Act, or made under this Act, or
55
(b) in any report or return to (b) in any report or return to
be furnished under this Act, be furnished under this Act,
makes any statement which is makes any statement which
false and which he knows to is false and which he knows
be false or does not believe to to be false or does not
be true, or believe to be true, or
(c) obstructs any officer of (c) obstructs any officer of
the Board in the discharge of the Board in the discharge
any duty imposed on or of any duty imposed on or
entrusted to him by or entrusted to him by or
under this Act, or under this Act, or
(d) having the control or (d) having the control or
custody of any account book custody of any account book
or other record, fails to or other record, fails to
produce such book or produce such book or
record when required by any record when required by any
authorized officer to do so, he authorized officer to do so, he
shall be punishable with shall be liable to pay penalty
imprisonment for a term which which may extend to fifty
may extend to one year, or thousand rupees.
with fine which may extend to
five thousand rupees, or with
both.
background note have submitted as under:
“The Rubber Act 1947 provides for the constitution of a Board for the overall
promotion and development of the rubber sector under government’s guidance and
control. The Rubber Act also provided that the government must maintain control
over rubber production for any unexpected exigencies. Rubber Act, 1947 had
provisions prescribing criminal penalties for offenses under the Act. Section 11, 13
and 26 stipulates criminal penalty for contravention of provisions under various
Sections of the Act.
i) Sub section (3) of Section 11 stipulates the criminal penalty for contravening
any order issued by the Central Government on prohibiting, restricting or
otherwise controlling the import or export of rubber.
ii) Sub section (3) of Section 13 stipulates the criminal penalty for
contravention of Section 13 (1) relating to control of price – maximum or
minimum of rubber and
iii) Section 26 stipulates criminal penalty for contravention of any provision of

Rubber Act other than Section 11 or Section 13 or for making a false
statement or for obstructing any Officer of the Board in the discharge of his
duties or for failure to produce books and records.
56
The criminal provisions were enacted during a period when restriction and
regulation were the key words. Currently, there is a felt need to decriminalize the
contravention of provisions under the Rubber Act, with a view to facilitate ease of
doing business and to enable trade and commerce in rubber in a liberalized
environment.
Accordingly, amendments have been proposed, vide Sl. No 8 of the Jan

Vishwas (Amendment of Provisions) Bill, 2022, to provisions under Section 11,13 and
26 of Rubber Act, 1947. The jail term and fine provided under Section 11(3) is
proposed to be substituted with penalty which may extend one lakh rupees or
cancellation of licence issued under Section 14 or both. The jail term and fine in
Section 26(1)(d) is proposed to be substituted with penalty which may extend to fifty
thousand rupees. Also, Section 13 of the Rubber Act, which prescribed punishment
of imprisonment for contravention of Section 13(1) of the Act (relating to power to fix
maximum and minimum prices for sale of rubber), has been proposed for deletion,
aiming at de-regulation and trade facilitation.
The stakeholders benefitted by the amendments are rubber dealers,

processors and manufacturers. Decimalization of the provisions in the existing Act
will facilitate ease of doing business and provide fair & equitable benefits to all
stakeholders, thereby ensuring that Rubber Board acts as a facilitator rather than
regulator of the sector and promotes faster growth and development of rubber
industry in a liberalized environment. An approximate number of rubber dealers,
processors and manufacturers who will be benefitted are 8,200, 110 and 4,500,
respectively.”
2.54.1. After briefing by the representatives of the Ministry and clarifications on the
amendments proposed to be made in the Act, the Committee decided to consider, inter alia,
the following modification to the amendments proposed to the Rubber Act, 1947, specified
at Serial No. 8 of the Schedule to the Bill, during Clause-by-Clause consideration:
Section 26: An adjudication mechanism with appellate provisions may be provided

for penalties in the proposed provisions.
57
The Pharmacy Act, 1948

[Department of Health and Family Welfare)]
2.56. Purpose of the Act: The Pharmacy Act, 1948 was enacted to regulate the
profession of pharmacy. Whereas it is expedient to make better provision for the regulation of
the profession and practice of pharmacy and for that purpose to constitute Pharmacy Councils.
2.56.1. Pharmacy Council of India regulates pharmacy education by prescribing the

minimum qualification for registration as a pharmacist to practice the pharmacy profession.
Sl. Sections Existing Provision Provision as amended in the Bill

1 Section Any person willfully obstructing Any person wilfully obstructing an
26A (3) an Inspector in the exercise of Inspector in the exercise of the powers
the powers conferred on him by conferred on him by or under this Act
or under this Act or any rules or any rules made thereunder shall be
made thereunder shall be punishable on first conviction with
punishable with imprisonment fine which may extend to one lakh
for a term which may extend to rupees and on subsequent
six months, or with fine not conviction with fine not exceeding
exceeding one thousand two lakh rupees.
2 Section If any person whose name is not If any person whose name is not for
41 (1) for the time being entered into the time being entered in the register
the register of the State falsely of the State claims that it is so entered
pretends that it is so entered or or uses in connection with his name or
uses in connection with his title any words or letters reasonably
name or title any words or calculated to suggest that his name is
letters reasonably calculated to so entered, he shall be punishable on
suggest that his name is so first conviction with fine which may
entered, he shall be punishable extend to fifty thousand rupees and on
on first conviction with any subsequent conviction with fine
fine which may extend to five not exceeding one lakh rupees:
hundred rupees and on any
subsequent conviction with Provided that it shall not be an
imprisonment extending to six offence if the name of the person is
months or with fine not entered in the register of another State
exceeding one thousand rupees and that at the time of the claim, an
or with both: application for registration in the State
Provided that it shall be a had been made.
58
defense to show that the name
of the accused is entered in the
register of another State and
that at the time of the alleged
offence under this section an
application for registration in the
State had been made.
3 Section Whoever contravenes the (2) Whoever contravenes the
42 (2) provisions of sub-section (1) provisions of sub-section (1) be
shall be punishable with punishable with fine which may
imprisonment for a term which extend to one lakh rupees and on
may extend to six months, or subsequent conviction with fine not
with fine not exceeding one exceeding two lakh rupees.
thousand rupees or with both.
2.58.1. As per the information provided in their background note by the Ministry of
Health and Family Welfare, following provisions are proposed to be amended :-
“Section 26(3) of the said Act deals with the punishment for willfully obstructing an
Inspector in the exercise of the powers conferred on him/her under this Act.
Amendment has been proposed to reduce quantum of imprisonment and to enhance
the fine.
Section 41(1) of the said Act deals with the penalty for falsely claiming to be
registered. Amendment has been proposed to reduce quantum of imprisonment and
to enhance the fine.
Section 42(2) of the said Act deals with the penalty for dispensing of medical
products by unregistered persons. Amendment has been proposed to reduce
quantum of imprisonment and to enhance the fine.”
2.59.1. The representative, the Department of Health and Family Welfare, during the
briefing on the proposed amendments on 7 th February, 2023, informed the Committee that
the Pharmacy Act, 1948 being an old Act needs considerable changes. However, in this
Bill changes have been proposed in section 26 (A) (3) and 41(1). Section 26A, deals with
the inspection by inspectors and willfully obstructing the inspector, while he performs his
duty. The imprisonment in this section has been removed to decriminalise it. The
Committee suggested Ministry to convert `fine’ into `penalty’ as imprisonment has also
been done away with.
2.59.2. The Ministry representatives informed the Committee that there would be need
to incorporate administrative adjudicating mechanism in the Act for realising and recovering
penalty, which is presently not there and committed to incorporate mechanism and
provision for authority in the Act.
59
2.59.3. As regards section 41, which pertains to a person falsely claiming his name to
be entered in Register of the State, maintaining records of licenced pharmacists, the
Ministry informed that imprisonment has been removed from this section.
2.59.4. The Committee suggested Ministry to replace the word Òffence’ in Section 41(1)
and instead ‘violation’ or ‘failure’ may be used. The Committee further suggested Ministry
to not to completely decriminalise section 41(1) and to only reduce punishment to three
months period and increase the amount of fine.
2.59.5. On being asked, if the word ‘punishable’ could be removed in section 42(2) as
41(1) has been partially decriminalised, the representatives, Ministry of Health apprised that
in 42(2) imprisonment should not be removed as it is a serious offence. The Committee
accordingly, suggested to minimise the punishment from 6 months to 3 months and
enhanced fine from one thousand rupees to two lakh rupees.
2.60.1. After detailed discussions, the Committee decided to consider, inter alia, the
following suggestions to the amendments proposed to the Pharmacy Act, 1948, specified at
Serial No. 9 of the Schedule to the Bill, if required, during Clause-by-Clause consideration:
Section 41: (i) Imprisonment to be reduced from six to three months.

(ii) Fine to be enhanced from Rs. One lakh to two lakh rupees.
(iii) Word Òffence” to be substituted by `Violation’.
Section 42(2): Imprisonment to be reduced from 6 months to 3 months and amount of

fine to be increased from one thousand to two lakh rupees.
Section 42(3): Consequential amendments.
60
The Industries (Development and Regulation) Act, 1951

Trade]
2.62. Purpose of the Act: The Act provides the conceptual and legal framework for
industrial development and regulation in India. The Act was framed to bring under Central
control the development and regulation of a number of important industries the activities of
which affect the economic factors which affect the country as a whole. This act was created
initially with the purpose of regulating industries such so that there was greater focus on
mass employment generation through sectors of large transformational consequence. The
act continued to be amended on a small-scale over the years, in an effort to deal with the
immediate economic issues. The Industry policy of 1991 was the most notable amendment
in the act's history, where industrial licensing rules were struck down, opening the door for
stronger participation from the private sector as well as foreign investment, thus allowing
India to start its journey of establishing its place in the world as an economic giant. It has
undergone multiple amendments since its inception whilst still serving as a reference
material for multiple definitions and provisions such as the constitution of the Central
Advisory Council and Development Council.
Sl. Sections Existing Provision Provision, as amended by

Sabha
1. Section (1) If any person contravenes or (1) If any person contravenes
24(1) attempts to contravene or abets the or attempts to contravene or
contravention of— abets the contravention of—
(i) the provisions of sub-section (1) (i) the provisions of sub-section

[or sub-section (4)] of section 10 or (1) [or sub-section (4)] of
of sub-section (1) of section 11 or section 10 or of sub-section (1)
of section 11A or of sub-section (1) of section 11 or of section 11A
of section 13 [or of [sub-sections or of sub-section (1) of section
(2), (2A), (2D), (2F) and (2G) of 13 [or of [sub-sections (2), (2A),
section 29B]], or (2D), (2F) and (2G) of section
(ii) any direction issued under 29B]], or
section 16 or sub-section (3) of (ii) any direction issued under
section 18B, or section 16 or sub-section (3) of
(iii) any order made under section section 18B, or
18G, or (iii) any order made under
(iv) any rule the contravention of section 18G, or
which is made punishable under (iv) any rule the contravention
this section, of which is made punishable
he shall be punishable with under this section,
61
imprisonment which may extend to he shall be punishable with
six months, or with fine which may fine which may extend to
extend to five thousand rupees, or twenty-five lakh rupees.
with both, and, in the case of a
continuing contravention, with an
additional fine which may extend to
five hundred rupees for every day
during which such contravention
continues after conviction for the
first such contravention.
2. Section 24A Penalty for false statements.—If Proposed for omission in the
any person,— Bill, as introduced.
(a) when required by this Act or by
any order under this Act to make
any statement or furnish any
information, makes any statement
or furnishes any information which
is false in any material particular
and which he knows or has
reasonable cause to believe to be
false or does not believe to be true;
or
(b) makes any such statement as

aforesaid in any book, account,
record, declaration, return or other
document which he is required by
any order made under this Act to
maintain or furnish;
he shall be punishable with
imprisonment which may extend to
three months, or with fine which
may extend to two thousand
rupees, or with both.]
amend Section 24 and omit Section 24A of the Industrial (Development and Regulation) Act,
1951. In their background note, the Department has stated that as per Press Note 3 of 2019
dated 11th September, 2019, only following four Industries are covered under compulsory
licensing:
i. Cigars and Cigarettes of tobacco and manufactured tobacco substitutes.
ii. Electronic aerospace and defence equipment.
iii. Industrial Explosives.
iv. Hazardous Chemicals.

62
2.65.1. During the sitting of the Committee held on 31 st January, 2023, the
representatives of the Department gave their presentation on the proposed amendments
before the Committee. They submitted the justification that the amendment proposed in
Section 24 of the Act would lead to improvement in Ease of Doing Business by simplification
of process, reduction in compliance burden and that too without compromising the safety
and national security considerations. As regards omitting Section 24A of the Act, they
submitted that omission of this obsolete penal provision for minor offences is being
proposed for further facilitation of Ease of Doing Business and Ease of Living for all citizens.
The perception of punishment by potential investors and business leads to insecurity and
hampers investment decisions. The above proposal to amend the law having punitive
consequences to replacing with fine would retain the purpose of imposing sanctions having
a deterrent effect on the offender.
2.65.2. The Committee discussed the proposed amendments in detail with the
representatives of the Department. The Committee was of the opinion that to decriminalize
the provision, it would be apt to replace ‘fine’ with ‘penalty’. The Committee also felt that
there is a need to have adjudication and appellate mechanism to impose and recover
penalties.
2.66.1. After detailed deliberations, the Committee decided to consider inter alia the
following suggestions/modifications to the amendments proposed to the Industries
(Development and Regulation) Act, 1951, specified at serial no. 10 of the Schedule to the
Bill, during clause by clause consideration:
(i) The currently prescribed fine may be replaced with penalty.
(ii) In case of Penalties, where the penalty amount is high, Adjudication and Appellate
mechanism may be proposed and where the penalty amount is less, adjudication
mechanism is not required.
(iii) Whether the amendments to the Acts can have a retrospective effect.
63
The Cinematograph Act, 1952
[Serial No. 11 of the Jan Vishwas (Amendment of Provisions) Bill, 2022)]
2.68. Purpose of the Act: The Indian Cinematograph Act of 1952 is a law that
governs the certification of cinematograph films for display and the regulation of
cinematograph exhibits. The Central Board of Film Certification (CBFC) setup under the
Cinematograph Act, 1952 performs the statutory function of certifying films for public
exhibition under the provisions of the Cinematograph Act, 1952. The Cinematograph Act,
1952 is read along with the Cinematograph (Certification) Rules, 1983 and the Central
Government guidelines of 1991 are the statutes from where the CBFC derives its authority.
The Enforcement of Compliance to the Provisions of Cinematograph Act, 1952 is entrusted
to State Govt.

1. Section 7(1) Penalties for contraventions 7. Penalties for contraventions
of this Part.— of this Part.-
(1) If any person— (1) If any person--
(a) exhibits or permits to be (a) without lawful authority (the

exhibited in any place— burden of proving which shall be
on such person), alters or
(i) any film other than a film tampers in any way any film
which has been certified by the after it has been certified, he
Board as suitable for shall be punishable with
unrestricted public exhibition or imprisonment for a term which
for public exhibition restricted may extend to three years or
to adults or to members of any with a fine which shall not be
profession or any class of less than ten lakh rupees, or
persons] and which, when with both.
exhibited, displays the
prescribed mark of the Board (b) exhibits or permits to be
and has not been altered or exhibited in any place, any film:
tampered with in any way (i) which has not been certified
since such mark was affixed by the Board;
thereto, (ii) which, when exhibited does
not display the prescribed mark
(ii) any film, which has been of the Board;
certified by the Board as (iii) which, when exhibited
suitable for public exhibition displays a mark of the Board
restricted to adults, to any which has since been altered, or
person who is not an adult, tampered with after the mark
64
has been affixed,
(iia) any film which has been he shall be punishable with
certified by the Board as imprisonment for a term which
suitable for public exhibition may extend to three years or
restricted to any profession or with fine which may extend to
class of persons, to a person ten lakh rupees, or with both
who is not a member of such and with a further fine which
profession or who is not a may extend to one lakh rupees
member of such class, or']; for each day during which the
offence continues;
(b) without lawful authority
(the burden of proving which (c) exhibits or permits to be
shall be on him), alters or exhibited in any place, a video
tampers with in any way any film in contravention of the
film after it has been certified, provisions of clause (a) or
or clause (b), he shall be
punishable with imprisonment
(c) fails to comply with the for a term which may extend to
provision contained in Section three years or with fine which
6-A or with any order made by may extend to ten lakh rupees,
the Central Government or by or with both, and with a further
the Board in the exercise of fine which may extend to one
any of the powers or functions lakh rupees for each day during
conferred on it by this Act or which the offence continues;
the rules made thereunder, he
shall be punishable with (d) exhibits or permits to be
imprisonment for a term which exhibited any film, which has
may extend to three years, or been certified by the Board as
with fine which may extend to “A” within the meaning of this
one lakh rupees, or with both, Act, to any minor, such person
and in the case of a continuing shall be liable to a penalty not
offence with a further fine exceeding ten thousand rupees
which may extend to twenty per person for every such
thousand rupees for each day exhibition, levied by the
during which the offence authorised officer in the manner
continues: as may be prescribed;
Provided that a person who
exhibits or permits to be (e) exhibits or permits to be
exhibited in any place a video exhibited any film, which has
film in contravention of the been certified by the Board as
provisions of sub-clause (i) of “S'' within the meaning of this
clause (a) shall be punishable Act, to a person who is not a
with imprisonment for a term member of such profession or
which shall not be less than class shall be liable to a penalty
three months, but which may not exceeding ten thousand
extend to three years and with rupees per person for every
fine which shall not be less such exhibition, levied by such
than twenty thousand rupees, authorised officer in such
but which may extend to one manner as may be prescribed;
lakh rupees, and in the case of
65
a continuing offence with a (f) fails to comply with the
further fine which may extend provision contained in Section
to twenty thousand rupees for 6A or with any order made by
each day during which the the Central Government or by
offence continues: the Board in the exercise of any
of the powers or functions
Provided further that a court conferred on it by this Act or the
may, for adequate and special rules made thereunder, he shall
reasons to be mentioned in the be liable to a penalty not
judgment, impose a sentence exceeding five lakh rupees,
of imprisonment for a term of levied by the authorised officer
less than three months, or a and in such manner as may be
fine of less than twenty prescribed:
thousand rupees:
Provided that notwithstanding
Provided further that anything contained in Section 29 of
notwithstanding anything the Code of Criminal Procedure,
contained in Section 29 of the 1973 (2 of 1974), it shall be lawful
Code of Criminal Procedure, for any Metropolitan Magistrate, or
1973 (2 of 1974), it shall be any Judicial Magistrate of the First
lawful for any Metropolitan Class specially empowered by the
Magistrate, or any Judicial State Government in this behalf, to
Magistrate of the first class pass a sentence of fine exceeding
specially empowered by the five thousand rupees on any
State Government in this person convicted of any offence
behalf, to pass a sentence of punishable under this Part under
fine exceeding five thousand clauses (a) to (c):
rupees on any person
convicted of any offence Provided further that no distributor
punishable under this Part: or exhibitor or owner or employee
of a cinema house shall be liable to
Provided also no distributor or punishment for contravention of
exhibitor or owner or employee any condition of endorsement of
of a cinema house shall be caution on that has been certified
liable to punishment for as “UA” under this Part.
contravention of any condition
of endorsement of caution on a
film as “UA” under this Part.
2. Insertion of Nil (4) Any person aggrieved by any
new sub- penalty imposed under clauses (d)
section (4) to (f) of sub-section (1), may prefer
in Section 7 an appeal in such manner and to
such appellate authority as may be
prescribed.
3. Insertion of (ca) the authorised officer and the
new manner of levy of penalty by him in
clauses terms of clauses (d) to (f) of sub-
after clause section (1) of section 7;
(c) in
Section 8 (cb) the manner of preferring
66
appeal and appellate authority
under sub-section (4) of section 7;
3. Section 14 Penalties for contravention Penalties for contravention of
of this Part. this Part.
If the owner or person in If the owner or person in charge of
charge of a cinematograph a cinematograph uses the same or
uses the same or allows it to allows it to be used, or if the owner
be used, or if the owner or or occupier of any place permits
occupier of any place permits that place to be used in
that place to be used in contravention of the provisions of
contravention of the provisions this Part or of the rules made
of this Part or of the rules thereunder, or of the conditions
made thereunder, or of the and restrictions upon or subject to
conditions and restrictions which any licence has been
upon or subject to which any granted under this Part, he shall be
licence has been granted punishable with fine which may
under this Part, he shall be extend to one lakh rupees and, in
punishable with fine which may the case of a continuing offence,
extend to one thousand rupees with a further fine which may
and, in the case of a continuing extend to ten thousand rupees
offence, with a further fine for each day during which the
which may extend to one offence continues.
hundred rupees for each day
during which the offence
continues.
2.70. Submissions of the Ministry:
2.70.1. In their written submission to the Committee, the Ministry of I&B informed that the
violation of the provisions of the Cinematograph Act and Rules may take place in various
forms. The penalties for contraventions of provisions of the Cinematograph Act, 1952 are
prescribed under sections 7(1) and 14 of the Act. The Ministry of I&B has
proposed Amendments in sections 7(1) and 14 of the Cinematograph Act, 1952 for
decriminalization & rationalization of the penalty provisions and to make the Act consistent
with the Government’s Ease of Doing Business policy. New clauses in section 8 are also
proposed to be inserted to make rules for the purpose of carrying into effect the proposed
provisions.
2.70.2. The Ministry in their background note, further, stated the Sections 7(1) and 14 of
Act, 1952 provides for Penalties their decriminalization has been formulated wherein:
“a. In order to adhere to the Government of India’s mandate of decriminalization,

the punishment of imprisonment has been removed and only penalties would be
levied in cases of a) exhibition of 'A' film to non-adults; b) exhibition of 'S' film to a
member not of such profession or class; and c) breach of section 6A regarding
information and documents to be given to distributors and exhibitors with respect to
certified films. However, the quantum of penalty has been increased to act as an
effective deterrent and to make it commensurate with the times.
67
It has been proposed that the penalties in the above cases shall be imposed by an
authorized officer after giving reasonable opportunity of being heard. Any person
aggrieved by any penalty imposed, may prefer an appeal in such manner and to
such appellate authority as may be prescribed.
b. The punishment of imprisonment has been retained keeping in mind the gravity of
the offence in the cases of a) tampering with a film after it has been certified; and
b) exhibition of a film or a video film in a form other than the one in which it was
certified, i.e. with interpolations. The quantum of fine has been increased to act as
an effective deterrent and to make it commensurate with the times.”
2.71.1. During their sitting on 9th February, 2023, the Committee was briefed by the
representatives of Ministry of Information and Broadcasting that under section 14 amount of
fine to be imposed on the owner or any person in charge of a cinematograph, in case of
contravention of that part of the Act has been increased from one thousand to one lakh
rupees and in the case of a continuing offence from rupees hundred to ten thousand rupees
each day. The Committee suggested Ministry that in case of penalties the words “penalty”
“contravention” and “liable” may be used instead of “fine” or “punishable” to decriminalise
the section to facilitate administrative adjudication of the contravention of the Act.
2.71.2. In view of the above, the Committee asked Ministry to bring in consequential
changes in Section 15 as well, which provides for “Power to revoke licence” of a license
holder, who has been convicted of an offence under section 7 or 14, as there would be no
conviction under section 14 which has now been decriminalised. The representative,
Ministry of Information and Broadcasting responded affirmatively, that section 7 in itself is
providing for two categories of offences where 3 offences are of minor category i.e. 7(1) a, b
& c.
2.71.3. The Committee asked Ministry to bring changes accordingly, as on the basis of
contravention, it may be penalty or it may be imprisonment, if both the things are covered
under sections 7 and 14, then word convicted may be avoided and instead contravention
may be used. The Ministry representatives assured the Committee to examine the matter in
light of suggestions of the Committee to incorporate requisite changes.
2.71.4. The Ministry representatives informed the Committee that in section 7(1) (a) to (c)
licence can be revoked in first instance; though the same is not mandatory, but power could
be exercised. Therefore, the Ministry proposed to divide section 15 into 15(1) and 15(2) to
include different sets of penalties under section 15 for minor offences under sub section (a)
to(c) of Section 7(1) and different penalties under subsection (d) to (f) of section 7 (1) of
section 14.
2.71.5. The Committee, in this regard asked Ministry to carry out consequential changes
in Section 15 as well, which had not been brought for amendments to remove the ambiguity.
The Section provides for “Power to revoke licence” and remove the ambiguity, which does
not differentiate in the imposition of penalty in case of minor offences and repeated offence.
The Committee asked to include objective consideration in the section stating in clear
68
manner the extent of power to revoke licence, which could be exercised in case of first and
repeated offence.
2.72.1. After detailed discussions, the Committee agreed, in principle, with the
amendments proposed to the Cinematograph Act of 1952, specified at Serial No. 11 of the
Schedule to the Bill, and decided to consider the following suggestions, if required, during
Clause-by-Clause consideration:
Section 14 – The terms “penalty” “contravention” and “liable” may be substituted for
“fine” or “Punishable”.
Section 15 – Different set of penalties for major offences in sub sections (a) to (c) of
Section 7(1) and for minor offences under sub sections (d) to (f) of
Section 7 (1) OR Section 14.
69
The Tea Act, 1953

2.74. Purpose of the Act: The Tea Act, 1953 provides for the control by the Union of
the Tea industry, including the control, in pursuance of the International Agreement now in
force, of the cultivation of tea in, and of the export of tea from, India and for that purpose to
establish a Tea Board and levy a duty of excise on tea produced in India.

1 Section 38 38. Penalty for obstructing an Proposed to be omitted in the
officer or member of the Bill, as introduced.
Board in the discharge of his
duties and for failure to
produce books and records.-
Any person who-
(a) Obstructs a member
authorised by the Chairman in
writing or an officer of the Board
or a person authorised in this
behalf by the Central Government
or by the Board in the exercise
of any power conferred or in the
discharge of any duty imposed
on him by or under this Act, or
(b) Having the control or
custody of any account book or
other record, fails to produce
such book or record when
required to do so by or under this
Act. shall be punishable with
imprisonment which may extend
to one year or with fine which
may extend to one thousand
2 Section 39 39. Penalty for illicit Already Suspended in the Tea
cultivation.--Whoever knowingly Act 1953 – 29 of 1953 through
plants tea or causes tea to notification no S.O. 3415(E)
be planted on any land in dated 23.08.2021.
contravention of section 12 shall
be punishable with fine which Proposed to be omitted in the
70
may extend to one thousand Bill, as introduced.
rupees for the first offence, and
five thousand rupees for any
subsequent offence.
3 Section 40 40. Removal of tea planted Already Suspended in the Tea
without permission.--Where any Act 1953 – 29 of 1953
person has been convicted of any through notification no S.O.
offence under section 39, the 3415(E) dated 23.08.2021.
convicting court may direct that
the tea in respect of which the Proposed to be omitted in the
offence was committed shall be Bill, as introduced.
removed from the land within a
specified time, and in the event
of the order not being duly
complied with, may cause, the
tea to be removed an may
recover the cost from the person
convicted as if it were an arrears
of land revenue due on the tea
estate on which the offence was
committed
4 Section 41 Penalty for contravention of Proposed to be omitted in the
order relating to control of Bill, as introduced.
price and distribution.--(1) If any
person contravenes any order
made under sub-section (1) or
sub-section (3) of section 30, he
shall be punishable
with imprisonment for a term
which may extend to six months
or with fine which may extend to
five thousand rupees or with both;
and the property in respect
of which the order has been
contravened or such part thereof
as to the court may seem fit,
shall be forfeited to the Central
Government.
(2) Any person who attempts to
contravene or abets the
contravention of any order under
sub-section (1) or sub-section (3)
of section 30 shall be deemed
to have contravened that order.
5 Section 42 42. Other penalties.--Whoever Proposed to be omitted in the

contravenes or attempts Bill, as introduced.
to contravenes or abets the
contravention of the provisions of
71
this act or of any rules made
thereunder other than the
provisions, punishment for
the contravention whereof has
been provided for in section 36,
37, 38, 39, and 41 shall be
which may extend to six months,
five thousand rupees, or tight both
and in the case of a continuing
contravention with an additional
hundred rupees for every day
first such contravention
Elaborating on the need for the proposed amendments, the Ministry in their
“The Tea Act, 1953 was enacted on 28 th May, 1953 and the Tea Board is a body
established under Section 4 of the Act. It has been proposed to omit section 38,
section, 39, section 40, section 41 and section 42 of the Tea Act, 1953 which
prescribe for punishment for various offences. It is to state that section 39 and section
40 has already been suspended vide Gazette notification no S.O. 3415(E) dated
23.8.2021.Section 38, 39, 40, 41 and 42 which prescribe imprisonment as a mode of
punishment for minor offences were relevant at the time of enactment of the Act.
However, after elapse of 70 years, these penal provisions have lost their relevance.
These sections were relevant where there was restriction on tea cultivation, export
and quota system for tea export was prevalent. Currently, such penal provisions have
lost their relevance and may go against the policy of ease of doing business.
Accordingly, it has been proposed, vide Sl. No 12 of the Jan Vishwas (Amendment of
Provisions) Bill, 2022, to omit Section 38, 39, 40, 41 and 42 of the Tea Act, 1953.
The stakeholders benefitted by the amendments are tea planters, manufacturers, tea
brokers, tea auctioneer, tea importers, tea warehouse owners, tea traders, and tea
buyers. The number of stakeholders who are going to be benefitted from Jan
Vishwas (Amendment of Provisions) Bill, 2022 are as follows:
Category of Tea stakeholders Number

Small growers 2,29,526
Big growers 1567
Exporters 1970
Importers 317
Buyers 9524
72
Warehouse owners 381
Tea Waste License holders 3645
Brokers 20
Bought Leaf factories 788
Auctioneers 8
Decriminalization of the provisions in the existing Act will facilitate ease of doing
business and provide fair & equitable benefits to all stakeholders, thereby ensuring
that Tea Board acts as a facilitator and promotes faster growth and development of
tea sector, besides promoting export of tea in a liberalized environment. "
2.77.1. After the briefing by the Ministry and clarifications on the amendments proposed
to be made in the Tea Act, 1953, specified at serial no. 12 of the Schedule to the Bill, the
Committee decided to consider, inter alia, the following modifications during Clause-by-
Clause consideration:
Section 41 : The penal provision be extended to contravention of orders also.
Section 42 : (i) Penalties be aligned with omnibus provisions of other Boards

(ii) For penalties in the proposed provisions an adjudication
mechanism with appellate provisions may be provided.
73
The Copyright Act, 1957

Trade]
2.79. Purpose of the Act: An Act to amend and consolidate the law relating to
copyright.

1. Section 68 Section 68: Penalty for making Proposed for omission in the
false statements for the purpose of Bill, as introduced.
deceiving or influencing any
authority or officer.— Any person
who,—
(a) with a view to deceiving any

authority or officer in the execution
of the provisions of this Act, or
(b) with a view to procuring or

influencing the doing or omission of
anything in relation to this Act or any
matter thereunder,
makes a false statement or

representation knowing the same to
be false, shall be punishable with
one year, or with fine, or with both.
omit Section 68 of the Copyright Act, 1957 which punishes the offence of making false
statement or representation to deceive or influence the authority.
2.82.1. The Committee, in their sitting held on 31stJanuary, 2023 gone through the
presentation made by the Department and observed that that this provision is already
covered under Section 177 of the Indian Panel Code Act, 1860, which read as under:
74
177. Furnishing false information. Whoever, being legally bound to furnish
information on any subject to any public servant, as such, furnishes, as true,
information on the subject which he knows or has reason to believe to be false shall
be punished with simple imprisonment for a term which may extend to six months, or
with fine which may extend to one thousand rupees, or with both; or, if the information
which he is legally bound to give respects the commission of an offence, or is
required for the purpose of preventing the commission of an offence, or in order to
the apprehension of an offender, with imprisonment of either description for a term
which may extend to two years, or with fine, or with both.
After briefing by the Department, the Committee agreed, in principle, with the
proposal to omit Section 68of the Copyright Act, 1957, specified at serial no.13 of the
Schedule to the Bill, and decided to consider the proposal during clause-by-clause
consideration of the Bill.
75
The Merchant Shipping Act, 1958
2.84. Administering Ministry: Ministry of Ports Shipping and waterways
2.85. Purpose of the Act: The Merchant Shipping Act, 1958, (MS Act) aims to foster
the development and ensure the efficient maintenance of an Indian mercantile marine in a
manner best suited to serve national interests. For this purpose, the act provides for the
registration, certification, safety and security of Indian ships, training, certification, labour
conditions and welfare of seafarers and matters concerning prevention of pollution from
ships.
Sl. Section Existing Provision Provision as

No. No. amended by the
436(2) Bill introduced in
Lok Sabha
Sl. No. Offences Section of Penalties Offence Penalty
this Act to
which
offence has
reference
1 16 If any person General Imprison-ment - Penalty
in the case of which may which
any declaration extend to six may
made in the months, or extend
presence of fine which to two
or produced may extend to lakh
to a registrar one thousand rupees.
under Part V rupees, or ”
or in any both
document or
other evidence
produced to
such registrar-
(a) Wilfully
makes or assists
in making or
procures to be
made, any false
statement
concerning the
title to or
ownership of
or the interest
existing in any
76
ship or any
share in a ship;
or (b) utters,
produces or
makes use of
any declaration
or document
containing any
such false
statement
knowing the
same to be false.
1 29 If any owner, 115. Power Imprison-ment - Penalty
master or agent to prohibit which may which
wilfully disobeys engagement extend to may
any order under of persons three months, extend
section 115. as or fine which to
seamen.― may extend to Two
The Central one thousand lakh
Government rupees, or rupees.
or any officer both.
authorised by
it in this
behalf, if
satisfied that
in the national
interest or in
the interests
of seamen
generally it is
necessary so
to do, may,
by order in
writing,
prohibit the
owner,
master or
agent of any
ship other
than an
Indian ship
specified in
the order
from
engaging in
India or in
any specified
part of India,
any person to
serve as a
77
seaman on
such ship.
1. 35 If any person― General Imprison-ment - Penalty
(a) forges or which may which
fraudulently extend to six may
alters any months, or extend
certificate of fine which to two
discharge or a may extend to lakh
certificate as to five hundred rupees.
the work of a rupees, or ”
seaman or a both.
continuous
discharge
certificate or a
copy of any such
certificate; or (b)
fraudulently uses
any certificate of
discharge or a
certificate as to
the work of a
seaman or a
continuous
discharge
certificate or a
copy of any such
certificate which
is forged or
altered or does
not belong to
him.
2. 43 If any person General Imprison-ment - Penalty

commits a which may which
breach of any extend to one may
term of any month, or fine extend
award which is which may to two
binding on him extend to one lakh
under sub- thousand rupees.
section (5) of rupees, or ”.
section 150 both.
3. 44 If a seaman or 151. Imprison-ment - Penalty

an owner Conditions which may which
contravenes of service, extend to six may
section 151. etc., to months, or extend
remain fine which to fifty
unchanged may extend to thousan
during one thousand d
pendency of rupees, or rupees.
78
proceedings both.
before
tribunal―
During the
pendency of
proceedings
under
section150 —
(a) no
seamen or
class of
seamen or
union of
seamen shall
go or remain
on strike or
otherwise act
in a manner
prejudicial to
the normal
operation of
the ships in
which the
seamen are
employed or
are likely to
be employed;
and
(b) no owner
of a ship
shall— (i)
alter to the
prejudice of
the seamen
concerned in
the dispute,
the conditions
of service
applicable to
them
immediately
before the
commencem
ent of such
proceedings;
or (ii)
discharge or
punish any
seaman in
79
respect of
any matter
connected
with the
dispute.
4. 57(a) If a seaman or 191. He shall be - “He
apprentice ― (a) Desertion liable to forfeit shall be
deserts his ship; and absence all or any part liable to
without of the property forfeit
leave.―(1) he leaves on all or
No seaman board and of any
lawfully the wages he part of
engaged and has then the
no earned and propert
apprentice— also if the y
(a)shall desertion he
desert his takes place at leaves
ship; any place not on
in India, to board
forfeit all or and of
any part of the the
wages which wages
he may earn he has
in any other then
ship in which earned
he may be and
employed until also if
his next return the
to India, and desertio
to satisfy any n
excess of takes
wages paid by place at
the master or any
owner of the place
ship from not in
which he India, to
deserts to any forfeit
substitute all or
engaged in his any
place at a part of
higher rate of the
wages than wages
the rate which
stipulated to he may
be paid to him, earn in
and also to another
imprison-ment ship in
which may which
extend to he may
three months; be
80
employ
ed
until his
next
return
to India,
and to
satisfy
any
excess
of
wages
paid
by the
master
or
owner
of the
ship
from
which
he
deserts
to any
substitu
te
engage
d in
his
place at
a
higher
rate of
wages
than
the rate
stipulat
ed to
be paid
to
him;”
5. 57(b) (b) contravenes 191. he shall, if the - he

clause (b) of sub- Desertion contravene- shall, if
section (l) of and absence tion does not the
section 191. without amount to contrav
leave. (1) No desertion, be en-tion
seaman liable to forfeit does
lawfully out of his not
engaged and wages a sum amount
81
no not exceeding to
apprentice— two days pay desertio
… and in addition n, be
for every liable to
(b)shall twenty-four forfeit
neglect or hours of out of
refuse, absence either his
without a sum not wages
reasonable exceeding six a
cause, to join days‟ pay or sum not
the ship or to any expenses exceedi
proceed to properly ng
sea in his ship incurred in two
or be absent hiring a days
without leave substitute and pay and
at any time also to in
within twenty- imprisonment addition
four hours of which may for
the ship's extend to two every
sailing from a months twenty
port either at four
the hours
commenceme of
nt or during absenc
the progress e either
of a voyage, a sum
or be absent not
at any time exceedi
without leave ng six
and without days’
sufficient pay or
reason from any
his ship or expens
from his duty. es
properl
y
incurre
d in
hiring a
substitu
te.
6. 59(iv) If a seaman or 194. General Imprison-ment If a -

apprentice is guilty offences which may seaman
of the offence against extend to or
specified in― (iv) discipline.― three months, apprentic
clauses (d) and (e) A seaman or fine which e is guilty
of section 194. lawfully may extend to of the
engaged or an five hundred offence
apprentice rupees, or specified
82
shall be guilty both; in― (iv)
of an offence clauses
against (d) of
discipline if he section
commits any 194.
of the
following acts,
namely: (e) if
he combines
with any of the
crew to
disobey lawful
commands or
to neglect
duty or to
impede the
navigation of
the ship or
retard the
progress of
the voyage;
9. - - - - Sr. No. Impriso

59 (iv a) n-ment
clause which
(e) of may
section extend
194 to one
month,
and
also for
every
twenty-
four
hour of
such
dis-
obedien
ce
or
neglect
or
forfeitur
e out of
his
wages
of a
sum not
exceedi
ng six
83
days’
pay or
any
expens
es,
which
may
have
been
properl
y
incurre
d in
hiring a
substitu
te.
10. 60 If any master fails 197. Report Imprison-ment - Penalty

to comply with of desertions which may which
section 197. and absence extend to one may
without month, or fine extend
eave.― which may to one
Whenever any extend to one lakh
seaman hundred rupees.
engaged rupees, or ”
outside India both.
on an Indian
ship deserts
or otherwise
absents
himself in
India without
leave, the
master of the
ship shall,
within forty-
eight hours of
discovering
such
desertion or
absence,
report the
same to the
shipping
master or to
such other
officer as the
Central
Government
specifies in
84
this behalf,
unless in the
meantime, the
deserter or
absentee
returns.
11. 65 If any person goes 205. Imprison-ment - Penalty
to sea in a ship Stowaways which may which
contrary to sub- and seamen extend to one may
section (1) of carried under month, or fine extend
section 205. compulsion.― which may to two
(1) No person extend to two lakh
shall secrete hundred rupees
himself and rupees, or
go to sea in a both.
ship without
the consent of
either the
owner, agent
or master or
of a mate, or
of the person
in charge of
the ship or of
any other
person
entitled to give
that consent.
12. 66(a) (a) If any person 206. Imprison-ment - Penalty

wilfully disobeys Procedure which may which
the prohibition where extend to may
obtained in clause seaman not three months, extend
(a) of section 206; shipped in or fine which to two
India is may extend to lakh
imprisoned one thousand rupees
on complaint rupees; or
of master or both.
owner.―If
any seaman
engaged
outside India
is imprisoned
on complaint
made by or on
behalf of the
master or
owner of the
ship or for any
offence for
85
which he has
been
sentenced to
imprisonment
for a term not
exceeding
one month,
then—(a)while
such
imprisonment
lasts, no
person shall,
without the
previous
sanction in
writing of the
Central
Government
or of such
officer as it
may specify in
this behalf,
engage in
India any
person to
serve as a
substitute for
such seaman
on board the
ship; and
13. 68 If a master 210. Leaving Imprison-ment - Penalty

contravenes sub- behind in which may which
section (1) of India of extend to may
section 210. seaman or three months, extend
apprentice or fine which to fifty
engaged may extend to thousan
abroad.― (1) one thousand d
The master of rupees, or rupees.
a ship shall both.
not discharge
at any place in
India, a
seaman or
apprentice
engaged
outside India
unless he
previously
obtains the
86
sanction in
writing of such
officer as the
Central
Government
appoints in
this behalf;
but such
sanction shall
not be refused
when the
seaman or
apprentice is
discharged on
the
termination of
his service.
14. 72 If any person General Imprison-ment Penalty
wilfully destroys or which may which
mutilates or extend to one may
renders illegible year extend
any entry in any to two
official log book or lakh
wilfully makes rupees.
or procures to ”
be made or
assists in making
a false or
fraudulent
entry in or
omission from an
official log book.
15. 84 If the master, General Imprison-ment - Penalty

owner or agent of for a term which
a special trade which may may
passenger or extend to six extend
pilgrim ship, after months, or to one
having obtained fine which lakh
any of the may extend to rupees
certificates two thousand for the
mentioned in rupees, or first
Part VIII, both offence
fraudulently does and five
or suffers to be lakh
done anything for
where by the every
certificate repeat
becomes offence.
inapplicable ”
87
to the altered
state of the
ship, or special
trade passengers
or pilgrims or
other matters
to which the
certificate relates.
16. 108B If an Indian 344D-Safety The master or - The

nuclear ship, fails assessment owner or master
to comply with and agent shall be, or
subsection (1) of operating liable to owner
section 344D. manual.―(1) imprison-ment or
Every Indian which may agent
nuclear ship extend to six shall be
shall have on months or fine liable to
board a safety which may Penalty
assessment extend to ten which
and an thousand may
operating rupees or extend
manual in both. to five
such form and lakh
containing rupees
such and the
particulars ship
and approved may
by such also be
authority as detaine
may be d.
prescribed.
(2) The safety

assessment
and the
operating
manual shall
be prepared,
maintained
and kept up-
to-date in
such manner
as may be
prescribed.
17. 108E (a) If the master of 344G. Notice Imprison-ment - Penalty

a nuclear ship fails of accidents which may which
to give the notice to nuclear extend to one may
required by sub- ships.―(1) year or fine extend
section (1) or sub- Where an which may to five
88
section (2) or Indian nuclear extend to ten lakh
subsection (5) of ship meets thousand rupees
section 344G; with an rupees or and the
accident and both. ship
such accident may
is likely to also be
lead to detaine
environmental d.
hazards, the
master of the
ship shall
forthwith give
notice of the
accident―(a)t
o such officer
or authority as
may be
specified in
this behalf by
the Central
Government;
and (b) if the
ship is in or
intends to
enter the
territorial
water of a
foreign State,
also to the
appropriate
Government
authority of
the State.
(2)Where a
nuclear ship
other than an
Indian ship
meets with an
accident of
the nature
specified in
sub-section
(1) while she
is in the
territorial
waters of, or
at a port in,
India, the
master of the
89
ship shall
forthwith give
notice of the
accident to
the officer or
authority
specified
under clause
(a) of sub-
section(1).
(5)Where a
nuclear ship
other than an
Indian ship
meets with an
accident of
the nature
specified in
sub-section
(1) at any port
or place
outside India
and intends to
enter the
territorial
waters of
India in a
damaged
condition, the
master of
such ship
shall give
notice of the
nature of the
accident and
the condition
of the ship in
such form as
may be
prescribed to
the officer or
authority
specified
under clause
(a) of sub-
section (1)
and shall
comply with
such
90
directions as
that officer or
authority may
give.
(b) if the master of 344G. Notice Imprison-ment - Penalty

a nuclear ship fails of accidents which may which
to comply with any to nuclear extend to one may
directions issued ships.― (3) year or fine extend
under sub-section On receipt of which may to five
(3) or subsection a notice under extend to ten lakh
(5) of section sub-section thousand rupees
344G. (1) or sub- rupees or and the
section (2), both. ship
the officer or may
authority also be
specified detaine
under clause d.”
(a) of sub-
section (1)
shall issue
such
directions as
he thinks
necessary
and expedient
in the
circumstances
of the case
and
investigate
into the
causes of the
accident in
such manner
as may be
prescribed.
(5)Where a
nuclear ship
other than an
Indian ship
meets with an
accident of
the nature
specified in
sub-section
(1) at any port
or place
outside India
91
and intends to
enter the
territorial
waters of
India in a
damaged
condition, the
master of
such ship
shall give
notice of the
nature of the
accident and
the condition
of the ship in
such form as
may be
prescribed to
the officer or
authority
specified
under clause
(a) of sub-
section (1)
and shall
comply with
such
directions as
that officer or
authority may
give.
18. 109 If a master or 348. Duty of Imprison-ment - Penalty

person in charge master of which may which
of a ship fails, ship to assist extend to may
without reasonable in case of three months extend
cause to comply collision.―In or fine which to five
with section 348. every case of may extend to lakh
collision three rupees.
between two thousand
ships it shall rupees, or
be the duty of both.
the master or
person in
charge of
each ship, if
and so far as
he can do so
without
danger to his
92
own ship,
crew and
passengers, if
any―(a) to
render to the
other ship, her
master, crew
and
passengers, if
any, such
assistance as
may be
practicable
and may be
necessary to
save them
from any
danger
caused by the
collision and
to stay by the
other ship
until he has
ascertained
that she has
no need of
further
assistance,
and(b)to give
to the masters
or persons in-
charge of the
other ships
the name of
his own ship
and of the port
to which she
belongs and
also the
names of the
ports from
which she
comes and to
which she is
bound
19. 115D (ii) If any person 356F. Record The offender the
(ii) wilfully destroys or books.―(1) shall be liable offende
mutilates or Every Indian to penalty of r shall
renders illegible or oil tanker or imprisonment be
93
prevents the other Indian which may liable to
making of any ship which extend to six Penalty
entry in the oil carries a months or which
record book or substance fine” which may
makes or causes subject to may extend to extend
to be made a false control by the ten thousand to fifty
entry in such book Convention rupees or thousan
in contravention of shall maintain, both. d
any rule made as may be rupees.
under section required,
356F. record books
in the
prescribed
forms, on
board the oil
tanker or
other ship.
(2)The
manner in
which record
books shall be
maintained,
the nature of
entries to be
made therein,
the custody
and disposal
thereof, and
all other
matters
relating
thereto shall
be such as
may be
prescribed
having regard
to the
provisions of
the
Convention.
20. 133 If any person 428. Imprison-ment Penalty
contravenes Fraudulent which may which
any of the use of extend to may
provisions of certificate of three months, extend
section 428 registry or or fine which to one
-
certificate of may extend to lakh
inspection, two hundred rupees
etc. rupees, or and the
prohibited. (1) both vessel
No person may
94
shall use or also be
attempt to use detaine
the certificate d.”
of
registry or the
certificate of
inspection
granted in
respect of a
sailing vessel
for
any purpose
other than the
lawful
navigation of
the vessel. (2)
No person
shall use or
attempt to use
for the
navigation of
a
sailing vessel
a
certificate of
registry or a
certificate of
inspection not
granted in
respect of that
vessel.
(3) No person
who has in his
possession or
under his
control
the certificate
of
registry or the
certificate of
inspection of a
sailing vessel
shall refuse or
omit without
reasonable
cause to
deliver such
certificate on
demand to the
owner of the
95
vessel.
21. 135 If the owner or 430.Inquiry Imprison-ment Penalty

tindal fails to into jettisoning which may which
comply with sub- of cargo.―(1) extend to may
section (1) of If any owner three months, extend
section 430. or tindal of a or fine which to fifty
sailing vessel may extend to thousan
in the course two hundred d
of her voyage, rupees, or rupees.
has jettisoned both. ”
or claims to
have
jettisoned the
whole or any
part of the
cargo of the
vessel on
account of
abnormal
weather
conditions or
for any other
reason, he
shall
immediately
after arrival of
the vessel at
any port in
India give
notice of such
jettisoning to
the proper
officer at such
port; and such
notice shall
contain full
particulars of
the cargo
jettisoned and
the
circumstances
under which
such
jettisoning
took place.
22. 137 If the owner fails to 434A. Imprison-ment Penalty
comply with sub- Insurance of which may which
section (1) of members of extend to six may
section 434-A crew of a months or fine extend
96
sailing which may to one
vessel.―(1) extend to five lakh
Subject to the thousand rupees
other rupees, or and the
provisions of both. vessel
this section may
and the also be
scheme detaine
framed under d.”
sub-section
(3), the owner
of every
sailing vessel
shall take and
keep in force,
in accordance
with the
provisions of
the said
scheme, a
policy of
insurance
whereby all
the members
of the crew of
such vessel
are insured
against death
or personal
injury caused
by accident in
the course of
employment
as such
members
23. 137J If any person 435S. The offender Penalty
contravenes Fraudulent shall be liable which
the provisions use of to imprison- may
of section 435S certificate of ment which extend
registry or may extend to to one
certificate of three months lakh
inspection, or fine which rupees
etc., may extend to and
prohibited.- two hundred the
(1) No person rupees, or vessel
shall use or both may
attempt to use also be
the certificate detaine
of d
registry or the
97
certificate of
inspection
granted in
respect of an
Indian fishing
boat for any
purpose
other than the
lawful
operation of
that fishing
boat.
(2) No person
shall use or
attempt to use
for the
operation of
an Indian
fishing boat, a
certificate of
registry or a
certificate of
inspection not
granted in
respect of that
fishing boat.
(3) No person
who has in his
possession or
under his
control
the certificate
of
registry or the
certificate of
inspection of
an
Indian fishing
boat shall
refuse or omit
without
reasonable
cause to
deliver
such
certificate on
demand to the
owner of the
fishing boat.
98
24. 436 (3)The penalty
(3) prescribed for the
contravention of
any provision of this
Act shall be
imposed by the
Principal Officer of
the Mercantile
Marine Department:
Provided that no
penalty under this
Section shall be
imposed unless the
Parties have been
given a reasonable
heard.
25. 436 (4) Any person
(4) aggrieved by an
order of the
Principal Officer
under sub-section
(3), may, within a
period of thirty days
from the date of
receipt of such
order, prefer an
appeal before the
Director-General in
such form and
manner as the
Central
Government may
prescribe.
26. 436 (5) The Director-
(5) General may, after
giving the parties
an opportunity of
being heard, within
a period of thirty
days from the date
of receipt of the
appeal under sub-
section (4), pass
appropriate order.
27. 436 (6) Any
(6) contravention of the
provisions of this
Act for which
99
penalty has been
prescribed may be
compounded for
the first
contravention by
the Principal Officer
or such other
Officer as may be
notified by the
Central
Government in this
behalf:
Provided that
where any such
contravention has
been compounded,
the sum shall not,
in any case, exceed
the maximum
amount of the
penalty which may
be imposed for
such contravention.
28. Inserti After section 436,
on the following
436A section shall be
inserted, namely:-
“436A. Power to
make rules.―The
Central
Government may,
subject to the
condition of
previous
publication, make
rules prescribing
form and manner of
appeal against the
order of Principal
Officer of the
Mercantile Marine
Department under
sub-section (4) of
section 436.”
2.87.1. The representative, Ministry of Ports, Shipping and Waterways during the
sittingdated09.02.2023 briefed the Committee about the method followed by the Ministry in
reviewing the provisions for decriminalization as stated below:
100
“Under this exercise of decriminalizing of minor offences, we have done an
extensive review and stakeholders’ consultation. The DG (Shipping) who is regulator
of the shipping has done these provisions. Firstly, they placed it on website for 30
days and thereafter it was followed by stakeholder consultation whereby several
associations of ship owners, operators, charter ship managers, seafarer unions,
maritime education, training, recognized organizations, law universities and maritime
lawyers and other bodies were consulted.…”
2.87.2. The administrative Ministry in their background note informed that under Jan
Vishwas Bill, the Ministry has identified 23 entries at penalty Table given under sub-section
(2) of Section 436 (i.e. serial Nos. 16, 29, 35, 43, 44, 57a, 57b, 59(iv), 60, 65, 66a, 68, 72,
84,108B, 108E (a), 108E(b), 109, 115D(ii), 133,135, 137 and 137J) for decriminalisation and
rationalisation.
2.88.1. While deliberating upon the proposed amendments in Section 108 of the
Merchant Shipping Act, 1958, the Committee sought to understand the rationale behind
decriminalizing Section 108 which deals with a serious offence where if the master of a
nuclear ship fails to comply with any directions issued under sub-section (3) or sub-section
(5) of section 344G, the Secretary, Ministry of Ports, Shipping and Waterways responded
that as the act has not been done with criminal intent, the same has been decriminalized.
2.88.2. The Committee raised concern at small amount of Rs. 5 Lakh penalty to be paid
by any defaulting accidental nuclear ship as failure in this regard could have devastating
impact on the environment and humankind. The committee enquired if the amount could be
doubled to Rs. 10 Lakh, to have a greater deterrence, the Secretary, Ministry of Ports,
Shipping and Waterways responded as under:-
“सर, वैसे ही एक्सीडेंट हो गया और वह डैमेज्ड है , तो we feel five lakh rupees as fine is
okay. कफर भी आप कहें कक इसको िढ़ाना है तो।”
2.88.3. The Committee found the justifications of the Ministry not cogent enough and
accordingly suggested to either retain the original Section or consider increase in the
penalty to rupees ten lakhs.
2.89.1. After detailed discussions the Committee agreed in principle, with the
amendments proposed to the Merchant Shipping Act, 1898, specified at Serial No.14of the
Schedule to the Bill. However, in view of serious consequences which may arise in case of
failure under section 108E(a) and (b) the Committee decided to consider, inter alia, the
following modifications during Clause-by-Clause consideration:
Section 108E(a): Either retain the provision or increase penalty to ten lakh rupees
Section 108E(b): Either retain the provision or increase penalty to ten lakh rupees
101
The Deposit Insurance and Credit Guarantee Corporation Act, 1961

[Department of Financial Services]
2.91. Purpose of the Act: The Deposit Insurance and Credit Guarantee Corporation
Act, 1961 provides for the establishment of a Corporation for the purpose of insurance of all
bank deposits and guaranteeing of credit facilities and for other matters connected therewith
or incidental thereto. The Deposit Insurance and Credit Guarantee Corporation General
Regulations, 1961 have been framed by the Reserve Bank of India in exercise of the powers
conferred by sub-section (3) of Section 50 of the said Act. The Corporation maintains the
following Funds:
(i) Deposit Insurance Fund
(ii) Credit Guarantee Fund
(iii) General Fund.
2.91.1. The first two funds are funded respectively by the insurance premia and
guarantee fees received and are utilised for settlement of the respective claims. The
General Fund is utilised for meeting the establishment and administrative expenses of the
Corporation. The surplus balances in all the three Funds are invested in Central
Government securities which is the only investment permissible under the Deposit
Insurance and Credit Guarantee Corporation Act, 1961 and the income derived out of such
investments is credited to the respective Funds. Inter-Fund transfer is permissible and if
there is a shortfall in one of the Funds, it is made good by transfer from either of the other
two Funds.

1. Section 47: (2) If any person fails to produce (2) If any person fails to produce
Penalties any book, account or other any book, account or other
document, or to furnish any document, or to furnish any
statement or information which statement or information which
under the provisions of this Act, under the provisions of this Act, it is
it is his duty to produce or his duty to produce or furnish, he
furnish, he shall be punishable shall be liable to a penalty which
with a fine which may extend to may extend to one lakh fifty
two thousand rupees in respect thousand rupees in respect of
of each offence and in the case each offence and in the case of a
of a continuing failure, with an continuing failure, with an additional
additional fine which may extend penalty which may extend to seven
to one hundred rupees for every thousand five hundred rupees for
day during which the failure every day during which the failure
continues after conviction for the continues after the first such failure.
first such failure.
102
Insertion of Nil (3) For the purpose of adjudging the
new sub- penalty under sub-section (2), the
sections Corporation shall serve notice on
(3), (4) and the person requiring it to show
(5) to cause why the amount specified in
Section 47 the notice should not be imposed
and a reasonable opportunity of
being heard shall also be given to
such person.
(4) Any penalty imposed by the
Corporation under this section shall
be payable within a period of
fourteen days from the date on
which notice issued by the
Corporation demanding payment of
the sum is served on the person
and in the event of failure of the
person to pay the sum within such
period, may be levied on a direction
made by the principal civil court
having jurisdiction in the area where
the person is situated:
Provided that no direction shall be
made except on an application
made to the court by the
Corporation or any officer
authorised by Corporation in this
behalf.
(5) The court which makes a
direction under sub-section (4) shall
issue a certificate specifying the
sum payable by the person and
every such certificate shall be
enforceable in the same manner as
if it were a decree made by the
court in a civil suit.
2.93.1. The Department of Financial Services have proposed to amend sub-section (2) of
Section 47 of the Deposit Insurance and Credit Guarantee Corporation Act, 1961. The
proposal is to replace the existing provisions for imposition of a fine with a provision for
imposition of a penalty by Deposit Insurance and Credit Guarantee Corporation. In their
background note, the Department has submitted that the offence under Section 47(2)
relates to a failure of relatively routine nature. Further, the Department has proposed
consequential insertions in Section 47 to provide for the manner of levying of penalty and
recovery of penalty by the Deposit Insurance and Credit Guarantee Corporation.
103
2.94.1. During the sitting held on 6th February, 2023, concerns were raised by the
Members of the Committee whether proposal to replace the existing fine of two thousand
rupees with a penalty of one lakh fifty thousand rupees for a routine failure to bring
documents is not exorbitant. In this regard, the representative of the Department submitted
that for a defaulting bank, the penalty is not exorbitant as the interest of the depositors is
paramount. Further, it is the maximum amount of penalty that has been laid down and for
the minimum penalty any amount can be fixed depending on the case and circumstances.
2.94.2. Further, the Department briefed that new sub-sections (3), (4) and (5) have been
proposed to be incorporated in Section 47 which lay down the procedure for levying of the
penalty and subsequently for recovery of penalty through a court in case the penalty is not
paid.
2.94.3. As regards the provisions proposed to be incorporated under sub-section (5)

regarding issue of a certificate specifying the sum payable to be issued by the court, the
Committee enquired about having a provision for Aadhaar proof rather than the court or
approaching the District Magistrate with the certificate and get the money. In this regard,
the representative from the Legislative Department submitted that if the task is assigned to
the District Magistrate, then in the other Acts administered by the Department of Financial
Services like the National Housing Bank Act, 1987, similar amendments would be required
to be made to make the laws uniform, otherwise it would be appropriate to leave the matter
to the principal civil court. The Sub-Divisional Magistrate would be otherwise overloaded
with these kinds of things, but at the same time, if the matter goes to the civil court, the court
will consider all civil aspects and procedures for issuing the decree and that would be better
for better legal determination.
2.95.1. After detailed deliberations and necessary clarifications on the amendments

proposed to be made in the Deposit Insurance and Credit Guarantee Corporation Act, 1961,
specified at serial no. 15 of the Scheduled to the Bill, the Committee observed inter alia the
following to be considered during clause-by-clause consideration of the Bill:
(i) The word ‘direction’ in reference to principal civil court may also include ‘order’ of
such court.
(ii) Before imposing a penalty, a reasonable opportunity should be given to the person of
being heard. From the date of issuing notice of show cause the person must have
sufficient time of being heard and adduce reasons for lack of failure.
(iii) The provisions contained in the two additional sub-sections being proposed for
insertion in the National Bank for Agriculture and Rural Development Act, 1981
(relating to complaints not being filed against a person where any penalty has already
been imposed, and relating to penalty provisions not being applicable in case of willful
suppression/omission or willful misrepresentation of information by a person), may
also be replicated here in the Deposit Insurance and Credit Guarantee Corporation
104
Act, 1961 for the sake of consistency and also since the said additional provisions are
required.
2.95.2. The Committee also opined that the proposed amendments in the Bill in respect
of the Deposit Insurance and Credit Guarantee Corporation Act, 1961 required better
drafting and the Ministry of Law and Justice may reconsider the same in consultation with
the Department of Financial Services.
105
The Warehousing Corporation Act, 1962
2.96. Administering Ministry: Ministry of Consumer Affairs, Food and Public

Distribution
[Department of Food and Public Distribution]
2.97. Purpose of the Act: An Act to provide for the incorporation and regulation of
corporations for the purpose of warehousing of agricultural produce and certain other
commodities and for matters connected therewith.
Sl. Section Existing Provision Provisions as

No. amended by the
Bill introduced in
Lok Sabha
1. Section 38 (1) Whoever, without the consent in writing of a Proposed for
Warehousing Corporation, uses the name of omission in the Bill,
that Corporation in any prospectus or as introduced
advertisement, shall be punishable with
imprisonment which may extend to six months,
or with fine which may extend to one thousand
(2) No Court shall take cognizance of any

offense under sub-section (1) otherwise than on
a complaint in writing by an officer authorized in
this behalf by the Warehousing Corporation
concerned.
2.99. Submission of the Administering Ministry
2.99.1. Explaining the rationale behind the proposed amendments, the Department of
Food and Public Distribution have stated:
• The object of the proposal is to delete Section 38 of the Warehousing Corporations

Act, 1962 as it provides for criminal punishment.
• This includes imprisonment for six months for relatively minor violation of using the
name of any of the Corporations without their written consent in any prospectus or
advertisement.
• The said Section 38 has never been invoked by CWC till date.
• Many other CPSEs do not have any such provisions.
• Moreover, the general laws of the country contain elaborate safeguards to effectively
deal with such irregularities.
106
• Accordingly, the proposal for deletion of the said sections was recommended by CWC.
2.100.1. After the briefing, the Committee agreed, in principle, with the omission of Section
38 of the Warehousing Corporation Act, 1962,specified at Sl. No.16 of the Schedule to the
Bill, and decided to consider any further modifications, if required, during clause-by-clause
consideration.
107
The Food Corporations Act, 1964

Distribution
[Department of Food and Public Distribution]
2.102. Purpose of the Act: An Act to provide for the establishment of Food
Corporations for the purpose of trading in foodgrains and other foodstuffs and for matters
connected therewith and incidental thereto.
Sl. Section No. Existing Provision Provisions as

No. amended by the
Bill introduced in
Lok Sabha
1. Section 41 (1) Whoever, without the consent in writing of a Proposed for
Food Corporation, uses its name in any omission in the Bill,
prospectus of advertisement, shall be as introduced.
punishable with imprisonment for a term
which may extended to six months, or with
fine which may extend to one thousand
rupees or with both.
(2) No court shall take cognizance of any
offence under sub-section (1) except on a
compliant in writing by an officer authorized
in this behalf by the Food Corporation
concerned.
2.104. Submission of the administering Ministry
2.104.1. Explaining the rationale behind the proposed amendments, the Department of
Food and Public Distribution have stated:
• The object of the proposal is to delete Section 41 of the Food Corporations Act, 1964
as it provides for criminal punishment.
• This includes imprisonment for six months for relatively minor violation of using the
name of any of the Corporations without their written consent in any prospectus or
advertisement.
• The said Section 41 has never been invoked by FCI till date.
• Many other CPSEs do not have any such provisions.
• Moreover, the general laws of the country contain elaborate safeguards to effectively
deal with such irregularities.
108
• Accordingly, the proposal for deletion of the said sections was recommended by FCI.
2.105.1. After detailed discussion, the Committee agreed, in principle, with the omission
of Section 41 of the Food Corporations Act, 1964, specified at Sl. No.17 of the Schedule to
the Bill, and decided to consider any further modifications, if required, during clause-by-
clause consideration.
109
The Patents Act, 1970

Trade]
2.107. Purpose of the Act: To amend and consolidate the law relating to patents.
Sl. Sections Existing Provision Provision, as amended in the

1. Section 120: If any person falsely represents If any person falsely represents
Unauthorised that any article sold by him is that any article sold by him is
claim of patented in India or is the patented in India or is the subject
patent rights subject of an application for a of an application for a patent in
patent in India, he shall be India, he shall pay, by way of
punishable with fine which may penalty which may extend to
extend to one lakh rupees. ten lakh rupees, and in case of
the continuing claim, a further
penalty of one thousand
rupees for every day after the
first during which such claim
continues.
2. Section 121: If any person uses on his place Proposed for omission in the Bill,
Wrongful use of business or any document as introduced.
of words issued by him or otherwise the
"patent words "patent office" or any
office" other words which would
reasonably lead to the belief that
his place of business is, or is
officially connected with, the
patent office, he shall be
for a term which may extend to
six months, or with fine, or with
both.
3. Section 122: (1) If any person refuses or fails (1) If any person refuses or fails
Refusal or to furnish:-- to furnish:--
failure to (a) to the Central Government (a) to the Central Government
supply any information which he is any information which he is
information required to furnish under sub- required to furnish under sub-
section (5) of section 100; section (5) of section 100;
(b) to the Controller any (b) to the Controller any
information or statement which information or statement which he
he is required to furnish by or is required to furnish by or under
under section 146,he shall be section 146, he shall pay, by
punishable with fine which may way of penalty which may
110
extend to 1[ten lakh rupees]. extend to one lakh rupees, and
in case of the continuing
refusal, a further penalty of one
thousand rupees for every day
after the first during which
such refusal continues.
(2) If any person, being required (2) If any person, being required
to furnish any such information to furnish any such information as
as is referred to in sub- is referred to in sub-section (1),
section (1), furnishes information furnishes information or
or statement which is false, and statement which is false, and
which he either knows or has which he either knows or has
reason to believe to be false or reason to believe to be false or
does not believe to be true, he does not believe to be true, he
shall be punishable with shall be punishable with
imprisonment which may extend penalty which shall not be less
to six months, or with fine, or than twenty five lakh rupees.
with both.
4. Section 123: If any person contravenes the If any person contravenes the
Practice by provisions of section 129, he provisions of section 129, he
non- shall be punishable with fine shall pay, by way of penalty,
registered which may extend to one lakh which may extend to five lakh
patent rupees in the case of a first rupees, and in case of the
agents offence and five lakh rupees in continuing default, a further
the case of a second or penalty of one thousand
subsequent offence. rupees for every day after the
first during which such default
continues.
5. Insertion of Nil Section 124 A: Adjudication of
new Section penalties
after Section
124 (1) The Controller may, by an
order, impose penalty on a
person stating therein
any contravention or default
under the provisions of this Act, in
the manner as may be
prescribed.
(2) The Controller shall, before
imposing any penalty, give a
reasonable opportunity of being
heard to the person who is in
default.
(3) Where the person fails to

comply with the order made
under sub-section (1), within a
period of ninety days from the
111
date of the receipt of the order,
the person shall be punishable
which may extend to one year, or
with fine which shall not be less
than twenty-five thousand rupees,
but which may extend to five lakh
rupees, or with both.”
6 Insertion of Nil (xiii a) the manner of imposing

clause (xiiia) penalty under sub-section (1) of
after clause section 124A;
(xiii) in
section 159
(2)
2.109.1. The Department for Promotion of Industry and Internal Trade, Ministry of
Commerce and Industry has proposed to amend Sections 120, 122, 123, omission of
Section 121 and insertion of Sections 124A and 159(2) in the Patents Act, 1970.
2.110.1. During the sitting of the Committee held on 31st January, 2023, the
representative of the Department submitted that the complete process has been digitized
and five-fold increase in the grant of patents have been seen since 2014. All filing has been
done online now and India ranks seventh in patent filing. Then, the Committee sought
certain clarifications as regards the quantum of penalties proposed in the amended Sections
120 and 122. The Committee raised their concern for putting on such hefty penalties on the
micro, small and medium scale enterprises in cases of failure to supply information under
Section 122. The representatives from the Department submitted that generally they look at
bigger companies like pharma companies which are involved in inventions. They justified
the amount of penalty as a deterrence stating that it is a monopoly right. One gets patent
right for a product against the entire society for reaping the benefits of the same for 20 year
period. If a company furnishes false information regarding patent work, then due to its false
claim, the product like covid vaccine or cancer medicine that can be produced by any other
public spirited company gets delayed. The representatives submitted that the higher penalty
was proposed after consulting the stakeholders. The Committee disagreed to the
submission that only big companies have patents. Further, the Committee raised concern
that the expression “not be less than 25 lakh rupees” in the proposed amendment to Section
122 gives unfettered power to the authority and, therefore, there must be an upper limit for
the penalty proposed in the amendment. The Department agreed to re-draft the
amendments accordingly. The Committee also directed the Department to look into the
provisions of the Indian Penal Code, 1960 if the offence of furnishing false information is
also covered under the Code.
2.110.2. The Committee also deliberated on various other issues like wrongful gains
due to false information, compulsory licence in case of non-working of patent, compensation
112
for the loss caused, etc. As regards the quantum of fine proposed in Section 124A, the
Committee observed that the defaulter will have to pay the fine along with penalty then the
penalty amount gets recovered automatically.
2.110.3. Further, the Department briefed that sub-sections (3), (4) and (5) have been
proposed to be incorporated under Section 47(2) which lay down the procedure for levying
of the penalty and subsequently for recovery of penalty through a court in case the penalty
is not paid.
2.110.4. During the deliberations, the Committee made a general observation that the
power of adjudication is not available in some Acts. The said power of adjudication needs to
be provided in all such Acts where fine has been converted into penalty. The competent
authority who will impose the penalty is required to be prescribed in all such Acts.
2.111.1. After the meticulous deliberations and necessary clarifications on the

amendments proposed to be made in the Patents Act, 1970, specified at serial no. 18 of the
Scheduled to the Bill, the Committee decided to consider inter alia the following
modifications during clause-by-clause consideration:
(i) Section 122(2): There must be an upper limit for the amount of penalty proposed
in the amendment.
(ii) Section 124A: There is a need to have appellate mechanism against decision
taken by Controller.
113
The Marine Products Export Development Authority Act, 1972

2.113. Purpose of the Act: The Act provides for the establishment of an Authority for
the development of the marine products industry under the control of the Union and for
matters connected therewith.The Marine Products Export Development Authority (MPEDA)
was set up by the act of Parliament in the year 1972. MPEDA is given the mandate to
develop, regulate and promote the marine products industry with special reference to
exports from the country. The Act empowers MPEDA to develop and regulate offshore/deep
sea fishing, undertake measures for conservation and management of fish resources.
Sl. Section Existing Provision Provisions as amended in the

1. Section 20 If any person contravenes any If any person contravenes any

(3) order made under sub-section order made under sub-section
(1), he shall, without prejudice to (1), he shall, without prejudice to
any confiscation or penalty to any confiscation or penalty to
which he may be liable under which he may be liable under the
the provisions of the Customs provisions of the Customs Act,
Act, 1962, as applied by sub- 1962, as applied by sub-section
section (2), be punishable with (2), be liable to pay penalty not
imprisonment for a term which less than ten thousand rupees
may extend to one year, or with or not exceeding twice the
fine, or with both. value of goods, whichever is
higher, in respect of which
such order has been made.
2. Section 23 Any person who being required Any person who being required by
by or under this Act to furnish any or under this Act fails to furnish
return fails to furnish such returns such returns or furnishes a return
or furnishes a return containing containing any particulars which is
any particulars which is false and false and which he knows to be
which he knows to be false or false or does not believe to be
does not believe to be true shall true shall be liable to pay
be punishable with fine which penalty which may extend to
may extend to five hundred ten thousand rupees.
rupees.
3. Section 24 Any person who— 24. Penalties for obstructing a

(a) obstructs any member member or officer of Authority in
authorised by the Chairman in the discharge of his duties and for
114
writing or any officer or other failure to produce books and
employee of the Authority records.— Any person who-
authorised by it in this behalf or
any person authorised in this (a) obstructs any member
behalf by the Central Government authorised by the Chairman in
or by the Authority, in the writing or any officer or other
exercise of any power conferred, employee of the Authority
or in the discharge of any duty authorised by it in this behalf or
imposed, on him by or under this any person authorised in this
Act; or behalf by the Central Government
or by the Authority, in the exercise
(b) having control over or custody of any power conferred, or in the
of any account book or other discharge of any duty imposed, on
record, fails to produce such book him by or under this Act, shall be
or record when required to do so punishable with imprisonment for
by or under this Act, shall be a term which may extend to six
punishable with imprisonment for months, or with fine which may
a term which may extend to six extend to one thousand rupees, or
months, or with fine which may with both.
extend to one thousand rupees,
or with both. (b) having control over or custody
of any account book or other
record, fails to produce such book
or record when required to do so
by or under this Act, shall be liable
to pay penalty which may extend
to ten thousand rupees.
4. Section 25 Whoever contravenes or 25. Other penalties.- Whoever
attempts to contravene or abets contravenes or attempts to
the contravention of the contravene or abets the
provisions of this Act or of any contravention of the provisions of
rules made there under other this Act or of any rules made
than the provisions, punishment thereunder other than the
for the contravention whereof provisions, punishment for the
has been provided for in contravention whereof has been
Sections 20,23 and 24, shall be provided for in sections 20, 23
punishable with imprisonment and 24, shall be liable to pay a
for a term which may extend to penalty not less than ten thousand
six months, or with fine which rupees, or not exceeding an
may extend to one thousand amount equivalent to the value of
rupees or with both and in the goods, whichever is higher, in
case of continuing such respect of which such order has
contravention with an additional been made, and in case of a
fine which may extend to fifty continuing contravention as
rupees for every day during aforesaid, a penalty of not less
which such contravention than fifty thousand rupees, or not
continues after conviction for the exceeding an amount equivalent
first such contravention. to twice the value of goods,
whichever is higher, in respect of
which such order has been made.
115
“MPEDA Act had provisions prescribing imprisonment and fine for offenses under the
Act. Sections 20(3), 23, 24, and 25 stipulates criminal penalty for contravention of
provisions under various Sections of the Act.
i) Sub section (3) of Section 20 stipulates the imprisonment or fine if any
person contravenes any order made by Central Government prohibiting,
restricting or otherwise controlling the import or export of marine products.
ii) Section 23 stipulates the fine if a person furnishes false return or fails to
furnish such return.
iii) Section 24 (a) provides for imprisonment or fine if a person obstructs any
authorised member in the exercise of any power conferred, or in the
discharge of any duty imposed, on him by or under the Act. Section 24(b)
provides for imprisonment or fine if a person fails to produce account book
or other record when required to do so by or under the Act.
iv) Section 25 stipulates imprisonment or fine for contravention or attempt to
contravene or abetment to the contravention of the provisions of the Act or
of any rules made under this Act.
The penalties under these provisions have not been actually implemented by
MPEDA in recent past. Accordingly, these minor offences with negligible impact on
national security have been proposed to be decriminalized i.e. replace the
imprisonment and fine provisions with civil penalty.
Amendments have been proposed, vide Sl. No 19 of the Jan Vishwas

(Amendment of Provisions) Bill, 2022 in Sections 20(3), 23, 24 and 25. Amendments
propose to replace imprisonment and fine with penalty. Fine is generally related with
criminal action and for which sanction by court is required while penalty is a civil
liability. Imprisonment and fine has been done away with except under section 24 (a).
Section 24(a) provides imprisonment for obstruction in the discharge of any duty. For
obstruction of Government Officials, action can be taken under IPC but MPEDA
officials are not treated as government officials. Therefore, it is important to retain the
provision of imprisonment and fine under MPEDA Section 24(a) to enable MPEDA to
overcome obstructions in implementing the schemes and programmes.
The proposed amendment will reduce the regulatory compliances burden on

marine exporters. Further, it would also promote ease of doing business in the
fisheries sector and prevent fear of undue harassment among stakeholders (Seafood
Exporters, processors, Fishermen etc.)”
2.116.1. In their presentation during the sitting held on 31 st January, 2023, giving
justification for the need for the proposed amendments, the Department submitted that the
amendment seek to promote quality marine products exported from the country in
compliance with national and international standards. It was also submitted that imposing of
116
financial liability by means of penalty on the erring entities will act as a deterrent for various
non – compliances. On being asked as to why the Department seeks to retain imprisonment
in Section 24 (a) providing for penalties for obstructing a member or officer of Authority in
the discharge of his duties, the Department submitted as under:
“We are proposing to retain this clause because what has happened in the MPEDA Act
is, the officials of MPEDA are not considered to be public servants. That clause by
formulation of the Act has not been there. There is a specific clause which entails that
the officials of that organization or board will be treated as public servants. Here, they
are not treated as public servants. So, the IPC is not invoked. That is why we propose
to retain this clause.”
2.117.1. After detailed discussions and clarifications on the amendments proposed to

be made in the Marine Products Export Development Authority Act, 1972, specified at serial
no. 19 of the Schedule to the Bill, the Committee decided to consider, inter alia, the following
Section 25: An adjudication mechanism with appellate provisions may be

provided for penalties in the proposed provisions.
117
The High Denomination Bank Notes (Demonetisation) Act, 1978

2.119. Purpose of the Act: To provide in the public interest for the demonetisation of
certain high denomination bank notes and for matters connected therewith or incidental
thereto.
Sl. Section Existing Provision Provision, as amended by

Sabha
1. Section 10 Penalties.—(1) If any bank fails Penalties.—(1) If any bank
to prepare and present within fails to prepare and present
the time and in the manner within the time and in the
provided by section 5 any return manner provided by section
referred to in that section, or 5 any return referred to in
presents any return under that that section, or presents any
section which is false in any return under that section
material particular, the manager which is false in any material
or other person in charge of the particular, the manager or
bank shall, unless he proves other person in charge of the
that the failure took place, or the bank shall, unless he proves
false return was presented, that the failure took place, or
without his knowledge or that he the false return was
exercised all due diligence to presented, without his
prevent the same, be knowledge or that he
punishable with imprisonment exercised all due diligence to
for a term which may extend to prevent the same, be
three years, or with fine, or with punishable with fine.
both.
(2) Whoever knowingly makes in (2) Whoever knowingly

any declaration under section makes in any declaration
any statement which is false or under section any statement
only partially true or which he which is false or only
does not believe to be true or partially true or which he
contravenes any provision of does not believe to be true
this Act or the rules made or contravenes any provision
thereunder shall be punishable of this Act or the rules made
with imprisonment for a term thereunder shall be
which may extend to three years punishable with fine.
or with fine or with both.
118
(3) An officer of a scheduled
bank who makes payment out of (3) An officer of a scheduled
the amount, being the exchange bank who makes payment
value of a high denomination out of the amount, being the
bank note credited under sub- exchange value of a high
section (4) of section 7 to an denomination bank note
account maintained with such credited under sub-section
bank shall unless such account (4) of section 7 to an account
is an account which has been maintained with such bank
opened after proper shall unless such account is
introduction, be punishable with an account which has been
imprisonment for a term which opened after proper
may extend to three years, or introduction, be punishable
with fine, or with both. with fine.
2.121.1. The Department of Economic Affairs has proposed amendment of the Section
10 of the High Denomination Banknotes (Demonetisation) Act, 1978 in the Jan Vishwas
(Amendment of Provisions) Bill, 2022. In their background note, the Department has stated
the proposed amendments are concerned with the Coin and Currency Division of the
Department of Economic Affairs.
2.121.2. Section 5 of the Act provides that every bank and Government treasury shall
prepare and send to the Reserve Bank in the manner provided in this section a return
showing separately under each denominational value the total value of high denomination
bank notes of that value held by it at the close of business on the 16 th day of January, 1978
and distinctive numbers of high denomination bank notes of that value. If any bank
contravenes the provisions of section 5, it shall be punishable as per section 10(1).
2.121.3. Further, Section 7 of the Act provides that any person other than a bank and
Government Treasury shall exchange of high denomination bank notes held by them by
19th January, 1978 on certain conditions. Any false declaration made by any person under
this section is punishable as per Section 10(2) and any failure of the bank to credit the
amount to a properly introduced account of the owner or the declarant is punishable as per
section 10(3).
2.121.4. The proposed amendments in all the three sub-sections of Section 10 of the
Act are deleting the provision “with imprisonment for a term which may extend to three year
or with find or with both” and substituting it with “punishable with fine”. Section 10 of the Act
also carries imprisonment as penalty. The penalty provisions of Section 10 of the Act are in
respect of contravention of provisions under section 5 and section 7 of the Act ibid. The
time period within which contravention of the section 5 and section 7 of the Act was
punishable has elapsed way back by 19th and 23rd January 1978. There may not be any
impact on the provisions of the Act if punishment of imprisonment is removed as it doesn't
seem obligatory and it has become obsolete. However, the penalty provision related to fine
have been proposed to be retained since section 5 and section 7 of the Act, 1978 are part of
substantive provisions of the Act and contravention of which are an offence.
119
2.122.1. The Committee in their sitting held on 6th February, 2023, discussed the
proposed amendments in detail with the representatives of the Department of Economic
Affairs and the Legislative Department and sought clarifications on varied issues involved.
The Legislative Department put forward that the High Denomination Bank Notes
(Demonetisation) Act, 1978 has outlived its utility and so they had suggested the Ministry of
Finance to repeal the whole Act. The representative from the Department of Economic
Affairs informed the Committee that they had checked up with the Reserve Bank of India
and the likelihood is negligible because they have no pending complaints with them relating
to this Section. The Department of Economic Affairs further submitted the following before
the Committee:
“We flagged what was suggested by Ministry of Law with Reserve Bank of India
asking whether it can be repealed in entirety or whether there are any other
precedents. We are in consultation and we will revert immediately. They (RBI) are
examining it.”
2.123.1. After in-depth discussion and clarifications on the amendments proposed to be

made in the High Denomination Banknotes (Demonetisation) Act, 1978, the Committee
agreed, in principle, with the amendments proposed to the Act, as specified at serial no. 20
of the Schedule to the Bill; however simultaneously, the Committee also recommended that
the Act may be sent in the category of ‘repeal’. The Committee asked the Department of
Economic Affairs to inform in the ‘Second Reading of the Bill’ whether a satisfactory reply is
received by them by that time. In case a satisfactory reply is received, the Act would be
sent for ‘repeal’ and if the reply does not come then the Committee would amend the
provisions as proposed and even then the Committee would recommend for thorough
examination of the Act for repeal. The Committee accordingly decided to consider the
suggestions during clause-by-clause consideration of the Bill.
120
The Air (Prevention and Control of Pollution) Act, 1981
2.124. Administering Ministry: Ministry of Environment, Forests and Climate Change
2.125. Purpose of the Act: The object of the Air (Prevention and Control of Pollution)
Act, 1981 is to provide for the prevention, control and abatement of air pollution, mandating
the Central Pollution Control Board and State Pollution Control Boards to implement the
provisions of the Act, and confer functioning powers to them.

1. Section 21. Restrictions on use of (1) No person shall establish or
21(1) certain industrial plants.—(1) operate any industrial plant in
Subject to the provisions of an air pollution control area
this section, unless the previous consent of
no person shall, without the the State Board has been
previous consent of the State obtained in pursuance of an
Board, establish or operate application made by such
any industrial plant in an air person in accordance with the
pollution control area: provisions of this section:
Provided that a person Provided that the Central
operating any industrial plant Government may in
in any air pollution control consultation with the Central
area immediately before the Pollution Control Board, by
commencement of section 9 notification in the Official
of the Air (Prevention and Gazette, exempt certain
Control of Pollution) categories of industrial plants
Amendment Act, 1987, for from application of the
which no consent was provisions of this sub-section.
necessary prior to such
commencement, may
continue to do so for a period
of three months from such
commencement or, if he has
made an application for such
consent within the said period
of three months, till the
disposal of such application.
2. Insertion 21A. Power to issue
of New NIL Guidelines. - (1)
Section Notwithstanding anything
21A after contained in section 21, the
Section Central Government in
21 consultation with the Central
121
Board may, by notification in the
Official Gazette, issue
guidelines on the matters
relating to the grant, refusal or
cancellation of consent by any
State Board to establish or
operate any industrial plant in
an air pollution control area,
including the mechanism for
time bound disposal of the
application made under section
21 or validity period of such
consent.
(2) Every State Board, in
discharge of its functions for the
purposes of grant, refusal or
cancellation of consent under
section 21 shall act in
accordance with the guidelines
issued under sub-section (1).
3. Section Failure to comply with the 37. Failure to comply with
37 provisions of section 21 or provisions of section 22 or
section 22 or with the directions issued under section
directions issued under 31A.- (1) Whoever contravenes
section 31A. or does not comply with the
(1) whoever fails to comply provisions of sections 22 or
with the provisions of section directions issued under section
21 or section 22 or directions 31A, shall, in respect of each
issued under section 31A. such contravention or non-
Section 21 – Restrictions to compliance, be liable to pay
use of certain industrial penalty which shall not be less
plants. than ten thousand rupees, but
Section 22 - Persons carrying which may extend to fifteen lakh
on industry, etc., not to allow rupees.
emission of air pollutants in
excess of the standard laid
down by State Board.
Section 31 A - Power to give
directions.
Punishable with imprisonment
for a term which shall not be
less than one year and six
months but which may extend
to six years and with fine, and
in case the failure continues,
with an additional fine which
rupees for every day.
(2) If the failure referred to in (2) Where any person

122
sub-section (1) continues continues contravention or
beyond a period of one year non-compliance under sub-
after the date of conviction. section (1), he shall be liable
Punishable with imprisonment to pay an additional penalty
for a term which shall not be often thousand rupees every
less than two years but which day during which such
may extend to seven years contravention continues.
and with fine.
4. Section Section 38 - Penalties for 38. Penalties for certain act. –
38. certain acts. — Whoever— (1) Whoever-
(a) destroys, pulls down, (a) destroys, pulls down,
removes, injures or defaces removes, injures or defaces
any pillar, post or stake fixed any pillar, post or stake fixed in
in the ground or any notice or the ground or any notice or
other matter put up, inscribed other matter put up, inscribed
or placed, by or under the or placed, by or under the
authority of the Board, or authority of the Board;
(b) obstructs any person (b) obstructs any person acting
acting under the orders or under the orders or directions
directions of the Board from of the Board from exercising his
exercising his powers and powers and performing his
performing his functions functions under this Act;
under this Act, or (c) damages any works or
(c) damages any works or property belonging to the
property belonging to the Board;
Board, or (d) fails to furnish to the Board
(d) fails to furnish to the or any officer or other
Board or any officer or other employee of the Board any
employee of the Board any information required by the
information required by the Board or such officer or other
Board or such officer or other employee for the purpose of
employee for the purpose of this Act;
this Act, or (e) fails to intimate the
(e) fails to intimate the occurrence of the emission of
occurrence of the emission of air pollutants into the
air pollutants into the atmosphere in excess of the
atmosphere in excess of the standards laid down by the
standards laid down by the State Board or the
State Board or the apprehension of such
apprehension of such occurrence, to the State Board
occurrence, to the State and other prescribed authorities
Board and other prescribed or agencies as required under
authorities or agencies as sub-section (1) of section 23;
required under sub-section (f) fails in giving any information
(1) of section 23, or which he is required to give
(f) in giving any information under this Act, makes a
which he is required to give statement which is false in any
under this Act, makes a material particular, shall be
statement which is false in liable to pay penalty which shall
any material particular, or not be less than ten thousand
123
(g) for the purpose of rupees, but which may extend
obtaining any consent under to fifteen lakh rupees.
section 21, makes a (2) Where any person
statement which is false in continues contravention or non-
any material particular, shall compliance under sub-section
be punishable with (1), he shall be liable to pay an
imprisonment for a term additional penalty of ten
which may extend to three thousand rupees every day
months or with fine which during which such
may extend to 2 [ten contravention continues.
thousand rupees] or with
both.
5. Insertion Nil 38A. Penalty for
of New contravention by Government
Section Department
38A after
Section (1) Where contravention of any
38 provision of this Act has been
committed by any Department
of the Central Government or
the State Government, the
Head of the Department shall
be liable to pay the penalty
equal to one month of his basic
salary:
Provided that such Head
of the Department shall not be
liable for such contravention, if
he proves that the
contravention was committed
without his knowledge or
instructions or that he exercised
all due diligence to prevent
such contravention.
(2) Where any contravention
under sub-section (1) is
attributable to any neglect on
the part of, any officer, other
than the Head of the
Department, the officer shall be
liable to pay the penalty equal
to one month of his basic
salary.
Provided that he shall not be
liable for the contravention, if he
proves that he exercised all due
diligence to avoid such
contravention.
6. Section 39. Penalty for contravention 39. Penalty for contravention of
39 of certain provisions of the certain provisions of this Act -- If
124
Act.—Whoever contravenes any person contravenes any of
any of the provisions of this the provisions of this Act or any
Act or any order or direction order or direction issued
issued thereunder, for which thereunder, for which no
no penalty has been penalty has been provided for in
elsewhere provided in this this Act, shall be liable to pay
Act, shall be punishable with the penalty which shall not be
imprisonment for a term less than ten thousand rupees,
which may extend to three but which may extend to fifteen
months or with fine which lakh rupees, and where such
may extend to ten thousand contravention continues, he
rupees or with both, and in shall be liable to pay an
the case of continuing additional penalty which may
contravention, with an extend to ten thousand rupees
additional fine which may every day during which such
extend to five thousand contravention continues.
which such contravention
continues after conviction for
the first such contravention.
7. Insertion Nil 39A. Adjudicating officer. - (1)
of New The Central Government, for
Section the purposes of determining the
39A penalties under sections 37, 38
and 39, may appoint an officer
not below the rank of Joint
Secretary to the Government of
India or a Secretary to the State
Government to be the
adjudicating officer, to hold an
inquiry and to impose the
penalty in the manner, as may
be prescribed:
Provided that the Central
Government may appoint as
many adjudicating officers as
may be required.
(2) The adjudicating officer may

summon and enforce the
attendance of any person
acquainted with the facts and
circumstances of the case to
give evidence or to produce any
document, which in the opinion
of the adjudicating officer, may
be useful for or relevant to the
subject-matter of the inquiry
and if, on such inquiry, he is
satisfied that the person
125
concerned has contravened the
provisions of this Act, he may
determine such penalty as he
thinks fit in accordance with the
provisions of sections 37, 38 or
39 as the case may be:

opportunity of being heard in
the matter.
(3) The amount of penalty

imposed under the provisions of
section 37, 38 and 39, shall be
in addition to the liability to pay
relief or compensation under
section 15 read with section 17
of the National Green Tribunal
Act, 2010. (19 of 2010).
8. Insertion Nil 39B. Appeal. - (1) Any person
of New aggrieved by the order passed
Section by the adjudicating officer under
39B sections 37, 38 or 39, may
prefer an appeal to the National
Green Tribunal established
under section 3 of the National
Green Tribunal Act, 2010 (19 of
2010)
(2) Every appeal under sub-

section (1) shall be filed within
sixty days from the date on
which the copy of the order
made by the adjudicating officer
is received by the aggrieved
person.
(3) The National Green Tribunal

may, after giving the parties to
the appeal an opportunity of
being heard, pass such order
as it thinks fit, confirming,
modifying or setting aside the
order appealed against.
(4) Where an appeal is

preferred against any order of
the adjudicating officer under
126
sub-section (1), it shall not be
entertained by the Tribunal
unless the person has
deposited with the Tribunal ten
per cent of the amount of the
penalty imposed by the
adjudicating officer.
9. Insertion Nil 39C. Penalty amount to be
of New credited to Environmental
Section Protection Fund. - Where an
39C adjudicating officer imposes
penalty or additional penalty, as
the case may be, under
sections 37, 38 or 39, the
amount of such penalty shall be
credited to the Environmental
Protection Fund established
under section 16 of the
Environment (Protection) Act
1986. (29 of 1986).
10. Insertion Nil 39D. Offences for failure to
of New comply with provisions of
Section section 21 and for failure to pay
39D penalty.- (1) Whoever fails to
comply with the provisions of
section 21, shall, in respect of
each such failure, be
for a term which shall not be
less than one year and six
months but which may extend
to six years and with fine, and in
case the failure continues, with
an additional fine which may
extend to fifty thousand rupees
for every day during which such
failure continues after the
conviction for the first such
failure.
(2) If the failure referred to in

sub-section (1) continues
beyond a period of one year
after the date of conviction, the
offender shall be punishable
which shall not be less than two
years but which may extend to
seven years and with fine.
127
(3) Where any person fails to
pay the penalty or the additional
penalty, as the case may be,
imposed under the provisions of
this Act within ninety days of
such imposition, he shall be
three years, or with fine which
may extend to twice the amount
of the penalty or additional
penalty so imposed or with
both.
(4) Where any offence under

sub-section (1) or sub-section
(2) or sub-section (3) has been
committed by a company, every
person who, at the time the
offence was committed, was
directly in charge of, and was
responsible to, the company for
the conduct of the business of
the company, as well as the
company, shall be deemed to
be guilty of such offence and he
shall be liable to be proceeded
against and punished
accordingly:
Provided that nothing
contained in this sub-section
shall render any such person
liable to any punishment
provided in sub-section (1)
sub-section (2) or sub-section
(3) if he proves that the
offence was committed without
his knowledge or that he
exercised all due diligence to
prevent the commission of
such offence.
(5) Notwithstanding anything

contained in sub-section (4),
where an offence has been
committed by a company and
it is proved that the offence
has been committed with the
consent or connivance of, or is
128
the part of, any director,
manager, secretary or other
officer of the company, such
director, manager, secretary or
other officer shall also deemed
to be guilty of that offence and
accordingly.
Explanation. -For the

purposes of this section, -
(a) "company" includes body
corporate, firm, trust, society
and any other association of
individuals;
(b) "director", includes director
of the company, partner of the
firm, members of the society or
trust or member of any
association of individuals, as
the case may be.
11. Section 40.Offences by companies.— Proposed for omission in the
40 Bill, as introduced.
(1) Where an offence under
this Act has been committed
by a company, every person
who, at the time the offence
was committed, was directly
in charge of, and was
responsible to the company
for the conduct of the
business of the company, as
well as the company, shall be
deemed to be guilty of the
offence and shall be liable to
be proceeded against and
punished accordingly:
provided in this Act, if he
proves that the offence was
committed without his
knowledge or that he
such offence.
129
where an offence under this
Act has been committed by a
company and it is proved that
the offence has been
committed with the consent or
connivance of, or is
the part of, any director,
director, manager, secretary
or other officer shall also be
deemed to be guilty of that
punished accordingly.
Explanation.—For the
purpose of this section,—
(a) “company” means any
body corporate, and includes
a firm or other association of
individuals;
and
(b) “director”, in relation to a
firm, means a partner in the
firm
12. Section 41. Offences by Government Proposed for omission in the
41 Departments.—(1) Where an Bill, as introduced.
offence under this Act has
been committed by any
Department of Government,
the Head of the Department
shall be deemed to be guilty
of the offence and shall be
liable to be proceeded against
and punished accordingly:
contained in this section shall
render such Head of the
Department liable to any
punishment if he proves that
the offence was committed
without his knowledge or that
he exercised all due diligence
to prevent the commission of
such offence.
130
where an offence under this
Department of Government
and it is proved that the
offence has been committed
with the consent or
connivance of, or is
Department, such officer shall
also be deemed to be guilty of
that offence and shall be
and punished accordingly.
14. Insertions Nil (aa) adjudicating officer or any

of clause officer authorised by him in this
(aa)after behalf;
clause (a)
u/S. 43 (1)
15. Insertion Nil (h) the manner of holding
of clause inquiry and imposing penalties
(h) after by the adjudicating officer under
clause (g) sub-section (1) of section 39A;
u/S. 53 (1)
2.126.1. As per the existing legal framework of the Act, at present, in case of any non-
compliance or contravention of the provisions of the Air (Prevention and Control of Pollution)
Act, 1981, or of the rules or directions issued under the Act, such as that of non-compliance
of the provisions of the Section 21 and 22 of the Act or directions issued thereunder, the
violator will be punishable with imprisonment for a term which shall not be less than six
months but which may extend to six years and with fine. In case the failure continues, with
an additional fine which may extend to five thousand rupees for every day during such
failure continues after the conviction of the first such failure. Further, if the violation
continues beyond a period year, the offender shall be punishable with imprisonment for a
term which shall not be less than two years but which may extend to seven years and with
fine.
2.127.1. In their background note, giving the rationale behind the proposed
amendment, the Ministry have stated that:
(i) Imprisonment provision for minor violations not leading to any injury to human
or damage to environment is not justifiable.
131
(ii) Imprisonment provision for many provisions in the first instance itself is also
not justifiable. Criminal provisions many a times cause harassment to
businesses and citizens for simple non-compliance.
(iii) As per the available records/information, total 1737 Criminal Cases have been
registered for violation of Environmental norms under EPA, 1986; Water Act,
1974 and Air Act, 1981 over last three years i.e 2019-2021. Out of which only
total 39 people were actually convicted under the above said Acts.
(iv) Courts were being needlessly burdened due to invoking of Section 15 of EPA,
1986 on minor and procedural defaults.
2.127.2. Elaborating further, the Ministry have submitted that considering the above
and experience gained in the implementation of the AIR ACT, 1981 over a period of 40
years, it was observed that the criminal provisions contained in the existing Act neither act
as a deterrent nor helps towards the cause of environment protection. Therefore, imposition
of heavier penalties coupled with provisions of IPC, 1860 will act as a deterrent for habitual
violators. It is proposed that imprisonment for minor lapses shall be replaced with heavier
penalties. The amount of penalties to be imposed was fixed on the basis of the nature of
offence. As an outcome, the proposed amendment with heavier penalties shall at one hand
act as a deterrent for violators and at other hand shall encourage a culture of self-regulation
for serious players.
2.127.3. The Ministry have further informed that Inter-Ministerial Consultation (IMC) and
Public Consultation (PC) was carried out through Public Notice published on website of
MoEF&CC and in 61 newspapers PAN-INDIA. It was further informed that a total of 41
comments/ suggestions were received from PC, 6 comments from IMC and 7 comments
from States/UTs which were duly examined and incorporated, as deemed fit, in the
proposed Bill.
2.127.4. Giving the salient features of the proposed amendments in Act, the Ministry
have submitted that:
i. Penal provision mentioned under the Air (Prevention and Control of Pollution)
Act, 1981 is proposed to be partially decriminalized by substituting it with penalty
and additional penalty.
ii. Contravention or non-compliance of the provisions of the Air (Prevention and

Control of Pollution) Act, 1981 would be dealt with through imposing penalty
through an Adjudicating Officer. However, violations under Section 21 of the Act,
related to prior consent to establish / operate would attract criminal liability. The
violations pertaining Section 22, 31A, 37, 38 and 39 are proposed to be dealt with
through imposition of financial penalties replacing prosecution in the court of law.
iii. Appointment of an Adjudicating Officer is proposed for the purpose of determining

the penalties under the Air (Prevention and Control of Pollution) Act, 1981.
However, if the penalty and additional penalty, as the case may be, is not paid by
the violator, criminal provision shall be applicable.
iv. Contravention of the provisions of the Air (Prevention and Control of Pollution)
Act, 1981 by companies shall be covered under Section 39D and by Government
Departments under section 38A respectively.
132
v. The amount of penalty imposed by the Adjudicating Officer while adjudicating the
damage to environment shall be remitted to the Environmental Protection Fund
created under the Environment (Protection) Act, 1986.
vi. However, if the penalty and additional penalty, as the case may be, is not paid by
the violator, criminal provision shall be applicable.
vii. Any person aggrieved by the Order of the Adjudicating Officer may prefer an
appeal before the Hon’ble National Green Tribunal as prescribed under section
39B.
viii. The Central Government through the proposed Amendment will be authorised to
issue notification of exempting certain categories of Industries such as Green
Industries / Non-Polluting Industries mandated to obtain prior Environmental
Clearance under EIA Notification, from the requirement of obtaining prior consent
before establishing / operating such industrial unit under section 21 of the Air
(Prevention and Control of Pollution) Act, 1981.
ix. The Central Government has been authorised to prescribe guidelines on the
matters related to the grant, refusal or cancellation of consent by any State Board
to establish or operate any industrial plant in an air pollution control area,
including the mechanism for time-bound disposal of the application made under
the Air (Prevention and Control of Pollution) Act, 1981.
2.127.5. The Ministry in their background note have submitted that following
benefits shall ensue through the proposed amendments:
(i) Proposed amendment will encourage self-regulation and create an

atmosphere of trust based governance.
(ii) By way of the instant proposed amendment bill, the concept of Adjudicating
officer for dealing with defaulters has been proposed to be introduced. In doing
so, the proposed bill will ease out the stress on the criminal justice system.
(iii) Increased penalty amount will act as deterrent for law-abiding entrepreneurs
which would ensure better compliance of laws while also promote better
corporate management practices in their operations.
(iv) Eliminates the fear of imprisonment on minor lapses. This reform will also send
out a clear message to the law-abiding entrepreneurs and corporations at
large, about the Government’s commitments to promote ease of doing
business and ease of living in India.
(v) Efforts would boost foreign investments in India.
133
2.128.1. After the briefing by the Ministry and clarifications on the amendments
proposed to be made in the Air (Prevention and Control of Pollution) Act, 1981, specified at
serial no. 21 of the Schedule to the Bill, the Committee decided to consider, inter alia, the
following modifications during Clause-by-Clause consideration:
Section 21 A: The opening portion of Section 21A be changed to be read as

“Notwithstanding anything contained under this Act” instead of
Notwithstanding anything contained in this Act”.
Section 39 A Sub-section (2) of section 39A, “in accordance with” shall be changed to
“under the provisions of”.
134
The National Bank for Agriculture and Rural Development Act, 1981

2.130. Purpose of the Act: To establish a development bank to be known as the

National Bank for Agriculture and Rural Development for providing and regulating credit and
other facilities for the promotion and development of agriculture small-scale industries,
cottage and village industries, handicrafts and other rural crafts and other allied economic
activities in rural areas with a view to promoting integrated rural development and securing
prosperity of rural areas, and for matters connected therewith or incidental thereto.

No. No. Bill introduced in Lok Sabha
1. Section (2) If any person fails to produce (2) If any person fails to produce
56 (2) any book, account or other any book, account or other
document, or to furnish any document, or to furnish any
statement or information which, statement or information which,
under the provisions of this Act, it under the provisions of this Act, it
is his duty to produce or furnish, is his duty to produce or furnish,
he shall be punishable with a fine he shall be liable to pay a
which may extend to two penalty which may extend to one
thousand rupees in respect of lakh fifty thousand rupees in
each offence and in the case of a respect of each failure and in the
continuing failure, with an case of a continuing failure, an
additional fine which may extend additional penalty which may
to one hundred rupees for every extend to seven thousand five
day during which the failure hundred rupees for every day
continues after conviction for the during which the failure continues
first such failure. after the first such failure.
2. Insertion Nil (3) For the purpose of adjudging

of new penalty under sub-section (2), the
sub- National Bank shall serve notice
sections on the person requiring it to show
56(3) to cause why the amount specified in
56(7) the notice should not be imposed
as a penalty and a reasonable
opportunity of being heard shall
also be given to such person.
(4) Any penalty imposed by the
National Bank under this section
shall be payable within a period of
135
fourteen days from the date on
which notice issued by the
National Bank demanding
payment of the sum is served on
the person and, in the event of
failure of the person to pay the
sum within such period, may be
levied on a direction made by the
principal civil court having
jurisdiction in the area where the
person is situated:
Provided that no such direction

shall be made to the court by the
National Bank or by any officer
authorized by the National Bank in
this behalf.
(5) The court which makes a

direction under sub-section (4)
shall issue a certificate specifying
the sum payable by the person
and every such certificate shall be
enforceable in the same manner
as if it were a decree made by the
court in a civil suit.
(6) No complaint shall be filed

against any person in any court of
law in respect of any
contravention or default in respect
of which any penalty has been
imposed by the National Bank
under sub-section (2).
(7) Where any complaint has been

filed against any person in any
court in respect of the
contravention or default of the
nature referred to in sub-section
(1) then, no proceedings for the
imposition of any penalty on the
person shall be taken under sub-
section (2).
2.132.1. The Department of Financial Services has proposed to amend sub-section (2)
of Section 56 of the National Bank for Agriculture and Rural Development Act, 1981. The
136
proposal is to replace the existing provisions for imposition of a fine with a provision for
imposition of a penalty to be levied by NABARD. In their background note, the Department
has submitted that the offence under Section 56(2) relates to a failure to furnish document
or information etc. Further, the Department has proposed consequential insertions in
Section 56 to provide for the manner of levying of penalty and recovery of penalty by the
NABARD.
2.133.1. During the sitting held on 6th February, 2023, the representatives of the
Department of Financial Services briefed the Committee on the proposed amendments.
After their presentation, the Committee sought certain clarifications on varied terms used in
the sub-sections proposed to be amended as well as inserted in the National Bank for
Agriculture and Rural Development Act, 1981.
2.134.1. After the briefing and clarifications on the amendments proposed to be made
in the National Bank for Agriculture and Rural Development Act, 1981, the Committee
appreciated that the proposed amendment would reduce burden on the court because once
the penalty has been paid under the proposed provisions, the matter rests there at least in
respect of that failure. The Committee suggested that the Department should look into the
Deposit Insurance and Credit Guarantee Corporation Act, 1961 to provide for the similar
provisions as made under the proposed sub-sections (6) and (7) in Section 56 of the
National Bank for Agriculture and Rural Development Act, 1981.
2.134.2. After discussion, the Committee agreed, in principle, with the amendments
proposed to the National Bank for Agriculture and Rural Development Act, 1981, specified at
serial no. 22 of the Schedule to the Bill and decided to consider any further modifications, if
required, during clause-by-clause consideration.
137
The Spices Board Act, 1986

2.136. Purpose of the Act: The Act provide for the constitution of a Board for the
development of export of spices and for
the control of cardamom industry including the control of cultivation of cardamom and
matters connected therewith
Sl. Section Existing Provisions Provisions as amended by the Bill

1 Section 27 27. Any person who – 27. Any person who –
(a) obstructs any member (a) obstructs any member authorised
authorised by the Chairman in by the Chairman in writing or any
writing or any officer or other officer or other employee of the
employee of the Board Board authorised by it in this
authorised by it in this behalf or behalf or any person authorised in
any person authorised in this this behalf by the Central
behalf by the Central Government of by the Board, in the
Government of by the Board, in exercise of any power conferred, or
the exercise of any power in the discharge or any duty
conferred, or in the discharge or imposed, on him by or under this Act;
any duty imposed, on him by or or
under this Act; or (b) having control over or custody of
(b) having control over or any account book or other record;
custody of any account book or fails to produce such book or record
other record; fails to produce when required to do so by or under
such book or record when this Act.
required to do so by or under Shall be punishable with penalty
this Act. which may extend to fifty
Shall be punishable with thousand rupees and for
imprisonment which may extend subsequent offence penalty which
to six months, or with fine may extend to one lakh rupees.
which may extend to one
thousand rupees, or with both.
2 Section 28 28(1) If any person contravenes Proposed for omission in the Bill, as
any order made under section introduced.
16, he shall be punishable with
fine which may extend to one
thousand rupees, or with both;
138
and the property in respect of
which the order has been
contravened or such part thereof
as the Court may deem fit, shall
be forfeited to the Central
Government.
(2) Any person who attempt to
contravene, abets the
contravention of any order
under section 16 shall be
deemed to have contravened
that order.
3 Section 29 29. If any person contravenes 29. If any person contravenes the
the provisions of section 11 or provisions of section 11 or any order
any order made under section made under section 17 he shall,
17 he shall, without prejudice to without prejudice to any confiscation
any confiscation or penalty to or penalty to which he may be liable
which he may be liable under under the provisions of the Customs
the provisions of the Customs Act, 1962, be punishable with penalty
Act, 1962, be punishable with which may extend to fifty thousand
imprisonment for a term which rupees: provided the penalty for
may extend to one year, or with subsequent offences by the same
fine which may extend to one person may extend to one lakh
thousand rupees, or with both. rupees.
4 Section 30 30. Whoever contravenes 30. Whoever contravenes
or attempts to contravene or or attempts to contravene or abets
abets the contravention of the the contravention of the provisions of
provisions of this Act or of any this Act or of any rules or
rules or regulations made there regulations made there under other
under other than the than the provisions, punishment for
provisions, punishment for the the contravention whereof has been
contravention whereof has been provided for in section 26, 27, 28
provided for in section 26, 27, and 29, shall be punishable with
28 and 29, shall be penalty which may extend to fifty
punishable with thousand rupees: provided the
imprisonment which may penalty for subsequent offences
extent to six months, or with by the same person may extend to
fine which may extend to one one lakh rupees.
thousand rupees, or with both,
fine which may extend to fifty
continues after conviction for
the first such contravention.
139
“Spices Board Act, which is more than 35 years old, had provisions prescribing
criminal penalties for offenses under the Act. Section 27, 28, 29 & 30 stipulates
criminal penalty for contravention of provisions under various Sections of the Act.
The criminal provisions were enacted during a period when restriction and regulation
were the key words. Currently, there is a felt need to decriminalize the contravention
of provisions under the Spices Board Act, with a view to facilitate ease of doing
business and to enable trade and commerce in spices in a liberalized environment.
Accordingly, amendments have been proposed, vide Sl. No 23 of the Jan Vishwas
(Amendment of Provisions) Bill, 2022, to provisions under Section 27, 28, 29 & 30 of
Spices Board Act, 1986. The ‘punishment with imprisonment’ provided under
Sections 27, 29 & 30 has been proposed for substitution with civil penalty which may
extend to fifty thousand rupees and further to one lakh rupees, in the case of
repeated offenses by the same person. Also, Section 28 of the Spices Board Act,
which prescribed punishment of imprisonment for contravention of Section 16 of the
Act (relating to Control of Price and Distribution of Cardamom) has been proposed for
deletion, aiming at de-regulation and trade facilitation.
The stakeholders benefitted by the amendments are spice exporters and growers,
dealers & auctioneers of cardamom. As a step to facilitate ease of doing business,
only civil penalty is proposed for contraventions such as export of spices without a
certificate, failure to produce books and records and any other contravention in the
Spices Board Act 1986. An approximate number of spice exporters and dealers,
auctioneers and growers of cardamom who will be benefitted are 7000, 730 and 1,10,
000, respectively.
Decriminalization of the provisions in the existing Act will facilitate ease of doing
business and provide fair & equitable benefits to all stakeholders, thereby ensuring
that Spices Board acts as a facilitator rather than regulator of the sector and
promotes faster growth and development of Spice sector, besides promoting export
of spices in a liberalized environment. "
2.139.1. After the briefing by the representatives of the Ministry and clarifications on the
amendments proposed to be made in the Spices Board Act, 1986, specified at serial no. 23
of the Schedule to the Bill, the Committee decided to consider, inter alia, the following
modifications during Clause-by-Clause consideration.
Section 26: Provisions in the act where only fine is currently prescribed, the
same may also be converted to penalty.
Section 30: For penalties in the proposed provisions an adjudication

mechanism with appellate provisions may be provided.
140
The Environment (Protection) Act, 1986
2.140. Administering Ministry: Ministry of Environment, Forests and Climate

Change
2.141. Purpose of the Act: The Environmental (Protection) Act, 1986 establishes the
framework for studying, planning, and implementing long-term requirements of
environmental safety and laying down a system of speedy and adequate response to
situations threatening the environment. It is an umbrella legislation designed to provide a
framework for the coordination of Central and State authorities.
S. Sections Existing Provision Provisions as amended in

Sabha
1 Insertion of Nil (ca) “Fund” means the
clause (ca) after Environmental (Protection)
clause (c) in Fund established under
Section 2 section 16;
2 Section 10.-- (2) (2) Every person carrying on (2) Every person carrying on
any industry, operation or any industry, operation or
Powers of process of handling any process of handling any
Entry and hazardous substance shall be hazardous substance shall
Inspection bound to render all assistance render assistance, as may be
to the person empowered by required, to the person
the Central Government under empowered by the Central
subsection (1) for carrying out Government under sub-
the functions under that sub- section (1) for carrying out the
section and if he fails to do so functions under that sub-
without any reasonable cause section and if he fails to do so
or excuse, he shall be guilty of without any reasonable
an offence under this Act. cause, he shall be liable to
(3) pay the penalty provided
(4) (3) If any person willfully delays under section 14B.
or obstructs any persons (3) If any person willfully
empowered by the Central delays or obstructs any
Government under sub-section persons empowered by the
(1) in the performance of his Central Government under
functions, he shall be guilty of sub-section (1) in the
an offence under this Act. performance of his functions
(5) under sub-sections (1) and
(6) (4) The provisions of the Code (2), he shall be liable to pay
of Criminal Procedure, 1973, the penalty provided under
141
or, in relation to the State of section 14B.
Jammu and Kashmir, or an (4) The provisions of the
area in which that Code is not Code of Criminal Procedure,
in force, the provisions of any 1973 (2 of 1974), shall, so far
corresponding law in force in as may be, apply to any
that State or area shall, so far search or seizures under this
as may be, apply to any search section as they apply to any
or seizures under this section search or seizure made under
as they apply to any search or the authority of a warrant
seizure made under the issued under section 94 of
authority of a warrant issued that Code.
under section 94 of the said
Code or as the case may be,
under the corresponding
provision of the said law.
2. Insertion of new Nil 14A. Penalty for
section contravention of section 7 or
14A after section 8.- (1) If any person,
Section 14 contravenes provisions of
section 7 or section 8 or
orders or directions issued
thereunder, he shall be liable
to pay the penalty in respect
of each such contravention or
non-compliance, which shall
not be less than one lakh
rupees but which may extend
to fifteen lakh rupees:
(2) Where any person
continues contravention on
non-compliance under sub-
section (1), he shall be liable
to pay an additional penalty
of fifty thousand rupees
every day during which such
contravention continues.
3. Insertion of Nil 14B. Penalty for
section contravention of sections 9,
14B after 10 and 11.-- (1) If any person
Section 14A contravenes or does not
comply with section 9, section
10 or section 11 or orders or
directions issued under those
sections, he shall be liable to
pay the penalty in respect of
each such contravention or
non-compliance which shall
not be less than ten thousand
rupees and may extend to
five lakh rupees:
142
section (1), he shall be liable
to pay an additional penalty
of ten thousand rupees per
day during which such
contravention continues.”
4. Section 15 (1) Whoever fails to comply with or(1) Where any person
contravenes any of the contravenes or does not
Penalty for provisions of this Act, or the comply with any of the
Contravention of rules made or orders or provisions of this Act, or the
the provisions of directions issued thereunder, rules made or orders or
the Act and the shall, in respect of each such directions issued thereunder,
Rules, Orders failure or contravention, be for which no penalty is
and Directions punishable with imprisonment provided, he shall be liable
for a term which may extend to to pay the penalty in respect
five years with fine which may of each such contravention
extend to one lakh rupees, or or non-compliance which
with both, and in case the shall not be less than five
failure or contravention thousand rupees but which
continues, with additional fine may extend to fifteen lakh
which may extend to five rupees.
during which such failure or
contravention continues after
the conviction for the first such
failure or contravention.
(2) If the failure or contravention

referred to in sub-section (1)(2) Where any person continues
continues beyond a period of contravention or non-
one year after the date of compliance under sub-
conviction, the offender shall be section (1), he shall be liable
punishable with imprisonment to pay an additional penalty
for a term which may extend to of ten thousand rupees for
seven years. every day during which such
5. Insertion of Nil 15A. Penalty for
section 15A contravention by companies.
– (1) Where any company
Penalty for contravenes any of the
contravention provisions of this Act, such
by companies company shall be liable to
pay the penalty for each such
contravention which shall not
be less than one lakh rupees
and may extend to fifteen lakh
rupees.
143
(2) Where any company
section (1), the company
shall be liable to pay an
additional penalty of one
lakh rupees every day during
continues.
6. Insertion of Nil 15B. Penalty for
section 15B contravention by Government
Department. –
Penalty for
contravention (1) Where contravention of
by Government any provision of this Act has
Department. been committed by any
Department of the Central
Government or the State
Government, the Head of the
Department shall be liable to
pay the penalty equal to one
month of his basic salary:
Provided he shall not be
liable for such contravention,
if he proves that the
contravention was committed
without his knowledge or
instructions or that he
prevent such contravention.
Department, such officer shall
equal to one month of his
basic salary:
Provided that he shall not
be liable for the
contravention, if he proves
that he exercised all due
contravention.
7. Insertion of Nil 15C. Adjudicating Officer. –

section 15C (1) The Central Government,
for the purposes of
Adjudicating determining the penalties
144
Officer under this Act, may appoint
an officer not below the rank
of Joint Secretary to the
Government of India or a
Secretary to the State
Government to be the
inquiry and to impose the
penalty in the manner, as
may be prescribed:
may be required.
(2) The adjudicating officer

may-
(a) call upon any person
alleged to have contravened
or not complied with the
provisions of this Act and the
rules made thereunder or
having the knowledge of the
facts and circumstances of
the case;
(b) require such person to
produce any record, register
or other document in his
possession or any other
document, which in the
opinion of the adjudicating
officer may be relevant to the
subject-matter.
shall, after giving the person a
reasonable opportunity of
being heard in the matter, and
if, on such inquiry, he is
concerned has contravened
or has not complied with the
provisions of the Act or the
rules made thereunder, he
may impose such penalty as
he thinks fit in accordance
with the provisions of sections
14A, 14B, 15, 15A or 15B, as
the case may be.
(4) The adjudicating officer,
145
while adjudicating the
quantum of penalty under
sub-section (3), shall have
due regard to the following,
namely: -
(a) the population and the
area impacted or affected due
to such contravention or non-
compliance;
(b) the frequency and
duration of such
contravention or non-
compliance;
(c) the vulnerability of the
class of persons likely to be
adversely affected by such
compliance;
(d) the damage caused or
likely to be caused to any
person, as a result of such
compliance, if any;
(e) the undue gain derived out
of such contravention or non-
compliance; and
(f) any such other factor, as
may be prescribed.

imposed under the provisions
of section 14A, 14B, 15, 15A
or 15B, as the case may be,
shall be in addition to the
liability to pay relief or
compensation under section
15 read with section 17 of the
National Green Tribunal Act,
2010 (19 of 2010)”.
8. Insertion of Nil 15D. Appeal. – (1) Any
section 15D person aggrieved by the
order, passed by the
Appeal. adjudicating officer under this
Act may prefer an appeal to
the National Green Tribunal
established under section 3 of
the National Green Tribunal
Act, 2010 (19 of 2010).
146
sixty days from the date on
which the copy of the order
made by the adjudicating
officer is received by the
aggrieved person.
(3) The National Green

Tribunal may, after giving the
parties to the appeal an
opportunity of being heard,
pass such order as it thinks
fit, confirming, modifying or
setting aside the order
appealed against.
(4) Where an appeal is

preferred against any order of
the adjudicating officer under
sub-section (1), such appeal
shall not be entertained by
the Tribunal unless such
person has deposited with the
Tribunal ten per cent. Of the
amount of the penalty
imposed by the adjudicating
officer.
9. Insertion of Nil 15E. Penalty amount to be
section 15E credited to Environmental
Protection Fund. – Where
Penalty any penalty or additional
amount to be penalty, as the case may be,
credited to is imposed under sections
Environmental 14A, 14B, 15, 15A or 15B,
(Protection) the amount of such penalty
Fund. shall be credited to the
Environmental Protection
Fund established under
section 16.
10. Insertion of Nil 15F. Offence for failure to pay

section 15F penalty or additional penalty.
– (1) Where any person fails
Offence for to pay the penalty or
failure to pay additional penalty, as the
penalty or case may be, under
additional sections 14A, 14B, 15, 15A
penalty. or 15B within ninety days of
such imposition, he shall be
liable for imprisonment which
147
may extend to three years or
twice the amount of the
penalty or with both.
(2) Where any offence under
sub-section (1) has been
committed by a company,
every person who, at the time
the offence was committed,
was directly in charge of, and
was responsible to, the
company for the conduct of
the business of the company,
as well as the company, shall
be deemed to be guilty of
such offence and he shall be
and punished accordingly:
provided in sub-section (1), if
he proves that the offence
was committed without his
knowledge or that he
such offence.

where an offence has been
committed by a company and
it is proved that the offence
has been committed with the
consent or connivance of, or
is attributable to any neglect
on the part of, any director,
director, manager, secretary
or other officer shall also
deemed to be guilty of that
punished accordingly.
Explanation. – For the
purposes of this section, -
(a) “company” includes body
148
corporate, firm, trust, society
and any other association of
individuals;
(b) “director”, includes director
of the company, partner of the
firm, members of the society
or trust or member of any
association of individuals, as
the case may be.’.
13. Section 16 Offences by companies.—(1) Proposed for omission in the

Where any offence under this Bill, as introduced.
company, every person who, at
the time the offence was
committed, was directly in
charge of, and was responsible
to, the company for the conduct
of the business of the company,
as well as the company, shall be
deemed to be guilty of the
offence and shall be liable to be
proceeded against and punished
accordingly: Provided that
nothing contained in this sub-
section shall render any such
person liable to any punishment
provided in this Act, if he proves
that the offence was committed
without his knowledge or that he
prevent the commission of such
offence.
15. Insertion of Nil “CHAPTER IIIA
“CHAPTER IIIA FUND, ACCOUNTS AND
FUND, AUDIT
ACCOUNTS 16.Environmental Protection
AND AUDIT” Fund. – (1) The Central
after Chapter III Government may, by
notification in the Official
Gazette, establish a fund to
be known as the
Environmental Protection
Fund.
(2) There shall be credited to

the Fund-
(a) the amount of penalty
imposed under the Air
(Prevention and Control of
149
Pollution) Act, 1981(14 of
1981) and under this Act;
(b) the interest or other
income received out of
investments made from the
Fund; and
(c) any other amount from
such sources, as may be
prescribed.
(3) The Fund shall be applied

for –
(a) the promotion of
awareness, education and
research for the protection of
environment;
(b) the expenses for
achieving the objects and for
purposes of the Air
(Prevention and Control of
Pollution) Act 1981(14 of
1981) and this Act;
(c) such other purposes,
as may be prescribed.
(4) The Central Government

shall notify the administrator
for the administration of the
Fund and other matters
connected therewith and
incidental thereto in such
manner, as may be
prescribed.
(5)The Central Government

shall allocate seventy- five
percent of the amount of
penalties to the State
Governments or Union
territory administrations,
which has been credited to
the Fund.
16A. Accounts and audit of

the Fund. – (1) The Central
Government shall maintain
separate accounts and other
relevant records in relation to
the Environmental Protection
Fund and prepare an annual
150
statement of accounts in such
form, as may be prescribed,
in consultation with the
Comptroller and Auditor-
General of India.
(2) The accounts of the Fund

shall be audited by the
Comptroller and Auditor –
General of India at such
intervals as may be specified
by him and such audited
accounts together with the
audit report thereon shall be
forwarded annually to the
Central Government.
16B. Annual Report.- The

Central Government shall
prepare its annual report in
relation to Environmental
Protection Fund giving a full
account of its activities
define under this Act in such
form, as may be prescribed,
for each financial year during
the previous financial year
and forward a copy thereof,
within four months from the
last date of the previous
financial year, to the Central
Government which shall
cause the annual report and
the audit report given by the
Comptroller and Auditor-
General of India to be laid
before each House of
Parliament.”.
14. Section 17 Offences by Government Proposed for omission in the
Departments.—(1) Where an Bill, as introduced.
offence under this Act has been
committed by any Department of
Department shall be deemed to
be guilty of the offence and shall
be liable to be proceeded
accordingly: Provided that
nothing contained in this section
shall render such Head of the
151
Department liable to any
punishment if he proves that the
offence was committed without
his knowledge or that he
prevent the commission of such
offence.
16 Insertion of new Nil (aa) adjudicating officer or
clause (aa) after any officer authorised by him
clause (a) in in this behalf;
Section 19
17 Section 24 Effect of other laws.—(1) 24. Effect of other laws. –
Subject to the provisions of sub- The provisions of this Act
section (2), the provisions of this and the rules or orders made
Act and the rules or orders made thereunder shall have effect
therein shall have effect notwithstanding anything
notwithstanding anything inconsistent therewith
inconsistent therewith contained contained in any other law for
in any enactment other than this the time being in force.
Act. (2) Where any act or
omission constitutes an offence
punishable under this Act and
also under any other Act then
the offender found guilty of such
offence shall be liable to be
punished under the other Act
and not under this Act.
3. Insertion of Nil (ga) the manner of holding
clauses in inquiry and imposing penalty
Section by the adjudicating officer
25(2) after under sub-section (1) and
clause (g) other factors for determining
quantum of penalty under
Power to make clause (f) of sub-section (4),
Rules of section 15C;
(gb) the other amount under

clause (c) of sub-section (2)
of section 16;
(gc) the other purposes

under clause (c) of sub-
section (3) of section 16;
(gd) the manner of

administration of Fund under
sub-section (4) of section 16;
(ge) form for maintenance of

accounts of the Fund and for
152
preparation of annual
statement of accounts under
sub-section (1) of section
16A;
(gf) form for preparing

Annual Report
of the Fund under section
16B;
2.143.1. In their background note, the Ministry have submitted that at present in case of
any non-compliance or contravention of the provisions of the Environmental (Protection) Act,
1986, or of the rules or directions issued under the said Act is being governed under Section
15 of the Act, the violator will be punishable with imprisonment up to five years or with a fine
up to Rs. 1, 00,000, or with both. In case of continuation of such violation, an additional fine
of up to Rs. 5,000 for every day during which such failure or contravention continues after
the conviction for the first such failure or contravention will be levied. Further, if the violation
continues beyond a period of one year after the date of conviction, the offender shall be
punishable with imprisonment for a term which may extend to seven years.
2.143.2. Explaining the rationale behind the proposed amendments, the Ministry have
submitted that:
(a) Imprisonment provision for minor violations not leading to any injury to human
or damage to environment is not justifiable.
(b) Imprisonment provision for many provisions in the first instance itself is also
not justifiable.
(c) Criminal provisions many a times cause harassment to businesses and
citizens for simple non-compliance.
(d) As per the available records/information, total 1737 Criminal Cases have been
registered for violation of Environmental norms under EPA, 1986; Water Act,
1974 and Air Act, 1981 over last three years i.e 2019-2021. Out of which only
total 39 people were actually convicted under the above said Acts.
(e) Courts were being needlessly burdened due to invoking of Section 15 of EPA,
1986 on minor and procedural defaults.
2.143.3. The Ministry have further submitted as under:
“Considering the above and experience gained in the implementation of the EPA,
1986 over a period of 36 years, it was observed that the criminal provisions contained
in the existing Act neither act as a deterrent nor helps towards the cause of
environment protection. Therefore, imposition of heavier penalties coupled with
provisions of IPC, 1860 will act as a deterrent for habitual violators. It is proposed that
imprisonment for minor lapses shall be replaced with heavier penalties. The amount
of penalties to be imposed was fixed on the basis of the nature of offence. As an
outcome, the proposed amendment with heavier penalties shall at one hand act as a
deterrent for violators and at other hand shall encourage a culture of self-regulation
for serious players.”
153
2.143.4. The Ministry have also informed the Committee thatInter-Ministerial
Consultation (IMC) and Public Consultation (PC) was carried out through Public Notice
published on website of MoEF & CC and in 61 newspapers PAN-INDIA. A total of 73
comments/ suggestions were received from PC and 9 comments from IMC which were duly
examined and incorporated, as deemed fit, in the proposed bill.
2.143.5. Enumerating the salient features of the proposed amendments under the Act,
the Ministry in their background note have submitted as under:
i. Penal provision mentioned under EPA, 1986 is proposed to be completely

decriminalized by substituting it with penalty and additional penalty.
ii. The amount of penalty has been specified on the basis of the type and nature of
the contravention of the provisions of EPA.
iii. Penalty for non-compliance of Section 7 & Section 8 dealing with discharging/
emitting in excess and handling of hazardous substances respectively shall be
covered under Section 14A with higher amount of penalty than contravention to
other or provisions.
iv. Penalty for contravention of Section 9,10 & Section 11 dealing with furnishing of
information, powers for entry and inspection and powers to take sample
respectively shall be covered under Section 14B with lesser amount of penalty as
compared to penalty for the contravention of Section 7&8.
V. In case of contravention of the rules or directions issued under the EPA for which
no penalty has been provided the same shall be covered under Section 15.
vi. Contravention of the provisions of the EPA by Companies shall be covered under
Section 15A and by Govt departments under 15B respectively. Section 16&17
omitted.
vii. Appointment of Adjudicating Officer is proposed for the purpose of determining
the penalties under EPA, 1986. However, if the penalty and additional penalty, as
the case may be, is not paid by the violator, criminal provision shall be applicable.
viii. Provision for creation and management of fund namely Environment (Protection)
Fund is also proposed for collection as well as proper utilization of fund collected
from penalty.
ix. Any person aggrieved by the Order of the Adjudicating Officer may prefer an
appeal before the Hon’ble National Green Tribunal as prescribed under section
15D.
2.143.6. Apprising the Committee regarding the benefits of the proposed reform, the
Ministry have submitted that amendment of the Environmental (Protection) Act, 1986 shall
achieve the following:
i. Proposed amendment will encourage self-regulation and create an

atmosphere of trust based governance.
ii. By way of the instant proposed amendment bill, the concept of Adjudicating
iii. Increased penalty amount will act as deterrent for law-abiding entrepreneurs
which would ensure better compliance of laws while also promote better
154
iv. Eliminates the fear of imprisonment on minor lapses. This reform will also send
v. Efforts would boost foreign investments in India.
2.144.1. During the sitting held on 17th January, 2023, the Committee sought
clarifications on the reasons for insertion of adjudicating officer to Section 19 of the Act
relating to Cognizance of offence. In this regard the Ministry clarified that when the person
who has been imposed with the penalty and he refuses to pay penalty, then it becomes a
criminal offence for which prosecution has to be filed by somebody.
2.144.2. In this regard, representative from the Legislative Department (Ministry of Law
& Justice) further clarified as under:
“No court shall take cognizance of an offence unless a complaint is filed by

somebody. So, we are only enabling the Adjudicating Officer or any other officer.”
2.145.1. After discussion and clarifications on the amendments proposed to be made in

the Environmental (Protection) Act, 1986, specified at serial no. 24 in the Schedule to the
Bill, the Committee decided to consider, inter alia, the following modifications during Clause-
by-Clause consideration.
Section 15 : Penalty amount may be increased from five thousand to ten

thousand.
155
The National Housing Bank Act, 1987

2.147. Purpose of the Act: To establish a bank to be known as the National

Housing bank to operate as a principal agency to promote housing finance institutions both
at local and regional levels and to provide financial and other support to such institutions
and for matters connected therewith or incidental thereto.
Sl. Sections Existing Provision Provision, as amended by the

1. Insertion of Nil 33C. Power to take action against
new Section auditors. – Where any auditor
33C fails to comply with any direction
given or order made by the
National Housing Bank or the
Reserve Bank under section 33,
the Reserve Bank may, if
satisfied, remove or debar the
auditor from exercising the duties
as auditor of any of the Reserve
Bank regulated entities for a
maximum period of three years,
at a time.”
2. Section 49(2) If any person fails to produce Proposed for omission in the Bill,
any book, account or other as introduced.
document, or to furnish any
statement or information which,
under the provisions of this Act,
it is his duty to produce or
furnish, he shall be punishable
two thousand rupees in respect
of each offence and in the case
of a continuing failure, with an
additional fine which may extend
to one hundred rupees for every
day during which the failure
first such failure.
3. Section If any auditor fails to comply with Proposed for omission in the Bill,
49(2B) any direction given or order as introduced.
made by the National Housing
156
Bank or the Reserve Bank
under section 33, he shall be
punishable with fine which may
extend to five thousand rupees.
4. Section If any person other than an
49(3)(aa) auditor–
(aa) fails to comply with any Proposed for omission in the Bill,
direction given or order made by as introduced.
the National Housing Bank or
the Reserve Bank under any of
the provisions of Chapter V; or
5. Section 49(4) If any other provision of this Act Proposed for omission in the Bill,
is contravened or if any default as introduced.
is made in complying with any
other requirement of this Act, or
of any order, regulation or
direction made or given or
condition imposed thereunder,
any person guilty of such
contravention or default shall be
punishable with fine which may
extend to two thousand rupees
and where a contravention or
default is a continuing one, with
further fine which may extend to
one hundred rupees for every
day, after the first, during which
the contravention or default
continues.
6. Section 52A Power of National Housing Bank Power of National Housing Bank
(Marginal and Reserve Bank to impose and Reserve Bank to impose
Heading) fine.- penalty.-
7. Section (1) Notwithstanding anything (1) Notwithstanding anything

52A(1) contained in section 49, if the contained in section 49, if the
contravention or default of the contravention or default of the
nature referred to in the said nature referred to in the said
section is committed by a section is committed by a housing
housing finance institution which finance institution which is a
is a company, the National company, the National Housing
Housing Bank or the Reserve Bank or the Reserve Bank, as the
Bank, as the case may be, may case may be, may impose on
impose on such company— such company—
(a) a penalty not exceeding five (a) a penalty not exceeding

thousand rupees; or twenty-five thousand rupees; or
(b) where the contravention or (b) where the contravention or

157
default is under sub-section (2A) default is under sub-section (2A)
or clause (a) or clause (aa) of or clause (a) of sub-section (3) of
sub-section (3) of that section, a that section, a penalty not
penalty not exceeding five lakh exceeding ten lakh rupees or
rupees or twice the amount twice the amount involved in such
involved in such contravention contravention or default, where
or default, where the amount is the amount is quantifiable,
quantifiable, whichever is more; whichever is more; and where
and where such contravention such contravention or default is a
or default is a continuing one, continuing one, further penalty
further penalty which may which may extend to one lakh
extend to twenty-five thousand rupees for every day, after the
rupees for every day, after the first, during which the
first, during which the contravention or default
contravention or default continues.
continues.
8. Insertion of Nil (1A) If any person or housing
new sub- finance institution which is a
sections company fails to produce any
book, account or other document,
or to furnish any statement or
information, which, under the
provisions of this Act, is the duty
of such person or housing
finance institution to produce or
furnish, the National Housing
Bank or the Reserve Bank, as the
case may be, may impose on
such person or housing finance
institution, a penalty not
exceeding one lakh fifty thousand
rupees in respect of each
contravention or default and
where such contravention or
default is a continuing one, further
penalty which may extend to
seven thousand five hundred
rupees for every day, after the
first, during which the
contravention or default
continues.
(1B) If any auditor fails to comply

with any direction given or order
made by the National Housing
Bank or the Reserve Bank under
section 33, the National Housing
Bank or the Reserve Bank, as the
case may be, may impose on
such person a penalty not
158
exceeding ten lakh rupees.
(1C) If any person (other than an

auditor) or housing finance
institution which is a company
fails to comply with any direction
given or order made by the
Reserve Bank under any of the
provisions of Chapter V, the
Reserve Bank, as the case may
be, may impose on such person
or housing finance institution, a
penalty not exceeding ten lakh
rupees or twice the amount
involved in such contravention or
default, where the amount is
quantifiable, whichever is more;
and where such contravention or
default is a continuing one, further
penalty which may extend to one
lakh rupees for every day, after
the first, during which the
continues.
(1D) If any other provision of this

Act is contravened or if any
default is made in complying with
any other requirement of this Act,
or of any order, regulation or
direction made or given or
condition imposed thereunder,
the National Housing Bank or the
Reserve Bank, as the case may
be, may impose on any person or
housing finance institution which
is a company, guilty of such
contravention or default, a penalty
not exceeding one lakh rupees in
respect of each contravention or
default and where such
contravention or default is a
continuing one, further penalty
which may extend to ten
thousand rupees for every day,
after the first, during which the
continues.”;
159
9. Section (2) For the purpose of imposing (2) For the purpose of imposing
52A(2) penalty under sub-section (1), penalty under this section, the
the National Housing Bank or National Housing Bank or the
the Reserve Bank, as the case Reserve Bank, as the case may
may be, shall serve a notice on be, shall serve a notice on the
the housing finance institution person or housing finance
which is a company requiring it institution which is a company
to show cause why the amount requiring to show cause why the
specified in the notice should amount specified in the notice
not be imposed as a penalty and should not be imposed as a
a reasonable opportunity of penalty and a reasonable
being heard shall also be given opportunity of being heard shall
to such housing finance also be given to such person or
institution. housing finance institution.
10. Section (3) Any penalty imposed by the (3) Any penalty imposed by the
52A(3) National Housing Bank or the National Housing Bank or the
Reserve Bank, as the case may Reserve Bank, as the case may
be, under this section shall be be, under this section shall be
payable within a period of thirty payable within a period of thirty
days from the date on which days from the date on which
notice issued by the National notice issued by the National
Housing Bank or the Reserve Housing Bank or the Reserve
Bank, as the case may be, Bank, as the case may be,
demanding payment of the sum demanding payment of the sum is
is served on the housing finance served on the person or
institution which is a company housing finance institution
and, in the event of failure of which is a company and, in the
such housing finance institution event of failure of such person or
to pay the sum within such housing finance institution to
period, may be levied on a pay the sum within such period,
direction made by the principal may be levied on a direction
civil court having jurisdiction in made by the principal civil court
the area where the registered having jurisdiction in the area
office or the head office of such where such person ordinarily
housing finance institution is resides or, as the case may be,
situated: the registered office or the head
Provided that no such direction office of such housing finance
shall be made, except on an institution is situated:
application made by an officer of Provided that no such direction
the National Housing Bank or shall be made, except on an
the Reserve Bank, as the case application made by an officer of
may be, authorised in this the National Housing Bank or the
behalf, to the principal civil Reserve Bank, as the case may
court. be, authorised in this behalf, to
the principal civil court.
160
11 Section (4) The court which makes a (4) The court which makes a
52A(4) direction under sub-section (3), direction under sub-section (3),
shall issue a certificate shall issue a certificate specifying
specifying the sum payable by the sum payable by the person
the housing finance institution or the housing finance institution
which is a company and every which is a company, as the case
such certificate shall be may be, and every such
enforceable in the same manner certificate shall be enforceable in
as if it were a decree made by the same manner as if it were a
the court in a civil suit. decree made by the court in a
civil suit.
2.149.1. The Department of Financial Services has proposed to amend Section 49 and
Section 52A of the National Housing Bank Act, 1987 and insertion of Section 33C in the Act.
In their background note, the Department of Financial Services has stated that sub-sections
(2), (2B), (3) and (4) of Section 49 of the Act currently provide for imposition of a fine and
Section 52A provides for the power of the National Housing Bank and the Reserve Bank of
India to impose a penalty. The proposal is to amend the said sub-sections of Section 49 by
omitting them from Section 49 and suitably inserting them in Section 52A, thereby replacing
the provision of imposition of fine with provision for imposition of penalty by the National
Housing Bank and the Reserve Bank of India. These offences under Section 49 pertain to
certain procedural lapses related to failure to produce any book, accounts or other
document, failure to furnish any information etc. and, therefore, these can be brought under
the purview of Section 52A of the Act. Section 33C is also proposed to be inserted in the
Act on the lines of similar provisions available in the Reserve Bank of India Act, 1934 as
consequential amendments in view of decriminalizing the offence of failure by auditors to
comply with directions by their debarment or removal. Besides bringing the aforesaid
provisions made under Section 49, consequential amendments have also been incorporated
in Section 52A of the Act to enable the National Housing Bank or the Reserve Bank of India,
as the case may be, to impose penalty for such violations.
2.150.1. The Committee held thorough discussions on the proposed amendments

during their sitting held on 6th February, 2023. On a query raised by the Committee whether
the expression “under the provisions of this Act” in Section 49(2) of the Act include any
direction or orders issued under any rules and regulations. The representative from the
Department clarified that the aforesaid expression is only in respect of the National Housing
Bank Act, 1987. The Committee was also of the view that the Companies Act, 2013 should
be checked up if any such provision is present therein. The Committee then proceeded to
observe that the penalty comes only from the main provisions of the statute and not from the
rules made thereunder.
2.150.2. As regards the newly incorporated Section 33C, the Committee raised their
concern whether removal or debarring of an auditor of any of the Reserve Bank regulated
entities on his failure to comply with any direction or order of the National Housing Bank or
161
the Reserve Bank of India only on the satisfaction of the Reserve Bank is a sufficient
safeguard to impose penalty and a stigma on the auditors. The Committee felt that such a
provision will not stand the judicial scrutiny when a reasonable opportunity of hearing is not
being afforded. Accordingly, the words “if satisfied” in the proposed Section should be
suitably replaced for the auditors should be given a reasonable opportunity of being heard
by the Regulator in order to be able to present their case rather than simply being debarred
on mere satisfaction of the Regulator.
2.151.1. After comprehensive deliberations and clarifications on the amendments

proposed to be made in the National Housing Bank Act, 1987,specified at serial no. 25 of
the Schedule to the Bill, the Committee concurred with most of the amendments proposed
and decided to consider inter alia the following modifications during clause-by-clause
consideration:
(i) Section 33C: The expression “if satisfied” under the section shall be replaced
suitably with the expression “reasonable opportunity of being
heard.”
162
The Motor Vehicles Act, 1988
2.152. Administering Ministry: Ministry of Road Transport and Highways
2.153. Purpose of the Act: The Motor Vehicles Act, 1988 (MV Act, 1988) governs
practically all elements of road transport vehicles. It covers all areas covered by the Act’s
provisions, such as traffic laws, vehicle insurance, motor vehicle registration, controlling
permits, and penalties.

1. Section 192A. Using vehicle without 192A. Using vehicle without
192A permit.— permit.—
(1) Whoever drives a motor (1) Whoever drives a motor
vehicle or causes or allows a vehicle or causes or allows a
motor vehicle to be used in motor vehicle to be used in
contravention of the provisions of contravention of the provisions of
sub-section (1) of section 66 or in sub-section (1) of section 66 or in
contravention of any condition of a contravention of any condition of
permit relating to the route on a permit relating to the route on
which or the area in which or the which or the area in which or the
purpose for which the vehicle may purpose for which the vehicle
be used, shall be punishable for may be used, shall be punishable
the first offence with imprisonment for the first offence with
for a term which may extend to six imprisonment for a term which
months and a fine of ten thousand may extend to six months or a
rupees and for any subsequent fine of ten thousand rupees, or
offence with imprisonment which with both and for any
may extend to one year but shall subsequent offence with
not be less than six months or imprisonment which may extend
with fine of ten thousand rupees to one year but shall not be less
or with both: than six months or with fine of
ten thousand rupees or with both:
Provided that the court may for Proposed for omission in the Bill,
reasons to be recorded, impose a as introduced.
lesser punishment.
2. Section 200. Composition of certain 200. Compounding of
200 offences.-- (1) Any offence offences.- (1) Any offence
whether committed before or after whether committed before or
the commencement of this Act after the commencement of this
punishable under section 177, Act, punishable under section
section 178, section 179, section 177, section 177A, section 178,
180, section 181, section 182, section 179, section 180, section
163
sub-section (1) or sub-section (3) 181, section 182, sub-section (1)
or sub-section (4) of section 182A, or sub-section (3) or sub-section
section 182B, subsection (1) or (4) of section 182A, section
sub-section (2) of section 183, 182B, subsection (1) or sub-
section 184 only to the extent of section (2) of section 183,
use of handheld communication section 184 to the extent of use
devices, section 186, section 189, of handheld communication
subsection (2) of section 190, devices, section 186, section
section 192, section 192A, section 189, subsection (2) of section
194, section 194A, section 194B, 190, section 192, section 192A,
section 194C, section 194D, sub-section (3) of section 192B,
section 194E, section 194F, section 194, section 194A,
section 196, section 198, may section 194B, section 194C,
either before or after the institution section 194D, section 194E,
of the prosecution, be section 194F, section 196,
compounded by such officers or section 198 and section 201,
authorities and for such amount may, either before or after the
as the State Government may, by institution of the prosecution, be
notification in the Official Gazette, compounded by such officers or
specify in this behalf: authorities and for such amount
as the State Government may,
by notification in the Official
Gazette, specify in this behalf.
3. Insertion Nil Provided that the Central

of new Government may, by notification
proviso in Official Gazette, constitute
in District Road Safety Committee
Section for such district in such State,
215(3) where the State Government has
not constituted the Committee
consisting of a Chairman and
such other members as it
considers necessary and on such
terms and conditions as it may
determine.
2.155.1. As regards the guiding criteria followed while reviewing the Act, the
background note of the Ministry of Road, Transport and Highways stated that the various
provisions of the MV Act, 1988, containing imprisonment were also reviewed in consultation
with States/UTs. It was found that provisions are required to be retained for being unique to
the MV Act and for being essential to create a deterrent against various offences and to also
ensure road safety. As an alternative, some provisions are being made compoundable
through amendment of Section 200 of MV Act.
2.155.2. The Ministry of Road Transport and Highways have identified following
provisions for insertion in Section 200, for making them compoundable:
164
i. Section 177A- Penalty for contravention of regulations under section 118.
ii. Sub-section (3) of Section 192B- Offences relating to registration.
iii. Section 201- Penalty for causing obstruction to free flow of traffic.
2.155.3. It further mentioned that the Section 192A of the MV Act, 1988 was identified
as an anomaly. Section 192A (1) prescribes fine of Rs. 10,000 ‘and’ imprisonment up to 6
months, for first offence, and fine of 10,000 ‘and/or’ imprisonment of 6 months to 1 year, for
subsequent offence. Therefore, the said provision is being amended to replace “and” with
“and/or” for the penalty prescribed for the first offence. This amendment further rectifies the
issue that Section 192A (1) of the MV Act although mentioned as a compoundable offence,
could not be compounded due to the said anomaly. Section 215 of the MV Act, 1988
provides for Road Safety Councils and Committees. The sub-clause 3 of the said provision
is being amended to empower the Central Government to establish Road Safety
Committees only in the event the concerned State Government fails to.
2.156.1. During the deliberations, the Secretary, Ministry of Road Transport and
Highways informed the Committee about the constitution of State and District level Road
Safety Committees. The Ministry informed that a concurrent Power is being given to the
Central Government under Section 215 (3) to constitute road safety Councils and
Committees by adding a Provision.
2.156.2. The Committee in this regard pointed out differences in the language of the
Section in the Bill presented in the House and the Statement of Amendments being
produced before the Committee. The Secretary, Ministry of Road Transport and Highways
stated that essence is similar though the wordings may differ and committed to correct the
inconsistency.
2.157. Suggestions of the Committee:

be made in the Motor Vehicles Act, 1988, specified at serial no. 26 of the Schedule to the
Bill, the Committee decided to consider, inter alia, the following modifications during Clause-
by-Clause consideration:
(i) The existing marginal heading of Section 200 should be retained.

(ii) Under Section 215, the new proviso proposed to be inserted should read like as
under:
“Provided that the Central Government may, by notification in the Official Gazette,
constitute District Road Safety Committee for such district in such State, where
the State Government has not constituted a District Road Safety Committee
under sub-section (3). Provided further that where the Central Government
constitutes a District Road Safety Committee, it shall consist of a Chairman and
such other members as the Central Government considers necessary and shall
be constituted on such terms and conditions as the Central Government may
determine.”
165
The Railways Act, 1989
2.158. Administering Ministry: Ministry of Railways
2.159. Purpose of the Act: The Act provides in detail the legislative provisions
regarding railway zones, construction and maintenance of works, passenger and employee
services.

1. 144 Prohibition on Prohibition on hawking, etc., and
hawking, etc., and begging.—
begging :- (1) If any person canvasses for any
(2) If any person begs custom or hawks or exposes for sale any
in any railway carriage article whatsoever in any railway carriage
or upon a railway or upon any part of a railway, except
station, he shall be under and in accordance with the terms
liable for punishment and conditions of a licence granted by the
as provided under sub- railway administration in this behalf, he
section (1). shall be punishable with imprisonment for
a term which may extend to one year, or
with fine which may extend to two
thousand rupees, or with both:
Provided that, in the absence of special
and adequate reasons to the contrary to
be mentioned in the judgment of the
court, such punishment shall not be less
than a fine of one thousand rupees.
(2) No person shall be permitted to beg
in any railway carriage or upon any
part of the railway.
(3) Any person referred to in sub-section
(1) or sub-section (2) may be removed
from the railway carriage or any part of
the railway or railway station, as the case
may be, by any railway servant
authorised in this behalf or by any other
person whom such railway servant may
call to his aid.
166
2.161.1. The Ministry of Railways in their background note have informed that the
Ministry seeks to amend Section 144(2) which deals with prohibition on hawking etc.
and begging. The Section 144(2) of Railways Act criminalizes begging with a penalty
of a term which may extend to one year or with fine which may extend to two
thousand rupees or with both with a proviso that in the absence of special and
adequate reasons to the contrary to be mentioned in the judgment of the court,
such punishment shall not be less than a fine of one thousand rupees. It is like being
penalized for being poor and destitute. Therefore, the Ministry seeks to decriminalize
begging by modifying Section 144(2).
2.161.2. As regards the exact number of times aforesaid criminal provision has
been invoked, the Ministry in their background note provided the following statistics:
(a) The number of cases registered under Section 144(2) of the Railway Act
proposed to be decriminalized is 16391 during the year 2022 (Up to November
2022).
(b) There are various other criminal punishment provisions for various offences
on the railways which have been provided in the "Railways Act, 1989" and
"Railway Property (Unlawful Possession) Act, 1966" as amended from time to
time besides the Section 144(2) of the Railway Act, which are invoked from
time to time.
(c) There is no provision (Zero '0') in the "Railways Act, 1989" and "Railway
Property (Unlawful Possession) Act 1966" which has not been invoked at any
point of time.
(d) Further, the exact data on the number of cases registered under various
sections of both the above mentioned Acts is as under:
S.No. Act Number of cases in given
2021 2022 (upto

October)
Railway Property (Unlawful
1. 4,647 5,038
Possession) Act 1966
2. Railways Act, 1989 4,19,5.16 5,88,720
Total 4,24,163 5,93,758
2.161.3. Other provisions for criminal punishment which are provided in the
"Railways Act, 1989" and "Railway Property (Unlawful
period Possession) Act, 1966" as
amended from time to time, are essential to ensure that there is a deterrent.
167
2.162.1. During the sitting the Committee held on 07.02.2023, the Committee enquired
if the Ministry has examined the other provisions of the Act relating to minor offences under
section 137 to 182 which can be decriminalised. The Committee in this regard sought to
understand the rationale of imprisonment for petty offences like fraudulently travelling or
travelling without ticket or crowding platforms without platform tickets. The Committee
suggested that in such offences, imprisonments may be changed into penalties as these
would have a greater deterrent effect in checking the menace. The representatives of the
Railway Board apprised the Committee as under:
“सर, वह चीज छोटी लग सकती है । But it can cause major disruption to the train
operations, and passenger safety.
……..सर, इसको तो हम लोगों ने ररव्यू के ललए ददया है । िाकी जो हैं, उसमें तीन मेजर
कैटे गरीज़ ऑफेंसेज़ के हैं, जजसमें पैसेंजर की सेफ्टी, रे न की सेफ्टी है । It can cause even
major accidents if you do not control these offences. Trespassing on tracks and other
things. These concern with running the railway safely, ensuring the passengers
safety, ensuring the safety of the women who are travelling on the trains, and
ensuring the safety of children who are there. So, all that is involved. ककस तरह का
खाना सवष हो रहा है , उस तरह की चीजें भी हैं।”
2.162.2. The Committee further enquired about the provisions for tackling of repeat
offenders, the representatives apprised as under:
“सर, िहुत िार ऐसा होता है कक लोग हजार रुपये भी फाइन दे ने के ललए तैयार नहीं होते हैं।
ु भी हजारों िार दटकट चेककंग की है । कई लोग कहते हैं कक हम पैसा नहीं दे सकते
मैंने खद
हैं। हमारे नहीं दें गे, हमारे पास नहीं है । हम उन को कुछ घंटे के ललए रख लेते हैं, उसके िाद
फाइनली शाम तक हम उनको छोड़ ही दे ते हैं। कुछ तो डडटरें ट करना ही पड़ेगा न, वरना हम
कफर दटकट भी न लें। कुछ तो डडटर करना पड़ेगा।“
2.163.1. After detailed discussions with the representatives of the Ministry of Railways,
the Committee agreed, in principle, with the amendments proposed to the Indian Railways
Act, 1989, specified at Serial No. 27 of the Schedule to the Bill. However, the Committee
directed that the Ministry of Railways shall go through the Act once again and find out other
provisions in the Act which can be decriminalized. The Committee decided to consider the
Act during Clause-by-Clause consideration.
168
The Public Liability Insurance Act, 1991
2.164. Administering Ministry: Ministry of Environment, Forests and Climate

Change
2.165. Purpose of the Act: The Public Liability Insurance (PLI) Act, 1991 was enacted
with the objective of providing relief to the victims of accidents that might occur while
handling hazardous substances. The owner who has control over handling hazardous
substances is required under the Act to take an insurance policy and pay matching amount
to Environment Relief Fund established under the act.
Sl. Provisions as amended by the

Section No. Existing Provision
1. Section 2. Nil (ha) “property” includes any
private property or public property
Definitions affected or damaged by any unit
(New or undertaking, due to
Definitions manufacture, processing,
are proposed treatment, package, storage,
in the Bill) transportation, use, collection,
destruction, conversion, transfer
clause (ha) or such other processes of
shall be hazardous substance;
renumbered
as (hb) and
new clause be
inserted as
(ha)
and
(k) words and expressions used
clause (k) and not defined in this Act but
shall be defined in the Transfer of Property
inserted after Act, 1882 (4 of 1882) and the
clause (j) Environment Protection Act,1986
(29 of 1986) shall have the
meanings respectively assigned to
them in those Acts.
2. Section 3: (1) Where death or injury to (1) Where death or injury to any
Liability to any person (other than a person (other than a workman) or
give relief workman) or damage to any damage to any property has
in certain property has resulted from an resulted from an accident, the
cases on accident, the owner shall-be owner shall be liable to
169
principle of liable to give such relief as is reimburse such amount, or
no fault. - specified in Schedule for such provide such other relief as may
death, injury or damage. be prescribed, for-
a. death due to fatal accident;
b. medical expenses incurred
due to total or partial
disability;
c. loss of wages due to partial
disability;
d. other injury or sickness;
e. damage to private
property; or
f. any such other loss or
damage, as may be
prescribed.
3. Section 4: (1) Every owner shall take out, (1) Every owner of
before he starts handling any any undertaking shall take out,
Duty of hazardous substance, one or before he starts handling any
owner to more insurance policies hazardous substance, one or
take out providing for contracts of more insurance policies for such
insurance insurance whereby he is undertaking or unit providing for
policies. - insured against liability to give contracts of insurance whereby
relief under sub-section (1) of he is insured against liability to
section 3; give such relief or reimburse
such amount referred to in sub-
Provided that any owner section (1) of section 3.
handling any hazardous
substance immediately before Explanation. - For the purposes
the commencement of this Act of this sub-section, it is hereby
shall take out such insurance clarified that any undertaking
policy or policies as soon as having separate consent to
may be and in any case within operate under-
a period of one year from such i. the Water (Prevention and
commencement. Control of Pollution) Act,
1974 (6 of 1974); and
ii. the Air (Prevention and
Control of Pollution) Act,
1981 (14 of 1981),
shall be treated as a separate
unit:
Provided that any owner

handling any hazardous
substance immediately before the
commencement of the Jan
Vishwas (Amendment of
Provisions) Act, 2022, shall take
out such insurance policy or
policies as soon as may be and in
170
any case within a period of one
year from commencement of that
Act.
(2A) No insurance policy taken (2A) An insurance policy taken out

out or renewed by an owner or renewed by an owner for any
shall be for an amount less than undertaking or unit shall be for an
the amount of the paid-up amount which shall not be less
capital of the undertaking than the amount of the paid-up
handling any hazardous capital of that undertaking or unit
substance and owned or handling any hazardous
controlled by that owner, and substance owned or controlled by
more than the amount, not that owner and may extend to
exceeding fifty crore rupees, as such amount as may be
may be prescribed. prescribed but not exceeding five
hundred crore rupees.
(Explanation. -For the purpose
of this sub-section, "paid-up Explanation. — For the purposes
capital" means in the case of of this sub-section, “paid-up
an owner not being a capital”, in relation to an owner
company, the market value of not being a company, means the
all assets and stocks of the market value of all assets and
undertaking on the date of stocks of the undertaking on the
contracts of insurance.) date of contract of insurance.’.
4. Section 6: Nil (1A) Where any damage has been

caused to any public property or
Application private property due to
for claim for manufacture, processing,
relief. – treatment, package, storage,
transportation, use, collection,
Insertion of destruction, conversion, transfer
new sub- or such other processes, of such
section (1A) hazardous substance, an
after sub- application for claim for restoration
section (1) of the property may be made by
the owner of the property or such
other person, as may be
prescribed, to the Collector.
5. Insertion of NIL (9) Where the environment is
new sub- affected or damaged due to
section (9) manufacture, processing,
in existing treatment, package, storage,
Section 7 transportation, use, collection,
destruction, conversion, transfer
or such other processes, of such
hazardous substance, the Central
Government may, on an
application made by Central
171
Pollution Control Board or the
State Pollution Control Board, as
the case may be, allocate the fund
for restoration of the damage so
caused in the manner as may be
prescribed.
6. Insertion of NIL (1A) There shall be credited to
new sub- the Relief Fund established
section (1A) under sub-section (1)-
under a. the amount as prescribed in
Section 7A sub-section (2C) of section
4;
b. the amount of penalty
imposed under this Act;
c. the interest or other income
received out of investments
made from the Fund; and
d. any other amount from
such sources, as may be
prescribed.
7. Section 14. 1. Whoever contravenes (1) Where any person
any of the provisions of 1 [sub- contravenes any of the
Penalty for section (1) or sub-section (2) provisions of sub-section (1),
contraventi or sub-section (2A) or sub- sub-section (2), sub-section (2A)
on section (2C)] of section 4 or or sub-section (2C) of section 4,
fails to comply with any he shall be liable to pay the
direction issued under section penalty equal to the amount of
12, he shall be punishable with annual premium for insurance
imprisonment for a term which policy and may extend up to
shall not be less than one year twice the amount of such
and six months but which may premium.
extend to six years, or with fine
which shall not be less than (2) Where contravention under
one lakh rupees, or with both. sub-section (1) continues, an
2. Whoever, having additional penalty may be
already been convicted of an imposed by the adjudicating
offence under sub-section (1), officer, which shall not exceed
is convicted for the second the amount of premium to be
offence or any offence paid, for each month or part
subsequent to the second thereof during which the
offence, he shall be punishable contravention continues.
which shall not be less than
two years but which may
extend to seven years and with
fine which shall not be less
than one lakh rupees.
3. Nothing contained in
section 360 of the Code of
Criminal Procedure, 1973 (2 of
172
1974), or in the Probation of
Offenders Act, 1958 (20 of
1958), shall apply to a person
convicted of an offence under
this Act unless such person is
under eighteen years of age.
8. Section 15. If any owner fails to comply 15. Penalty for non-compliance
with direction issued under of directions. - (1) Where any
section 9 or fails to comply with person does not comply with any
order issued under sub-section directions issued under section
(2) of section 11, or obstructs 12, he shall be liable to pay a
any person in discharge of his penalty which shall not be less
functions under section 10 or than ten thousand rupees but
sub-section (1) or sub-section which may extend to fifteen lakh
(3) of section 11, he shall be rupees.
which may extend to three (2) Where any person continues
months, or with fine which may non-compliance under sub-
extend to ten thousand rupees, section (1), he shall be liable to
or with both. pay an additional penalty to be
imposed by the adjudicating
officer, which shall not be less
than ten thousand rupees every
day during which such non-
compliance continues.
(3) Where any owner does not

comply with direction issued
under section 9 or obstructs any
person in discharge of his
functions under section 10 or
under sub-sections (1), (2) or (3)
of section 11, he shall be liable to
pay penalty which shall not be
less than ten thousand rupees
but which may extend to fifteen
lakh rupees.
(4) Where any person continues

non-compliance under sub-section
(3), he shall be liable to pay an
additional penalty of ten thousand
rupees for every day during which
such non-compliance continues.
9. Insertion of Nil 15A. Adjudicating Officer.-

new Section (1) The Central Government, for
15A the purposes of determining the
penalties under sections 14 and
15, may appoint the District
173
Magistrate having jurisdiction over
the area or an officer not below
the rank of Director to the
Government of India or an officer
not below the rank of Joint
Secretary to the State
Government, to be the
inquiry in the manner, as may be
prescribed and to impose the
penalty:

many adjudicating officers
as may be required.

circumstances of the case to give
evidence or to produce any
document, which in the opinion of
the adjudicating officer, may be
useful for, or relevant to, the
subject-matter of the inquiry and if,
on such inquiry, he is satisfied that
the person concerned has failed to
comply with the provisions of sub-
section (1), sub-section (2), sub-
section (2A) or sub-section (2C) of
section 4 and section 12, he may
determine such penalty as he
thinks fit in accordance the
provisions of sections 14 and 15:

opportunity of being heard in the
matter.
10 Insertion of 15B. Appeal. (1) Any person
new Section aggrieved by the order, passed by
15B the adjudicating officer under
section 14 or 15, may prefer an
appeal to the National Green
Tribunal established under section
3 of the National Green Tribunal
Act, 2010 (19 of 2010).
174
sixty days from the date on which
the copy of the order made by the
adjudicating officer is received by
the aggrieved person.
(3) The National Green Tribunal

may, after giving the parties to the
appeal an opportunity of being
heard, pass such order as it thinks
fit, confirming, modifying or setting
aside the order appealed against.
(4) Where an appeal is preferred

against any order of the
adjudicating officer under sub-
section (1), such appeal shall not
be entertained by the Tribunal
unless such person has
deposited with the Tribunal ten
per cent of the amount of the
penalty imposed by the
11. Section 16. 1. Where any offence under Proposed for omission in the Bill,
Offences by this Act has been committed by as introduced.
Companies a company, every person who,
at the time the offence was
committed, was directly in
charge of, and was responsible
to, the company for the conduct
of the business of the company,
as well as the company, shall
be deemed to be guilty of the
proceeded against and
provided in this Act, if he
proves that the offence was
knowledge or that he exercised
all due diligence to prevent the
commission of such offence.
2. Notwithstanding anything
175
where an offence under this Act
has been committed by a
company and it is proved that
the offence has been
connivance of, or is attributable
to any neglect on the part of,
any director, manager,
secretary or other officer of the
company, such director,
officer shall also be deemed to
be guilty of that offence and
accordingly.
Explanation. —For the
purposes of this section, —
(a) “company” means anybody
corporate and includes a
firm or other association of
individuals;
(b) “director,” in relation to a
firm.
12. Section 17. Where an offence under this 17. Penalty for contravention by
Offences by Act has been committed by Government Department.--
Govern-ment any Department of
Depart- Government, the Head of the (1) Where contravention of any
ments Department shall be deemed provision of this Act has been
to be guilty of the offence and committed by any Department of
shall be liable to be proceeded the Central Government or State
against and punished Government, the Head of the
accordingly: Department shall be liable to pay
Provided that nothing the penalty equal to one month of
contained in this section shall his basic salary.
render such Head of the Provided that he shall not be
Department liable to any liable for such contravention, if he
punishment if he proves that proves that the contravention was
the offence was committed committed without his knowledge
without his knowledge or that or instructions or that he exercised
he exercised all due diligence all due diligence to prevent such
to prevent the commission of contravention.
such offence.
attributable to any neglect on the
part of, any officer, other than the
Head of the Department, he shall
be liable to pay the penalty equal
176
to one month of the his basic
salary:
liable for the contravention, if he
proves that he exercised all due
contravention.
13. Insertion of 17A. Penalty amount to be
new Sections credited to Environmental Relief
Fund.-Where any penalty or
additional penalty, as the case
may be, is imposed under section
14 or section 15 or section 17, the
amount of such penalty shall be
credited to the Environmental
Relief Fund established under
section 7A.
17B.Offence for failure to pay

the penalty or additional
penalty.- (1) Where any person
fails to pay the penalty or
additional penalty imposed for -
a. contravention or continued
contravention under sections
14 or 17, as the case may be;
or
b. non-compliance of the
directions issued under
section 15,
within ninety days of such

Nil
imposition, he shall be liable for
three years or with fine which may
extend up to fifteen lakh rupees
or with both.
(2) Where any offence under sub-

section (1) has been committed by
a company, every person who, at
the time the offence was
committed, was directly in charge
of, and was responsible to, the
company for the conduct of the
business of the company, as well
as the company, shall be deemed
to be guilty of such offence and
against and punished accordingly:
177
provided in this Act, if he proves
that the offence was
knowledge or that he exercised

where an offence under this Act
has been committed by a
company and it is proved that the
offence has been committed with
the consent or connivance of, or is
attributable to any neglect on the
part of, any director, manager,
secretary or other officer of the
company, such director, manager,
secretary or other officer shall also
be deemed to be guilty of that
proceeded against and punished
accordingly.
Explanation. —For the

purposes of this section,—
(a) “company” means any

body corporate and includes
a firm or other association of
individuals;
(b) “director,” in relation to a

firm.’
14. Section 23. (a) the maximum amount for (a) such amount under sub-
which an insurance policy may section (2A) of section 4;
Power to be taken out by an owner
make rules under sub-section (2A) of
section 4;
15. Insertion of (ea) amount or relief and any

new clauses other loss or damage under sub-
after clause section (1) of section 3;
(e) in Section (eb) such other person under sub-
178
23 section (1A) of section 6;
(ec) manner of allocation of fund
for restoration of damage under
sub-section (9) of section 7;
(ed) any other amount from other
sources under clause (d) of sub-
section (1A) of section 7A;
(ee) manner of holding inquiry
under sub-section (1) of section
15A;
16. THE THE SCHEDULE Proposed for omission in the Bill,
SCHEDULE [See section 3(1)] as introduced.
i. Reimbursement of medical
expenses incurred up to a
maximum of Rs. 12,500 in
each case.
ii. For fatal accidents the
relief will be Rs. 25,000
per person in addition to
reimbursement of medical
expenses if any, incurred
on the victim up to a
maximum of Rs. 12,500.
iii. For permanent total or
permanent partial disability
or other injury or sickness,
the relief will be (a)
reimbursement of medical
expenses incurred, if any,
up to a maximum of Rs.
12,500 in each case and
(b) cash relief on the basis
of percentage of
disablement as certified by
an authorised physician.
The relief for total
permanent disability will be
Rs. 25,000.
iv. For loss of wages due to
temporary partial disability
which reduces the earning
capacity of the victim,
there will be a fixed
monthly relief not
exceeding Rs. 1,000 per
month up to a maximum of
3 months: provided the
victim has been
hospitalised for a period
exceeding 3 days and is
179
above 16 years of age.
v. Up to Rs. 6,000 depending
on the actual damage, for
any damage to private
property
2.167.1. As per the existing legal framework, the Public Liability Insurance Act
prescribes for mandatory Insurance policy for certain category of Industries and
compensation for non-working population living in vicinity of the Industry in case of any
accident. The Central Government, by notification, established a fund to be known as the
Environmental Relief Fund. An Environmental Relief Fund was created through matching
contribution by industries as the premium. The application for relief is to be made by the
affected person to Collector based on the damage caused, like death, loss of employment,
injury etc. The accumulated fund is about Rs.1000 crore till now, however, no claim of relief
has been made under this act till date and hence the need of amendment was felt. Whoever
contravenes any of the provisions shall be punishable with imprisonment for a term which
shall not be less than one year and six months but which may extend to six years, or with
fine which shall not be less than one lakh rupees, or with both. In case of continuation of
such violation, shall be punishable with imprisonment for a term which shall not be less than
two years but which may extend to seven years and with fine which shall not be less than
one lakh rupees. If any owner fails to comply with direction issued or for any non-
compliances shall be punishable with imprisonment which may extend to three months, or
with fine which may extend to ten thousand rupees, or with both.
2.167.2. As regards the rationale behind the proposed amendments, the Ministry have
stated that:
1. The proposed amendment will help in substantial progress of the Nation on

account of the fact that India has now been recognized as an emerging and
powerful economy in the world.
2. Elimination of the penal provisions under the PLI Act, 1991, will ameliorate fear of
imprisonment and in case of any non-compliance or contravention of the
provisions of the PLI Act, 1991 or of the rules or directions issued under the said
Act, the violator will be punished through financial penalty and not jail term.
3. The proposed amendment will provide conducive business environment for the
industries dealing with hazardous chemicals.
4. Also, the public affected by any accident will be provided swift and reasonable
compensation by the proposed amendments. The amount of relief is sought to be
made commensurate with the extent of damage done and also with the inflation.
5. The quantum of premium of the policy will be revised keeping in view the inflation
index. The amendments will also widen the scope of the act and provide for
allocation of fund from ERF for restoration of public property and environment.
6. The Schedule containing the quantum of the compensation has been omitted
from the Act and will be notified in the Rules so as to ensure flexibility in revision.
7. As an outcome, the proposed amendment with heavier fines shall at one hand act
as a deterrent for violators and at other hand shall encourage a culture of self-
regulation for serious players.
180
2.167.3. The Ministry also informed the Committee that Inter-Ministerial Consultation
(IMC) and Public Consultation (PC) were carried out through Public Notice published on
website of MoEF&CC and in 82 newspapers PAN-INDIA. A total of 17 comments/
suggestions were received from PC and 6 comments from IMC which were duly examined
and incorporated, as deemed fit, in the proposed bill.
2.167.4. Enumerating the salient features of the proposed amendments in the Act, the
Ministry have inter-alia stated as under:
1. The violations of various provisions of PLI act will not attract prosecution. Only
non-payment of penalty/additional penalty will attract criminal liability.
2. Provisions for substantial penalty will be introduced for contravention and non-
compliance of the provisions in place of imprisonment.
3. Provisions for Adjudicating officer for awarding the penalty and compensation
amount will be introduced.
4. The provisions with respect to restoration of public property and environmental
damage by utilization of Environment Relief Fund will be inserted.
5. The amount of limit of the insurance policy has been increased substantially as
per inflation index.
6. The proposed amendment involves the omission of Schedule containing the
quantum of relief and transferring it to the PLI Rules, 1991 for ease of revision of
the amount of relief as per the inflation in future.
7. Appeal to Hon’ble National Green Tribunal has been introduced in case of
grievance against the imposition of penalty.
2.167.5. The Ministry have also submitted that amendment proposed under the Act
seek to achieve the following benefits:
1. Proposed amendment will encourage self-regulation and create an

atmosphere of trust based governances.
2. By way of the instant proposed amendment bill, the concept of Adjudicating
3. Increased penalty amount will act as deterrent for law-abiding entrepreneurs
which would ensure better compliance of laws while also promoting better
4. Eliminates the fear of imprisonment on minor lapses. This reform will also send
5. The amount of limit of the insurance policy has been increased substantially as
per inflation index.
6. Omission of Schedule containing the quantum of relief and transferring it to the
PLI Rules, 1991 for ease of revision of the amount of relief as per the inflation
in future.
7. Appeal to Hon’ble National Green Tribunal has been introduced in case of
grievance against the imposition of penalty.
181
2.168.1. During the sitting held on 17th January, 2023, the Committee sought to know
how the insurance premium to be paid and compensation for environment damage by any
industry will be ascertained. The Ministry informed the Committee that the same shall be
prescribed in the Rules. The Committee further enquired as to why the Ministry seeks to
amend Section 3 to bring about compensation to be prescribed by Rules wherein earlier it is
specified in the Schedule. The Ministry submitted that the same has been proposed to
enable ease of periodical review of compensation.
2.169.1. After detailed discussion, the Committee agreed, in principle, with the
amendment proposed to the Public Liability Insurance Act, 1991 specified at Serial No.28 of
the Schedule to the Bill and decided to consider any further modifications, if required, during
the clause-by-clause consideration of the Jan Vishwas (Amendment of Provisions) Bill,
2022.
182
The Cable Television Networks (Regulation) Act, 1995
2.171. Purpose of the Act: The Cable Television Networks (Regulation) Act, 1995 (CTN
Act) was enacted to provide a framework for regulation of cable networks in India. The Act
mandated a compulsory registration for cable operators and laid down provisions to regulate
content to be broadcasted by the cable operators. The Act protects the interest of the
subscribers and bars transmission of anti-national broadcasts which are inimical to our
national interest. For contravening/violating any provision of the CTN Act, Section 16 prescribes
for imprisonment which may extend up to 2 years, in case of first instance and 5 years for
every subsequent offence. Section 17 of the Act casts accountability on the key persons
holding responsible positions in case of offences committed by company, firm or association
of Individual. Section 18 of the Act provides that no court shall take cognizance of any offence
punishable under this Act except upon a complaint in writing made by any Authorised officer.

1. Section “Punishment for contravention of 16. Penalty for contravention of
16 provisions of this Act. – provisions of this Act. –
[(1)] Whoever contravenes any of (1) Whoever contravenes any of

the provisions of this Act shall be the provisions of this Act shall be
punishable, punishable,-
(a) for the first offence, with (a) for the first offence, with
imprisonment for a term which may advisory, or censure, or warning,
extend to two years or with fine or a penalty which may extend to
which may extend to one thousand twenty thousand rupees, or with
rupees or with both; both;
(b) for every subsequent offence, (b) for every subsequent offence,
with imprisonment for a term which with advisory, or censure, or
may extend to five years and with warning, or a penalty which may
fine which may extend to five extend to one lakh rupees, or with
thousand rupees. both;
[(2) Notwithstanding anything (c) for any violation thereafter, by

contained in the Code of Criminal cancellation of registration
Procedure, 1973 (2 of 1974), the granted, for such period,
contravention of section 4-A shall
be a cognizable offence under this by the designated officer, as may
section.]” be prescribed.
183
(2) The designated officer may,
for the reasons to be recorded in
writing, by order, impose penalty
mentioned in sub-section (1):

shall be imposed without giving a
heard.
(3) Any person aggrieved by any

penalty imposed by order under
sub-section (2), may prefer an
appeal to the Secretary to the
Government of India or such
other officer authorised by him:
Provided that no such appeal

shall be admissible after thirty
days of imposition of penalty:
Provided further that an appeal

may be entertained after the
expiry of the period of thirty days,
if he is satisfied that the appellant
was prevented by sufficient cause
from preferring the appeal in time.
2. Section Offences by companies.—(1) Proposed for omission in the Bill,

17 Where an offence under this Act as introduced.
has been committed by a company,
every person who, at the time the
offence was committed, was in
charge of, and was responsible to,
the company for the conduct of the
business of the company, as well as
the company, shall be deemed to
be guilty of the offence and shall be
liable to be proceeded against and
Provided that nothing contained in

this sub-section shall render any
such person liable to any
punishment, if he proves that the
offence was committed without his
knowledge or that he had exercised
184

contained in sub-section (1), where
any offence under this Act has been
committed by a company and it is
proved that the offence has been
connivance of, or is attributable to
any negligence on the part of, any
other officer of the company, such
other officer shall also be deemed
to be guilty of that offence and shall
be liable to be proceeded against
and punished accordingly.
Explanation.—For the purposes of

this section,—
(a) “company” means anybody

corporate and includes a firm or
other association of individuals; and
(b) “director” in relation to a firm

means a partner in the firm.
3. Section Cognizance of offences.—No Proposed for omission in the Bill,
18 court shall take cognizance of any as introduced.
offence punishable under this Act
except upon a complaint in writing
made 1[by any authorised officer.
4. Insertion (db) the period and designated

of clause officer under sub-section (1) of
(db) after section 16;
clause
(da) in
Section
22
2.173.1. The Ministry of I&B in their background note informed that decriminalization of
Offences and Penalties under the Cable Television Networks (Regulations) Act, 1995aims
at making the Act more business-friendly and boost the investor confidence in the sector.
Penalties prescribed under Section 16 of the Act were re-examined and it was observed that
185
imprisonment provisions prescribed under Section are harsh for the offences which are
mostly in the nature of technical violations. Serious offences like violation of copyright and
actions prejudicial to sovereignty or integrity of India, security of India, etc. are already
covered in copyright Act, and other criminal laws.
2.173.2. In order to make the Cable Television Networks (Regulations) Act, 1995
consistent with Government's Ease of Doing Business the Ministry of Information and
Broadcasting has proposed to amend Section 16 and consequently Section 17 and 18 of the
Act have become redundant due to proposed amendments in section 16, and thus, are
proposed to be omitted.
2.173.3. As regards the penalties proposed in the Act, the Ministry informed as under:
(i) For the first offence, it has been proposed that imprisonment shall be replaced
with Advisory, or Censure, or Warning, or a penalty. Further, maximum penalty has
been increased from one thousand rupees to twenty thousand rupees. The
designated officer may impose either or both, depending upon nature of
violation.
(ii) For every subsequent offence, it has been proposed that imprisonment shall
be replaced with Advisory, or Censure, or Warning or a fine. Further, maximum
penalty for subsequent offence has been increased from five thousand rupees to
one lath rupees. The designated officer may impose either or both, depending
upon nature of violation.
(iii)For any violation thereafter, it has been proposed to cancel the registration
granted for such period which may be determined by the designated officer on the
basis offacts of the case and subject to the rules to be framed.
2.174.1. During the briefing on the Bill on 09.02.2023, the representatives, Ministry of
Information and Broadcasting deposed before the Committee about various provisions, the
Ministry seeks to amend as stated below:
“Sir, the Cable Television Network Valuation Act, 1995 regulates the cable sector in
India, and there is certain obligation cast by the Act on the Cable Network Operators.
For example, there is an obligation to register; there is a process of encryption of the
signal that they sent; and then adherence to programme code, advertisement code is
there. There is a mandatory transmission of channels. Like this, there are several
obligations cast on the Cable Network Operators. We are here only concerned about
Section 16, 17, and 18.
Section 16 talks about contravention of the provisions of the Act. So, the existing Act
gives certain consequences for non-compliance with the obligation cast. So, the
provisions are basically: imprisonment and fine. First offence is imprisonment and fine;
and second is also imprisonment and fine. So, we are decriminalising these two
provisions. The imprisonment provisions are being deleted.
186
I will take you through the existing ones and the new ones. Then, Section 17 and 18
are consequential in nature because if the offence has been committed by a company,
then who all will be responsible? The key persons are responsible. So, the liability will
be fixed on the key persons in the company. So, because there is no imprisonment
provision now, the new provision does not require the responsibility to be fixed on key
persons of the company, therefore, we are proposing to delete Section 17 and 18.
There is also one consequential change in Section 22 where we are defining who is a
designated officer prescribed by law. We are using that provision and we are inserting
it there in Section 22.”
2.174.2. The representatives, Ministry of Information and Broadcasting informed the

Committee that the Ministry has proposed for inclusion of advisory or censure or warning or
penalty which may extend to rupees 20,000 or both under section 16. Earlier it was two
years of imprisonment or with fine. For part (b) for every subsequent offences, `with
imprisonment for a term’ has been deleted and substituted with advisory or censure or
warning or penalty which may extend to Rs. One lakh or with both. The imprisonment of five
years or a fine of Rs. 5000 has been deleted from section 16. For violations thereafter,
cancellation of registration granted for such period by designated officers has been provided
for, to decriminalize the section.
2.174.3. The Committee in this regard sought to clarify if the òpportunity of hearing’
has been provided for in case of cancellation of registration, the Ministry representatives
informed that it is under 16(2). The Committee observed that it is only for the purpose of
imposed penalty and not covering case of cancellation of registration. The Committee made
a point that the authority while working in a quasi-judicial capacity needs to extend the fair
opportunity of being heard before issuing orders of cancellation.
2.174.4. The Committee further observed that provision to cancel the registration may
be suitably incorporated and reworded as “the designated officer, may for thereasons to be
recorded in writing’, by order, impose penalty or cancellation referred in sub-section (1). The
Ministry agreed to carry out the requisite changes.
2.174.5. The Committee also asked Ministry to make consequent alternation in sec. 16
(3) in view of changes brought about in 16(1) and 16(2).
2.175.1. After detailed discussions on the amendments proposed to be made in the

Cable Television Networks (Regulation) Act, 1995, specified at Serial No. 29 of the
Schedule to the Bill and decided to consider the following suggestions/modifications if
required during Clause-by-Clause consideration:
16(1) (i) Terms “Punishable” and “Offence” to the substituted by “liable” and
“contravention”.
(ii) Period for repeat contravention needs to be specified
(iii) Provision to cancel the registrations to be rephrased and placed in the
Bill at more suitable place.
187
16(3) The words “after thirty days of receipt of such order” to substitute “after thirty
days of such order”.
New insertion as a consequential change due to changes in 16(1) & (2).
188
The Trade Marks Act, 1999

Trade]
2.177. Purpose of the Act: An Act to amend and consolidate the law relating to trade
marks, to provide for registration and better protection of trade marks for goods and services
and for the prevention of the use of fraudulent marks.
Sl. Sections Existing Provision Provision, as amended by

Sabha
1. Section 106: If any person removes or attempts to Proposed for omission in the
Penalty for remove or causes or attempts to Bill, as introduced.
removing cause to be removed for sale from
piece goods, any premises referred to in section
etc., contrary 81 or sells or exposes for sale or has
to section 81 in his possession for sale or for any
purpose of trade or manufacture
piece goods or cotton yarn or cotton
thread which is not marked as
required by that section, every such
piece and every such bundle of yarn
and all such thread and everything
used for the packing thereof shall be
forfeited to Government and such
person shall be punishable with fine
which may extend to one thousand
rupees.
2. Section 107: If any person contravenes any of the (2) If any person contravenes
Penalty for provisions of sub-section (1), he shall any of the provisions of sub-
falsely be punishable with imprisonment for section (1), he shall be liable
representing a term which may extend to three to a penalty of not less
a trade mark years, or with fine, or with both. than twenty-five thousand
as registered rupees but which may
extend to one lakh rupees.
3. Section 108: If any person uses on his place of Proposed for omission in the
Penalty for business, or on any document issued Bill, as introduced.
improperly by him, or otherwise, words which
describing a would reasonably lead to the belief
place of that his place of business is, or is
business as officially connected with, the Trade
189
connected Marks Office, he shall be punishable
with the with imprisonment for a term which
Trade Marks may extend to two years, or with fine,
office or with both
4. Section 109: If any person makes, or causes to be Proposed for omission in the
Penalty for made, a false entry in the register or Bill, as introduced.
falsification a writing falsely purporting to be a
of entries in copy of an entry in the register or
the register produces or tenders or causes to be
produced or tendered, in evidence
any such writing knowing the entry or
writing to be false, he shall be
punishable with imprisonment for a
term which may extend to two years,
or with fine, or with both.
5. Insertion of Nil 112A. Adjudication of

new Section penalties.- (1) The Registrar
after Section may, by an order, impose
112 penalty on a person for any
contravention or default, the
manner and conditions of
recovery of penalty under
the provisions of this Act,
shall be such as may be
prescribed.
(2) The Registrar shall,

before imposing any penalty,
give a reasonable
opportunity of being heard to
the person who is in default.

under sub-section (1), within
a period of ninety days from
the date of the receipt of the
order, he shall be punishable
with a fine of one lakh rupees
or imprisonment for a term
year, or with both.
6. Section 140: (3) The importer or his agent shall, (3) The importer or his agent
Power to within fourteen days, comply with the shall, within fourteen days,
require requirement as aforesaid, and if he comply with the requirement
information fails to do so, he shall be punishable as aforesaid, and if he fails to
of imported with fine which may extend to five do so, he shall be liable to
goods hundred rupees. pay a penalty of ten
bearing false thousand rupees:
190
trade marks Provided that penalty under
this section shall be levied by
such authority as authorised
under the Customs Act, 1962
(52 of 1962) for this purpose.
7 Insertion of Nil (xxxiiia) the manner and
new clause conditions of recovery of
after clause penalty under sub-section (1)
(xxxiiia) after of section 112A;
clause
(xxxiii) in
Section
157(2)
amend Sections 107, 140, 157, omit Sections 106, 108, 109 and incorporating Section 112A
in the Trade Marks Act, 1999.
2.180.1. In their sitting held on 31st January, 2023, the Committee discussed the
amendments proposed by the Department for Promotion of Industry and Internal Trade with
their representatives. The representative of the Department apprised the Committee that
India ranks fifth in Trade Mark filing as the complete process has been digitized. There has
been four-fold increase in the registration of Trade Mark in the last nine years.
2.180.2. The Committee held in depth discussion on the amendments proposed in the
Trade Marks Act, 1999 by the Department. The Committee agreed to the omission of
existing Sections 106, 108 and 109 of the Act since these are covered under the Indian
Penal Code, 1860. However, the Committee was dissatisfied with the quantum of penalty
proposed in Section 107 of the Act. The Committee was of the view that considering the
gravity of the contravention, the maximum ceiling of the penalty proposed should be five
lakh rupees.
2.180.3. As regards the adjudication provision, the Committee was of the opinion that
there must be an appellate authority above the adjudicating authority. At least one stage
should be there for appeal and if the person who contravenes the provisions is not satisfied
with the orders of the appellate authority, he can go to the court of law. The Committee felt
that such a mechanism will certainly reduce the burden on the courts. Moreover, it will
benefit the person because if a person goes to the court of law, he has to go through various
steps involved in judicial process, whereas the appellate authority can decide the matter on
a simple application. This will save money and time of the individuals especially the small
traders.
2.180.4. During the deliberations, the Committee made a general observation that the
provision for having an appellate authority should be made in almost all such Acts wherever
191
the penalty is imposed by the competent authority. Wherever a quasi-judicial authority is
imposing penalty, one more tier of appellate authority should be provided in the Act. If that
is done, almost ninety fiveper cent cases will be settled in the Department itself. The
Committee further reiterated their view expressed by them in the very beginning that the
Ministries concerned should look into effecting the amendments proposed in the Bill with
retrospective effect.
2.181.1. After detailed deliberations and clarifications on the amendments proposed to

be made in the Trade MarksAct, 1999, specified at serial no. 30 of the Schedule to the Bill,
the Committee decided to consider inter alia the following modifications during the clause-
by-clause consideration of the Bill:
(i) Section 107: The maximum amount of the penalty proposed should be five
lakh rupees.
(ii) Section 124A: There is a need to have appellate mechanism against decision
taken by Registrar.
192
The Geographical Indications of Goods (Registrations and Protection) Act, 1999

Trade]
2.183. Purpose of the Act: An Act to provide for the registration and better
protection of geographical indications relating to goods.
Sl. Sections Existing Provision Provision, as amended in

Sabha
1. Insertion of a Nil “37A. Adjudication of
New Section penalties.- (1) The Registrar
may, by an order, impose
penalty, on a person for any
contravention or default under
the provisions of this Act, the
manner and conditions of
recovery of penalty, shall be
such as may be prescribed.
(2) The Registrar shall, before

imposing any penalty, give a
being heard to the person
who is in default.

under sub-section (1), within a
period of ninety days from the
date of the receipt of the
order, the person shall be
for a term which may extend
to one year, or with fine which
shall not be less than twenty-
five thousand rupees but
which may extend to five lakh
rupees, or with both.”
2. Section 42(2) (2)If any person contravenes any (2) If any person contravenes
of the provisions of sub-section (1), any of the provisions of sub-
193
he shall be punishable with section (1), he shall be liable
imprisonment for a term which may to a penalty, of not less than
extend to three years, or with fine, twenty-five thousand
or with both. rupees but which may
extend to one lakh rupees.
3. Section 43 If any person uses on his place of Proposed for omission in the
business, or on any document Bill, as introduced.
issued by him, or otherwise, words
which would reasonably lead to the
belief that his place of business is,
or is officially connected with, the
Trade Marks Office, he shall be
punishable with imprisonment for a
term which may extend to two
years, or with fine, or with both
4. Section 44 If any person makes, or causes to Proposed for omission in the
be made, a false entry in the Bill, as introduced.
register or a writing falsely
purporting to be a copy of an entry
in the register or produces or
tenders or causes to be produced
or tendered, in evidence any such
writing knowing the entry or writing
to be false, he shall be punishable
with imprisonment for a term which
may extend to two years, or with
fine, or with both.
5 Insertion of Nil “(oa) the manner and

new clause conditions of recovery of
after clause penalty under sub-section (1)
(o) in Section of section 37A;
87(2)
amend the aforesaid Sections of the Geographical Indications of Goods (Registrations and
Protection) Act, 1999.
2.186.1. During the sitting of the Committee held on 31stJanuary, 2023, the
representatives of the Department for Promotion of Industry and Internal Trade gave their
presentation on the proposed amendments before the Committee. The Committee
discussed the proposed amendments at length with the representatives of the Department.
The Committee felt that the proposed amount of penalty under Section 42 of the Act is not
justified and this should be reasonably increased considering the nature of offence. The
194
Committee also felt that there is a need to have appellate mechanism against the decision
taken by the Registrar.
2.187.1. After detailed deliberations and clarifications on the amendments proposed to

be made in the Geographical Indications of Goods (Registration and Protection) Act, 1999,
specified at serial no. 31 of the Schedule to the Bill, the Committee decided to consider inter
alia the following modifications during clause-by-clause consideration:
(i) Section 42: The amount of penalty should be increased to five lakh rupees.
(ii) Section 37A: The provision for Appellate Mechanism against the decision of
the Register should be provided.
195
The Information Technology Act, 2000
2.188. Administering Ministry: Ministry of Electronics and Information

Technology
2.189. Purpose of the Act: The Information Technology Act, 2000 seeks toprovide
legal recognition for transactions carried out by means of electronic data interchange and
other means of electronic communication, commonly referred to as "electronic commerce",
which involve the use of alternatives to paper-based methods of communication and storage
of information, to facilitate electronic filing of documents with the Government agencies.
Sl. Sections Existing Provision Provisions as amended by the

1 Section 2 Section 2 In section 2, in sub-section (1),
Sub-section Sub-section (1), clause (e) in clause (e), for the long line,
(1), clause the following shall be
(e) "appropriate Government" means substituted, namely:—
as respects any matter,—
(i) enumerated in List II of the “the State Government, and in
Seventh Schedule to the any other case-
Constitution;
(ii) relating to any State law (I) relating to relevant provision,
enacted under List III of the or a computer resource, which is
Seventh Schedule to the controlled by the respective
Constitution, Ministry or Departments of the
the State Government and in any Central Government, such
other case, the Central Ministry or Department; or
Government;
(II) not covered under sub-
clause (I), the Central
Government;”.
2 Section 33 (2) Where any Certifying Authority (2) Where any Certifying
Surrender of fails to surrender a licence under Authority fails to surrender a
licence.— sub-section (1), the person in licence under sub-section (1),
whose favour a licence is issued, the person in whose favour a
shall be guilty of an offence and licence is issued, shall be guilty
shall be punished with of an offence and shall be liable
imprisonment which may extend to pay penalty which may
up to six months or a fine which extend to five lakh rupees.
may extend up to ten thousand
3 Section 44 Penalty for failure to furnish Penalty for failure to furnish
information, return, etc.— information, return, etc.—
196
If any person who is required If any person who is required
under this Act or any rules or under this Act or any rules or
regulations made thereunder to– regulations made thereunder to–
(a) furnish any document, return or (a) furnish any document, return
report to the Controller or the or report to the Controller or the
Certifying Authority fails to furnish Certifying Authority fails to
the same, he shall be liable to a furnish the same, he shall be
penalty not exceeding one lakh liable to a penalty not exceeding
and fifty thousand rupees for each fifteen lakh rupees for each
such failure; such failure;
(b) file any return or furnish any (b) file any return or furnish any
information, books or other information, books or other
documents within the time documents within the time
specified therefor in the specified therefor in the
regulations fails to file return or regulations fails to file return or
furnish the same within the time furnish the same within the time
specified therefor in the specified therefor in the
regulations, he shall be liable to a regulations, he shall be liable to
penalty not exceeding five a penalty not exceeding fifty
thousand rupees for every day thousand rupees for every day
during which such failure during which such failure
continues; continues;
(c) maintain books of account or (c) maintain books of account or

records, fails to maintain the records, fails to maintain the
same, he shall be liable to a same, he shall be liable to a
penalty not exceeding ten penalty not exceeding one lakh
thousand rupees for every day rupees for every day during
during which the failure continues. which the failure continues.
4 Section 45 Whoever contravenes any rules or Whoever contravenes any rules
Residual regulations made under this Act, or regulations made under this
penalty.— for the contravention of which no Act, for the contravention of
penalty has been separately which no penalty has been
provided, shall be liable to pay a separately provided, shall be
compensation not exceeding liable to pay a penalty not
twenty-five thousand rupees to the exceeding one lakh rupees, in
person affected by such addition to compensation to
contravention or a penalty not the person affected by such
exceeding twenty-five thousand contravention not exceeding.
rupees.
(a) ten lakh rupees, by an
intermediary, company or body
corporate, or
(b) one lakh rupees, by any
other person.
5 Section 46 (1) For the purpose of adjudging (1) For the purpose of adjudging
Power to under this Chapter whether any under this Act whether any
adjudicate.— person has committed a person has committed a
197
contravention of any of the contravention of any of the
provisions of this Act or of any provisions of this Act or of any
rule, regulation, direction or order rule, regulation, direction or
made thereunder which renders order made thereunder which
him liable to pay penalty or renders him liable to pay penalty
compensation, the Central or compensation, the Central
Government shall, subject to the Government shall, subject to the
provisions of sub-section (3), provisions of sub-section (3),
appoint any officer not below the appoint any officer not below the
rank of a Director to the rank of a Director to the
Government of India or an Government of India or an
equivalent officer of a State equivalent officer of a State
Government to be an adjudicating Government to be an
officer for holding an inquiry in the adjudicating officer for holding
manner prescribed by the Central an inquiry in the manner
Government. prescribed by the Central
Government.
6 Section 66A Section 66A: Punishment for Proposed for omission in the
sending offensive messages Bill, as introduced.
through communication service,
etc.—
Any person who sends, by means

of a computer resource or a
communication device,–any
information that is grossly
offensive or has menacing
character; or any information
which he knows to be false, but for
the purpose of causing
annoyance, inconvenience,
danger, obstruction, insult, injury,
criminal intimidation, enmity,
hatred or ill will, persistently by
making use of such computer
resource or a communication
device;
any electronic mail or electronic
mail message for the purpose of
causing annoyance or
inconvenience or to deceive or to
mislead the addressee or recipient
about the origin of such
messages,
may extend to three years and
with fine.
Explanation.–For the purposes of
198
this section, terms “electronic mail”
and “electronic mail message”
means a message or information
created or transmitted or received
on a computer, computer system,
computer resource or
communication device including
attachments in text, image, audio,
video and any other electronic
record, which may be transmitted
with the message.
7 Section 67C (2) any intermediary who (2) any intermediary who
intentionally or knowingly intentionally or knowingly
contravenes the provisions of sub- contravenes the provisions of
section (1) shall be punished with sub-section (1) shall be liable to
an imprisonment for a term which pay penalty which may extend
may extend to three years and to twenty five lakh rupees.
also be liable to fine.
8 Section 68 (2) Any person who intentionally or (2) Any person who intentionally
knowingly fails to comply with any or knowingly fails to comply with
order under sub-section (1) shall any order under sub-section (1)
be guilty of an offence and shall shall be guilty of an offence and
be liable on conviction to shall be liable to pay penalty
imprisonment for a term not which may extend to twenty-
exceeding two years or a fine not five lakh rupees.
exceeding one lakh rupees or with
both.
9 Section 69B (4) Any intermediary who (4) Any intermediary who
intentionally or knowingly intentionally or knowingly
contravenes the provisions of sub- contravenes the provisions of
section (2) shall be punished with sub-section (2) shall be
an imprisonment for a term which punished with an imprisonment
may extend to three years and for a term which any extend to
shall also be liable to fine. one year or shall be liable to
fine which may extend to one
crore rupees, or, with both.
10 Section 70B (7) Any service provider, (7) Any service provider,
intermediaries, data centres, body intermediaries, data centres,
corporate or person who fails to body corporate or person who
provide the information called for fails to provide the information
or comply with the direction under called for or comply with the
sub-section (6), shall be direction under sub-section (6),
punishable with imprisonment for shall be punishable with
a term which may extend to one imprisonment for a term which
year or with fine which may extend may extend to one year or with
to one lakh rupees or with both. fine which may extend to one
crore rupees or with both.
11 Section 72 Penalty for Breach of Penalty for Breach of

confidentiality and privacy.— confidentiality and privacy.—
199
Save as otherwise provided in this Save as otherwise provided in
Act or any other law for the time this Act or any other law for the
being in force, if any person who, time being in force, if any person
in pursuance of any of the powers who, in pursuance of any of the
conferred under this Act, rules or powers conferred under this Act,
regulations made thereunder, has rules or regulations made
secured access to any electronic thereunder, has secured access
record, book, register, to any electronic record, book,
correspondence, information, register, correspondence,
document or other material without information, document or other
the consent of the person material without the consent of
concerned discloses such the person concerned discloses
electronic record, book, register, such electronic record, book,
correspondence, information, register, correspondence,
document or other material to any information, document or other
other person shall be punished material to any other person
with imprisonment for a term which shall be liable to penalty which
may extend to two years, or with may extend to five lakh
fine which may extend to one lakh rupees.
12 Section 72A Punishment for disclosure of Punishment for disclosure of
information in breach of lawful information in breach of lawful
contract.— contract.—
Save as otherwise provided in this Save as otherwise provided in
Act or any other law for the time this Act or any other law for the
being in force, any person time being in force, any person
including an intermediary who, including an intermediary who,
while providing services under the while providing services under
terms of lawful contract, has the terms of lawful contract, has
secured access to any material secured access to any material
containing personal information containing personal information
about another person, with the about another person, with the
intent to cause or knowing that he intent to cause or knowing that
is likely to cause wrongful loss or he is likely to cause wrongful
wrongful gain discloses, without loss or wrongful gain discloses,
the consent of the person without the consent of the
concerned, or in breach of a lawful person concerned, or in breach
contract, such material to any of a lawful contract, such
other person, shall be punished material to any other person,
with imprisonment for a term which shall be liable to pay penalty
may extend to three years, or with which may extend to twenty
fine which may extend to five lakh five lakh rupees.
2.191.1. Regarding the objectives kept in view during the review of the Information
Technology Act, 2000, the Ministry of Electronics and Information Technology have in their
200
background note submitted that the provisions relating to punishment of contravention under
the said Act have been reviewed keeping the following objectives in view:
(a) Decriminalising imprisonment clauses wherever possible, or reducing the

quantum of punishment or/and making the offence compoundable for Ease of
Doing Business;
(b) Maintaining uniformity in penalties for similar offences; and
(c) Instead of fines, providing for penalties, to enable decisions at the level of
administrative officers appointed as adjudicating officers, without burdening the
courts.
2.191.2. The Ministry have further submitted that the review undertaken has been
guided by the following principles:
(a) Retention of the violation as a punishable criminal offence for more serious
violations;
(b) Bringing in alignment the quantum of punishment for offences of a similar nature;
(c) In respect of contraventions by companies and other bodies corporate,—
(i) eliminating imprisonment; and/or
(ii) replacing the provision for fine imposed by court as punishment for a
criminal offence by provision for financial penalty of a higher quantum
imposed by administrative officers appointed as adjudicating officers;
and
(iii) rationalising penalty/liability for non-criminal contraventions; and
2.191.3. Clarifying further on the subject, the Ministry inter alia submitted that
amendments to Section 69 (B) [Not assisting in monitoring and collecting traffic data],
Section 70 (B) [Not complying with directions of CERT-In, Section 44 (a) [Not furnishing
document etc. to Controller of Certifying Authorities (CCA) for electronic signatures, Section
44(b) [Not filing return/ information with CCA] Section 44(c) [Non-maintenance of
accounts/records by certifying authority] and Section 68 [Not complying with directions of
CCA] have been proposed with a view to maintain uniformity in penalties for similar
offences.
2.191.4. Amendments to Section 33 [Non-surrender or suspended or revoked licence

by certifying authority], Section 67C [Non-preservation/retention of prescribed information by
intermediary], Section 72 [Accessing of electronic records etc. by person in pursuance of
powers conferred by the IT Act, without obtaining the consent of the person concerned],
Section 72A [Disclosing information in breach of a lawful contract, or without consent of a
person to cause wrongful loss or gain] and Section 45 [Penalty in cases where no penalty is
specified in a section of the IT Act], have been proposed with a view to (i) eliminating
imprisonment for contraventions by companies and other bodies corporate, (ii) replacing the
provision for fine imposed by court as punishment for a criminal offence by provision for
financial penalty of a higher quantum imposed by administrative officers appointed as
adjudicating officers, and (iii) rationalising penalty/liability for non-criminal contraventions:
2.191.5. A consequential amendment is also proposed to section 46 to empower the

adjudicating officer to adjudicate any contravention under the Act and impose financial
penalty.
201
2.191.6. Amendment to omit section 66A has been proposed as the same has been
struck down by the Supreme Court in the matter of Shreya Singhal vs. Union of India.
2.191.7. Amendment has been proposed to the definition of ‘appropriate Government’

in section 2(1)(e), with a view to enable various administrative Ministries/Departments to
exercise powers under the IT Act in respect of matters allotted to them under the
Government of India (Allocation of Business) Rules, 1961, as against the current position
where only the Ministry of Electronics and Information Technology is enabled to exercise
powers.
2.192.1. During the sitting held on January 16, 2023, the Committee sought clarification
on the use of terminology ‘directions and orders’ in Section 46 of the Act in relation to grant
of compensation under the Act. In response the Ministry submitted that power to issue
directions or order have been given under Section 69, 69(a), 69(d), 70 (a), 70 (b) etc. It was
further submitted that issuing authority wile issuing directions also conveys the consequence
of noncompliance of such direction. The contravention of the directions would lead to
compensation.
2.193.1. After detailed discussions and clarifications being sought by the Committee on
the amendments proposed to be made in the Information Technology Act, 2000, specified at
serial no. 32 in the Schedule to the Bill, the Committee suggested the following
modifications to the proposed amendments:
Section 2(1)(e): Language of the amendment may be drafted so that the meaning is
clearer.
Section 45: The scope of penalty may be made consistent with that under sub-
section (1A) of section 46.
Section 46: The basis for compensation under sub-section (1A) of section 46 may
be made consistent with that under sections 43 and 43A.
Section 72: Provision for punishment as an offence may be retained. Alignment

may be ensured with the provisions in the Digital Personal Data
Protection Bill.
Section 72 A In case criminal punishment is not proposed, the short title for the
section may refer to “Penalty” rather than “Punishment”.
The provision for punishment as an offence may be retained. Alignment
may be ensured with the provisions in the Digital Personal Data
Protection Bill.
202
The Metro Railways (Operation and Maintenance) Act, 2002
2.194. Administering Ministry: Ministry of Housing and Urban Affairs
2.195. Purpose of the Act: An Act to provide for the operation and maintenance and
to regulate the working of the metro
railway in the National Capital Region, metropolitan city and metropolitan area and
formatters connected therewith and incidental thereto.
Sections Existing Provision Provisions as amended in the

Sl. Bill introduced in Lok Sabha
No.
1 Section In section 6, in sub-section (2), in

6(2)(h) clause (h), the word “and”
occurring at the end shall be
omitted;
Section 6(2) Nil After existing sub-section 6(2)(i),

sub-section (j) shall be inserted as
under:
"levy and collect penalties as

provided in this Act."
(the above clause is being

inserted as one of the powers of
the Metro Railway Administration
under Section 6)
2 Section 59(2) If any metro railway official In section 59 of the principal Act, for
is in a state of intoxication sub-section (2), the following sub-
while on duty, he shall be section shall be substituted,
punishable with fine which namely:—
may extend to two hundred “If any metro railway official or
and fifty rupees or, where authorized person is in a state of
the improper performance intoxication while on duty, he shall
of the duty would be likely be punishable with penalty which
to endanger the safety of may extend to ten thousand
any passenger travelling or rupees”
being upon the metro
railway, with imprisonment
203
for a term which may
extend to two years, or with
fine which may extend to
five hundred rupees, or with
both.
3 Section 63 If any passenger travels on If any passenger travels on the
the roof of a train or persists roof of a metro rail or persists in
in travelling in any part of a travelling in any part of a metro rail
train not intended for the not intended for the use of
use of passengers or passengers or projects any part of
projects any part of his his body out of a metro rail after
body out of a train after being warned by any metro rail
being warned by any metro official to desist, he shall be
railway official to desist, he punishable with penalty which
shall be punishable with may extend to five thousand
imprisonment for a term rupees, and shall also be liable to
which may extend to one be removed from the metro rail by
month, or with fine which any metro rail official authorized
may extend to fifty rupees by the metro rail Administration in
,or with both, and shall also this behalf.
be liable to be removed
from the train by any metro
railway official authorised
by the metro railway
administration in this behalf.
4 Section 65 If any metro railway official, If any metro rail official or
when on duty endangers authorized person, when on duty
the safety of any endangers the safety of any
passenger,— passenger,-
(a) by any rash or negligent (a) by any rash or negligent act
actor omission; or or omission; or
(b) by disobeying any rule, (b) by disobeying any rule or
regulation or order which order which such official was
such official was bound by bound by the terms of his
the terms of his employment to obey, and
employment to obey, and of of which he had notice, he shall
which he had notice, be punishable with
he shall be punishable imprisonment for a term which
with imprisonment for a may extend to one year, or
term which may extend to with fine which may extend to
five years, or with fine thirty thousand rupees, or with
which may extend to six both.
thousand rupees, or with
both.
204
5 Section69 (4) If any passenger liable to “If any passenger liable to pay
pay the excess charge and the excess charge and fare
fare mentioned in sub- mentioned in sub-section(1), or
section(1),or the excess the excess charge and any
charge and any difference difference of fare mentioned in
of fare mentioned in sub- sub-section (2),fails or refuses to
section (2), fails or refuses pay the same on a demand being
to pay the same made therefor, any metro rail
on a demand being made official authorized by the metro
therefor, any metro railway rail administration in this behalf
official authorised by the may apply to any Metropolitan
metro railway administration Magistrate or, as the case may
in this behalf may apply to be, Judicial magistrate of the first
any Metropolitan Magistrate class, for the recovery of the sum
for the recovery of the sum payable as if it were a fine.”
payable as if it were a fine,
and the Magistrate if
satisfied that the sum is
payable shall order it to be
so recovered, and may
orderthatthepersonliablefort
hepaymentshallindefaultofp
aymentsufferimprisonmentf
or a term which may extend
to one month.
6 Section 70 If any passenger or any 70. Needlessly interfering with
other person without means of communication in a
reasonable and sufficient train.-
cause, makes use of, or If any passenger or any other
interferes with, any means person without reasonable and
provided by the metro sufficient cause makes use of, or
railway administration in a interferes with, any means
train for communication provided by the metro rail
between passengers and administration in a metro rail for
metro railway official in communication between
charge of the train, or passengers and metro rail official
misuses alarm bell of the in charge of the metro rail or
train, he shall be punishable misuses alarm bell or emergency
with imprisonment which stop push or emergency trip
may extend to one year, system or emergency call point of
or with fine which may the metro rail, he shall be
extend to one thousand punishable with Penalty which
rupees, or with both. may extend to ten thousand
rupees.
205
7 Section 80 If any person requiring Proposed for omission in the Bill,
compensation from the as introduced.
metro railway administration
under Chapter X makes a
claim which is false or
which he knows or believes
to be false or does not
believe to be true, he shall
be punishable with
which may extend to
three years, or with fine, or
with both.
8 Section82 (1) If a person commits If a person commits any offence
any offence mentioned in mentioned in sections 61, 65 to
sections 59, 61, 65 to 79, 68, 71 to 79, he may be arrested
he may be arrested without without warrant or other written
warrant or other written authority by any metro railway
authority by any metro official or by a police officer not
railway official or by a police below the rank of a head
officer not below the rank of constable or by any other person
a head constable or by any whom such metro railway official
other person whom such or police officer may call to his aid:
metro railway official or
police officer may call to his Provided that where a person
aid: has been arrested, by any person
Provided that where a other than the police officer, he
person has been arrested, shall be made over to a police
by any person other than officer, or, in the absence of a
the police officer, he shall police officer, take such person
be made over to a police or cause him to be taken in
officer, or, in the absence of custody to the nearest police
a police officer, take such station.
person or cause him to be
taken in custody to the
nearest police station.
2.197.1. In their background note submitted to the Committee, the Ministry of Housing
and Urban Affairs have submitted as under:
“Sections relating to travel without proper ticket or pass, making a false claim for
compensation, travel on the roof of a train, etc. have imprisonment provisions. The
imprisonment term under these provisions range from 1 month to 5 years, depending
upon the nature of offence. Imprisonment and fine provisions under Sections 59(2),
63,69(4) and 70 are proposed to be converted to penalty and Imprisonment and fine
under
Section 80 is proposed to be omitted. Imprisonment tenure in Section 65 is proposed
206
to be reduced. Further, power to levy and collect penalties has been given to Metro
Rail Administration.”
2.198.1. During the sitting held on January 17, 2023, the Ministry submitted that with
respect to Section 59 (2) of the Metro Railways (Operation and Maintenance) Act, 2002
dealing with intoxication by metro railway official while onduty, the Ministry proposes to
discontinue with punishment of imprisonment while increasing the penalty amount to Rs.
10,000/- from Rs. 250/-.
2.198.2. On concerns raised by the Committee that the proposed punishment

prescribed in the provision does not commensurate with the gravity of the offence, the
representatives of the Ministry of Housing and Urban Affairs informed the Committee that
since the inception, no case has been registered till date under this Section. It was also
informed that administrative action resulting in dismissal from service can also be initiated.
The representatives also informed that in case act by the official endangers the safety of the
passengers, Section 77 of the Act relating to Rash and Negligent shall also become
applicable and the official concerned can be punished with imprisonment for one year. The
Committee however, after detailed discussion on the matter felt that imprisonment provision
should not be done away with and the same may be retained.
2.199.1. After detailed discussions and clarifications sought by the Committee on the
amendments proposed to be made in theMetro Railways (Operation and Maintenance) Act,
2002, specified at serial number 33 of the Schedule to the Bill, the Committee suggested the
following modifications to the proposed amendments:-
Section 59 (2): In first part “fine of two hundred and fifty rupees” to be changed to
“penalty of ten thousand rupees”.
In the second part imprisonment for two years and “fine” to be retained
but the amount five hundred rupees of fine to be changed to ten
thousand rupees.
Section 63: The term “after being warned by any metro rail official to desist” to be
deleted
Section 65: Proposed imprisonment to be increased to two years from one year.
Section 82(1): Consequential changes be carried out appropriately
207
The Prevention of Money-laundering Act, 2002

[Department of Revenue]
2.201. Purpose of the Act: An Act to prevent money-laundering and to provide for
confiscation of property derived from, or involved in money-laundering and for matters
connected therewith or incidental thereto.
Sl. Paragraphs Existing Provision Provision, as amended by the

1. PARAGRAPH Section Description of For Paragraph 21, the following
21 offence Paragraph shall be substituted,
OFFENCES 103 Penalty for namely:-
UNDER THE applying false “PARAGRAPH 21
TRADEMARKS trademarks, OFFENCES UNDER THE
ACT, 1999 trade TRADEMARKS ACT, 1999
descriptions, etc. (47 OF 1999)
104 Penalty for Section Description
selling goods or “103 Penalty for
providing applying false
services to trademarks,
which false trade
trademark or descriptions,
false trade etc.
description is 104 Penalty for
applied selling goods
105 Enhanced or providing
penalty on services to
second or which false
subsequent trademark or
conviction. false trade
107 Penalty for description is
falsely applied
representing a 105 Enhanced
trademark as penalty on
registered. second or
120 Punishment of subsequent
abetment in conviction.
India of acts 120 Punishment
done out of of abetment
India. in India of
acts done out
of India.”;
208
2 “PARAGRAPH for Paragraph 22, the following
22 Section Description Paragraph shall be substituted,
OFFENCES 72 Penalty for namely:-
UNDER THE breach of “PARAGRAPH 22
INFORMATION confidentiality OFFENCES UNDER THE
TECHNOLOGY and privacy. INFORMATION TECHNOLOGY
ACT, 2000 “75 Act to apply ACT, 2000
for offence or (21 OF 2000)
contravention Section Description
committed “75 Act to apply for
outside offence or
India.”; contravention
committed
outside India.”;
3. PARAGRAPH Section Description Proposed for omission in the Bill,
25 15 read Penalty for as introduced.
OFFENCES with discharging
UNDER THE section environmental
ENVIRONMENT 7 pollutants,
PROTECTION etc., in
ACT, 1986 excess of
prescribed
standards
15 read Penalty for
with handling
section hazardous
8 substances
without
complying
with
procedural
safeguards.
4. PARAGRAPH Section Description Proposed for omission in the Bill,
27 37 Failure to as introduced.
OFFENCES comply with
UNDER THE the
AIR provisions
(PREVENTION for operating
AND CONTROL industrial
OF plant.
POLLUTION)
ACT, 1981
2.203.1. As per their background note, the Department of Revenue proposed to

decriminalize offences under Section 107 of the Trade Marks Act, 1999; Section 72 of the
Information Technology Act, 2000; Section 15 of the Environment Protection Act, 1986; and
Section 37 of the Air (Prevention and Control of Pollution) Act, 1981, as under:
209
(i) substitution of paragraph 21 by deleting Section 107 (Penalty for falsely
representing a trademark as registered) of Trade Mark Act, 1999;
(ii) substitution of paragraph 22 by deleting Section 72 (Penalty for breach of
confidentiality and privacy) of Information Technology Act, 2000;
(iii) omission of paragraph 25 offences which deals with the offences under
Section 15 read with Section 7 and 8 of the Environment Protection Act, 1986;
and
(iv) omission of paragraph 27 offences which deals with the offences under
Section 37 of the Air (Prevention and Control of Pollution) Act, 1981.
2.203.2. The Department briefed in their background note that the aforesaid offences
have been incorporated in the schedule to the Prevention of Money-laundering Act, 2002
keeping in view their grave nature and risk of money laundering associated therewith. Since
incorporation of these provisions in the Schedule to the Prevention of Money-laundering Act,
2002, the Directorate of Enforcement have initiated a number of money laundering cases
wherein substantial amount of proceeds of crime have been identified.
2.203.3. Deletion of Section 107 of the Trade Mark Act, 1999 from the Schedule to the
Act may augment the malpractices in trade and may provide a potential area to money-
launderers for generation of the proceeds of crime by indulging in money laundering
activities such as trading in counterfeit goods. Such kind of trading may be associated with
criminal syndicates and organized crime groups. Removing this provision may increase
money laundering activities in such trade related activities.
2.203.4. Offence under Section 72 of the Information Technology Act, 2000 is a

scheduled offence in paragraph 22 of the Act. This Section prescribed the penalty for
breach of confidentiality and privacy. In the era where the digital records constitute the
backbone of any administrative set up being corporate or government, it is likelihood
wherein someone may misuse the date of any person by accessing the same without the
consent of the person concerned and may disclose it to the third person, thus on the face of
it by doing such act the person may likely to generate proceeds out of such act. So deletion
of section 72 of the Information Technology Act, 2000 being the scheduled offence is
opposed since the same has the potential of generation of proceeds of crime and in no way
the deletion of the said section would commensurate the objective of the proposed Bill.
2.203.5. In respect of Environment related cases wherein omission of paragraph 25

offences which deals with the offences under Section 15 read with Section 7 and 8 of the
Environment Protection Act, 1986 and omission of paragraph 27 offences which deals with
the offences under Section 37 of the Air (Prevention and Control of Pollution) Act, 1981 is
proposed in the Bill, it is mentioned that the offences related to environment have larger
impact on the society and on the health of humans and other living beings. Hon’ble
Supreme Court has time and again pointed out the importance of healthy environment and
sustainable development. The National Green Tribunal has also emphasis upon money
laundering aspects of environment related crimes. Thus, the decriminalization as well as
the consequential removal of these offences from paragraphs 25 and 27 of the Schedule to
the Prevention of Money-laundering Act, 2002 may aggravate the environmental hazard and
also let the offender enjoy the proceeds of crime generated out of activities causing harm to
the environment.
210
2.203.6. The Department of Revenue in their background note accordingly mentioned
that in view of the aforesaid, the Directorate of Enforcement opposes the decriminalization
of the aforesaid offences and consequently the amendments so proposed in the Schedule to
the Act by way of making deletion/omission/substitution of above said provisions of the
proposed Bill. However, in their subsequent comments, the Department of Revenue has
stated that since these offences are de-criminalized, it is these may be deleted from the
Schedule to the Prevention of Money-laundering Act, 2002 as well.
2.204.1. The Committee held detailed deliberations on the above proposals of the
Department of Revenue with the representatives of the Department.
Section 107 of the Trade Marks Act, 1999 is reproduced hereunder:
Section 107. Penalty for falsely representing a trade mark as registered.

(1) No person shall make any representation--
(a) with respect to a mark, not being a registered trade mark, to the effect
that it is a registered trade mark; or
(b) with respect to a part of a registered trade mark, not being a part
separately registered as a trade mark, to the effect that it is separately
registered as a trade mark; or
(c) to the effect that a registered trade mark is registered in respect of any
goods or services in respect of which it is not in fact registered; or
(d) to the effect that registration of a trade mark gives an exclusive right to
the use thereof in any circumstances in which, having regard to limitation
entered on the register, the registration does not in fact give that right.
(2) If any person contravenes any of the provisions of sub-section (1), he
shall be punishable with imprisonment for a term which may extend to
three years, or with fine, or with both.
(3) For the purposes of this section, the use in India in relation to a trade
mark of the word "registered", or of any other expression, symbol or sign
referring whether expressly or impliedly to registration, shall be deemed to
import a reference to registration in the register, except--
(a) where that word or other expression, symbol or sign is used in direct
association with other words delineated in characters at least as large as
those in which that word or other expression, symbol or sign is delineated
and indicating that the reference is to registration as a trade mark under
the law of a country outside India being a country under the law of which
the registration referred to is in fact in force; or
(b) where that other expression, symbol or sign is of itself such as to
indicate that the reference is to such registration as is mentioned in
clause (a); or
(c) where that word is used in relation to a mark registered as a trade
mark under the law of a country outside India and in relation solely to
goods to be exported to that country or in relation to services for use in
that country.
211
Section 72 of the Information Technology Act, 2000 stipulates the following:
72. Penalty for Breach of confidentiality and privacy.–Save as otherwise

provided in this Act or any other law for the time being in force, if any person
who, in pursuance of any of the powers conferred under this Act, rules or
regulations made thereunder, has secured access to any electronic record,
book, register, correspondence, information, document or other material
without the consent of the person concerned discloses such electronic record,
book, register, correspondence, information, document or other material to any
other person shall be punished with imprisonment for a term which may extend
to two years, or with fine which may extend to one lakh rupees, or with both.
Sections 7, 8 and 15 of the Environment Protection Act, 1986 are as under:
7. Persons carrying on industry operation, etc., not to allow emission or

discharge of environmental pollutants in excess of the standards.- No
person carrying on any industry, operation or process shall discharge or emit
or permit to be discharged or emitted any environmental pollutants in excess
of such standards as may be prescribed .
8. Persons handling hazardous substances to comply with procedural

safeguards.- No person shall handle or cause to be handled any hazardous
substance except in accordance with such procedure and after complying with
such safeguards as may be prescribed.
15. Penalty for contravention of the provisions of the Act and the Rules,
Orders and Directions.- (1) Whoever fails to comply with or contravenes any
of the provisions of this Act, or the rules made or orders or directions issued
thereunder, shall, in respect of each such failure or contravention, be
punishable with imprisonment for a term which may extend to five years with
fine which may extend to one lakh rupees, or with both, and in case the failure
or contravention continues, with additional fine which may extend to five
thousand rupees for every day during which such failure or contravention
continues after the conviction for the first such failure or contravention.
(2) If the failure or contravention referred to in sub-section (1) continues
beyond a period of one year after the date of conviction, the offender shall be
punishable with imprisonment for a term which may extend to seven years.
2.204.2. And, Section 37 of the Air (Prevention and Control of Pollution) Act, 1981 is as
under:
37. Failure to comply with the provisions of section 21 or section 22 or with the
directions issued under section 31A.-- (1) whoever fails to comply with the
provisions of section 21 or section 22 or directions issued under section 31A, shall, in
respect of each such failure, be punishable with imprisonment for a term which shall
not be less than one year and six months but which may extend to six years and with
fine, and in case the failure continues, with an additional fine which may extend to
five thousand rupees for every day during which such failure continues after the
conviction for the first such failure.
212
(2) If the failure referred to in sub-section (1) continues beyond a period of one year
after the date of conviction, the offender shall be punishable with imprisonment for a
term which shall not be less than two years but which may extend to seven years and
with fine.
2.204.3. During the presentation by the Department of Revenue and the deliberations
held with them, the Committee inter aliaraised their concerns about decriminalization of
Section 72 of the Information Technology Act, 2000 which provides penalty for breach of
confidentiality and privacy. The Committee felt that the provisions which are being proposed
to be amended in the Schedule to the Prevention of Money-laundering Act, 2002 essentially
pertain to their original Acts being administered by the concerned Departments other than
the Department of Revenue. The Department of Revenue is proposing only the
consequential amendments in the Prevention of Money-laundering Act, 2002. The
Committee were of the opinion that these matters would be examined once the discussions
are held with the concerned Ministries/Departments administering the respective Acts during
the Second Reading and finalize the same.
2.205.1. After detailed discussions, the Committee directed the Department of Revenue
to re-examine the proposed amendments in the light of decriminalizing the main Acts and
see especially in respect the Information Technology Act, 2000 if there are any other
provisions under the Act imposing punishment.
213
The Food Safety and Standards Act, 2006

[Department of Health and Family Welfare]
2.207. Purpose of the Act: The Food Safety and Standards Act, 2006 is an Act to
consolidate the laws relating to food and to establish the Food Safety and Standards Authority
of India for laying down science based standards for articles of food and to regulate their
manufacture, storage, distribution, sale and import, to ensure availability of safe and
wholesome food for human consumption and for matters connected therewith or incidental
thereto.
2.208. Amendments proposed to Act:

1 Section 59 Punishment for unsafe food.- Punishment for unsafe food.-
(i) Any person who, whether by Any person who, whether by
himself or by any other person himself or by any other person
on his behalf, manufactures for on his behalf, manufacturers for
sale or stores or sells or sale or stores or sells or
distributes or imports any distributes or imports any article
article of food for human of food for human consumption
consumption which is unsafe, which is unsafe, shall be
shall be punishable punishable-
where such failure or where such failure or
contravention does not result in contravention does not result in
injury, with imprisonment for a injury, with fine which may
term which may extend to six extend to three lakh rupees;
months and also with fine
which may extend to one lakh
rupees
2 Section 61 Punishment for false Punishment for false
information.- information.-
If a person, in connection with If a person, in connection with a
a requirement or direction requirement or direction under
under this Act, provides any this Act, provides any
information or produces any information or produces any
document that the person document that the person knows
knows is false or misleading, is false or misleading, he
he shall be punishable with shall be punishable with fine
imprisonment for a term which which may extend to ten lakh
may extend to three rupees.
months and also with fine
which may extend to two lakh
214
rupees
3 Section 63 Punishment for carrying out a Punishment for carrying out a
business without license.- business without license.-
If any person or food business If any person or food business
operator (except the persons operator (except the persons
exempted from licensing under exempted from licensing under
sub-section (2) of section 31 of sub-section (2) of section 31 of
this Act), himself or by any this Act), himself or by any
person on his behalf who is person on his behalf who is
required to obtain licence, required to obtain licence,
manufacturers, sells, stores or manufacturers, sells, stores or
distributes or imports any distributes or imports any article
article of food without licence, of food without licence, shall
shall be punishable with be punishable with a fine which
imprisonment for a term which may extend to five lakh
may extend to six months and rupees.
also with a fine which may
extend to five lakh rupees.
2.209.1. The Ministry of Health and Family Welfare in their background note provided
the following information on the proposed amendments:
“Section 59(i) of the said Act deals with the punishment for unsafe food, which does not
result in injury. Provision of “imprisonment‟ in section 59(i), as it appears far in excess
of the gravity of offence, has been proposed to be omitted. It is, however, proposed to
increase the fine under 59(i), from one lakh to three lakhs, to act as deterrent.
Section 61 deals with the punishment for false information. The said provision punishes
a person for false or misleading information/ documents. Amendment to omit the
imprisonment and enhance the fine has been proposed.
Section 63 deals with the punishment for carrying out a business without license.
Provision punishes a person for carrying on business without a license. Accordingly,
amendment to omit the imprisonment has been proposed.”
2.210.1. The Secretary, Department of Health and Family Welfare during the briefing
on the bill, apprised the Committee that in section 59(1), section 61 and section 63, the
Ministry is proposing to remove imprisonment and increase fine from rupees one lakh to
three lakhs to completely decriminalise these provisions.
2.210.2. The Secretary, Department. of Health and Family Welfare further informed the
Committee that as Food Safety and Standards Act contains provisions for settling penalty
disputes by administrative authority under section 50 to 58 and therefore, these could be
considered for complete decriminalisation.
215
2.210.3. The Committee observed that all the sections from 50 to 58 use the word
Penalty instead of fine and in line suggested that likewise `Penalty’ should be used in
section 50, 61 and 63 as well.
2.210.4. In this regard, Secretary, Department of Health and Family Welfare informed
that to fix substantive liability there should be clear definition of Ùnsafe Food” though `Food’
has been defined under section 3 of the Food Safety and Standards Act 2006. The
definition talks about ‘hazardous food’ but not ‘unsafe food’ which covers several types of
unsafe food. Keeping this in view only petty offences under section 56, 61 and 63 have
been decriminalised.
2.210.5. The Committee, however, opined that complete decriminalisation of Section

59(1) may affect overall structure of the section, therefore, reduced imprisonment of 3
months period may be retained and fine may be extended to three lakh rupees.
2.210.6. The Committee also agreed to the removal of punishment under section 61
and 63 and to extended fine amount of Rs. ten lakh, and observed that word `fine’ and
`punishment’ may be replaced with `Penalty’.
2.210.7. During the course of discussion, the Committee observed that we should not
forget the purpose of the Bill which is to unburden courts from unnecessary litigation.
Therefore, for provisions which provides only for fine, our efforts should be to decriminalize
them.
2.210.8. The Committee suggested that opening sentence of section 63 should be

changed to `penalty for carrying’ instead of `punishment for carrying’ and in place of the
words `shall be punishable be substituted with “shall be liable to a penalty’. The Committee
further suggested that section 61 and 63 may be placed after Section 58 and `penalty’ may
be provided for in this section. The Committee askedthe Ministry to review for renumbering
these sections in accordance with uniformity of the Punishment/Penalty being provided for in
these sections to maintain the harmonious flow of the provisions.
2.211.1. After detailed discussions, the Committee agreed, in principle, with the
amendments proposed to the Food Safety and Standards Act, 2006, specified at Serial No.
35 of the Schedule to the Bill, and decided to considerthe following
suggestions/modifications if required during Clause-by-Clause consideration:
Section 59(i): Imprisonment for a term which may extend to three months and also
with fine which may extend to three lakh rupees.
Section 61: Original Section to be deleted.
Section 63: Original Section to be deleted.
216
The Government Securities Act, 2006

2.213. Purpose of the Act: It is an Act to consolidate and amend the law
relating to Government securities and its management by the Reserve Bank of India and for
matters connected therewith or incidental thereto. “Government security" means a security
created and issued by the Government for the purpose of raising a public loan or for any
other purpose as may be notified by the Government.
2.213.1. The Act provides for terms and conditions including the forms of Government
securities to be issued, such as (i) a Government promissory note payable to or to the order
of a certain persons; or (ii) a bearer bond payable to bearer; or (iii) a stock; or (iv) a bond
held in a bond ledger account.
Sl. Section Existing Provision Provision, as amended by the

1. Section Contravention and penalties. – (1) Contravention and penalties. –
30(1) If any person, for the purpose of (1) If any person, for the purpose
obtaining for himself or for any of obtaining for himself or for any
other person any title to a other person any title to a
Government security, makes to Government security, makes to
any authority in any application any authority in any application
made under this Act or in the made under this Act or in the
course of any inquiry undertaken course of any inquiry undertaken
in pursuance of this Act any in pursuance of this Act any
statement which is false and statement which is false and
which he either knows to be false which he either knows to be false
or does not believe to be true, he or does not believe to be true, he
shall be punishable with shall be punishable with fine.
fine, or with both.
2.215.1. The Department of Economic Affairs has proposed to amend sub-section (1)
of Section 30 of the Government Securities Act, 2006. The Department, in their background
note, has given the following rationale for amendment and decriminalisation of Section 30(1)
of the Act:
217
(i) It will make the Act less regressive in the present time by eliminating
imprisonment clause and retaining only fine related clause.
(ii) The matter was referred to the Reserve Bank of India, the regulator concerned,
and it has been confirmed by them that “there has neither been any instance of
invocation of imprisonment clause under Section 30(1) of the Government
Securities Act, 2006 nor any fine has been imposed under the said Section of the
Act.”
(iii) As there had been no occasion for RBI to impose fine on any individual or entity
dealing with the Government Securities Act, 2006 and the fact that institutions like
banks, insurance companies, mutual funds, etc. mostly deal in large amount of
Government securities, it was felt that imprisonment related clause may be
removed and fine related provision only be continued as any contravening
individual/institution will be liable for punishment with fine imposed by the Court on
a complaint made by the RBI.
2.216.1. During their sitting held on 6th February, 2023, the Committee pondered the
amendment proposed by the Department and examined Section 30 in entirety deliberating
on all the sub-section and related sections of the Act. The Committee enquired whether
there is any such provision of the Act which relates to contravention of any regulation or
notification or direction. The Committee observed that sub-section (3) of Section 30 covers
all types of contraventions. The Committee further observed as under:
“Instead of fine, the word ‘penalty’ will be there. It is because in the opening
portion of sub-section 30, it is said “Contravention and penalties”. The thing is
that penalty is to be decided by the RBI and fine is to be decided by the Court.
We do not want that matter should go before the Court. We want that it should
be before the RBI to decide the penalty. Our intent and object is very clear.
Only for this purpose, if we are compelling the aggrieved person to go before
the Court for fine by filing a complaint under sub-section (2), no purpose will
be served.”
2.216.2. The representative from the Department submitted that this provision was kept
because if somebody gives a wrong document or statement to obtain the title of the security,
then the ownership cannot be decided by the Regulator. In such a case, there may be a
police case and court adjudication. After having detailed discussion, the Committee opined
that at the preliminary stage, it can even be decided by the RBI and if any person is
aggrieved of that they can file the appropriate petition before the appropriate court of law.
The Committee also considered that there are many other enactments where mens rea is
there and the administrative authority is deciding the issue.
2.217.1. After deliberations and clarifications on the amendments proposed to be made

in the Government Securities Act, specified at serial no. 36 of the Schedule to the Bill, the
218
Committee decided to consider inter alia the following modifications during clause-by-clause
consideration:
(i) Section 30(1): The fine related provision should be replaced with penalty
provision to be imposed by the Reserve Bank of India and the
quantum of penalty should be prescribed.
(ii) Section 30(2): To be omitted.
(iii) Section 30(3): This should be renumbered as sub-section (2).
(iv) The Committee was of the view that the Ministry of Law and Justice may
reformulate the above provisions in consultation with the Department of Financial
Services.
219
The Cantonments Act, 2006
2.218. Administering Ministry: Ministry of Defence

[Department of Defence]
2.219. Purpose of the Act: The administration in Cantonments is carried out as per
the provisions of the Cantonments Act, 2006 (41 of 2006), which replaced the repealed
Cantonments Act, 1924. Many of the provisions of the earlier Act were retained in the new
Act, and with the passage of time it was found necessary to amend certain provisions to
keep pace with the changing times and keeping it aligned with best practices of modern
municipal governance.
Sl. Sections Existing Provision Provision as amended in

Sabha
1 Section 156 Subject to the provisions of any Act To be omitted
made in this regard and the rules and
regulations made thereunder,
whoever, being in charge of a blood
bank or any other establishment which
collects or supplies blood, plasma,
marrow or any other substance for
transfusion or treatment of patients or
for any other medical use, fails to take
adequate precautions or exercise
adequate supervision thereby leading
to or resulting in the supply of infected
or contaminated blood, plasma,
marrow or any other substance, shall
be punishable with imprisonment
which may extend to five years or with
fine which may extend to one lakh
2 Section No person employed in any service, or No person employed in any
185(1) being employed in connection with the essential service under a
working of any system of public Board in a cantonment shall,
conservancy or sanitation or water in the absence of any
supply or hospitals or dispensaries or contract, resign without
electric supply or public transport reasonable cause or absent
services or such other essential himself from duty without
services under a Board in any proper authority and in case
cantonment area, shall, in the absence of such resignation or
220
of any contract, resign without absence from duty,
reasonable cause or absent himself disciplinary proceedings shall
from duty without proper authority and be initiated against him in
in case of such resignation or absence accordance with such
from duty he shall be punishable with procedure as may be
imprisonment which may extend to one prescribed.
month; and the conditions of service
specified herein shall, invariably be
mentioned in the appointment letter of
the persons employed to said services.
3. Section 285 If within a cantonment, or within such If within a cantonment, or
limit sad joining a cantonment as the within such limit sad joining a
Central Government may, by cantonment as the Central
notification in the Official Gazette, Government may, by
define, any person not subject to Army, notification in the Official
Navy or Air Force law, or any person Gazette, define, any person
subject to Army, Navy or Air Force law, not subject to Army, Navy or
otherwise than as a military officer or a Air Force law, or any person
soldier knowingly barters, sells or subject to Army, Navy or Air
supplies, or offers or attempts to Force law, otherwise than as
barter, sell or supply, any spirituous a military officer or a soldier
liquor or intoxicating drug to or for the knowingly barters, sells or
use of any soldier or soldier's wife or supplies, or offers or attempts
minor child without the written to barter, sell or supply, any
permission of the Officer Commanding spirituous liquor or
the station, or of some person intoxicating drug to or for the
authorised by the Officer Commanding use of any soldier or soldier's
the station, to grant such permission, wife or minor child without the
he shall be punishable with fine which written permission of the
may extend to five thousand rupees, or Officer Commanding the
with imprisonment for a term which station, or of some person
may extend to six months, or with both. authorised by the Officer
Commanding the station, to
grant such permission, he
shall be punishable with fine
which may extend to seven
thousand and five hundred
rupees.
4. Section 286 If within a cantonment, or within any If within a cantonment, or
limits defined under section 285— within any limits defined
(a) any person subject to, Army, Navy under section 285—
or Air Force law, otherwise than as a (a) any person subject to,
military officer or a soldier; or Army, Navy or Air Force law,
(b) the wife or servant of any such otherwise than as a military
person or of a soldier, officer or a soldier; or
has in his or her possession, except on (b) the wife or servant of any
behalf of the Central Government or such person or of a soldier,
for the private use of a military officer, has in his or her possession,
more than one quart of any spirituous except on behalf of the
liquor, other than fermented malt- Central Government or for the
221
liquor, without the written permission of private use of a military
the Officer Commanding the station or officer, more than one quart
of some person authorised by the of any spirituous liquor, other
Officer Commanding the station, to than fermented malt-liquor,
grant such permission, he or she shall without the written permission
be punishable, in the case of a first of the Officer Commanding
offence, with fine which may extend to the station or of some person
two thousand five hundred rupees, authorized by the Officer
and, in the case of a subsequent Commanding the station, to
offence, with imprisonment for a term grant such permission, he or
which may extend to three months, or she shall be punishable, in
with fine which may extend to five the case of a first offence,
thousand rupees. with fine which may extend to
three thousand rupees, and,
in the case of a subsequent
offence with fine which
may extend to five
thousand rupees.
5. Section 287 Any police officer or excise officer may, Seizure and confiscation of
without an order from a Judicial things for offences under
Magistrate, and without a warrant, sections 285 and 286.--
arrest any person whom he finds Notwithstanding anything
committing an offence under section contained in the Code of
285 or section 286, and may seize and Criminal Procedure, 1973, (2
detain any spirituous liquor or of 1974), any police officer or
intoxicating drug in respect of which excise officer may, without an
such an offence has been committed order from a Judicial
and any vessels or coverings in which Magistrate, and without a
the liquor or drug is contained. warrant, seize and detain any
spirituous liquor or
intoxicating drug in respect of
which an offence under
section 285 or section 286
has been committed and any
vessels or coverings in which
the liquor or drug is
contained.
(2) Where a person accused of an (2) Where a person accused

offence under section 285 has been of an offence under section
previously convicted of an offence 285 has been previously
under that section, an officer in charge convicted of an offence under
of a police station may, with the written that section, an officer in
permission of a Judicial Magistrate, charge of a police station
seize and detain any spirituous liquor may, with the written
or intoxicating drug within the permission of a Judicial
cantonment or within any limits defined Magistrate, seize and detain
under that section which, at the time of any spirituous liquor or
the alleged, commission of the intoxicating drug within the
subsequent offence, belonged to, or cantonment or within any
222
was in the possession of, such person. limits defined under that
section which, at the time of
the alleged, commission of
the subsequent offence,
belonged to, or was in the
possession of, such person.
(3) The court convicting a person of an (3) The court convicting a

offence under section 285 or section person of an offence under
286 may order the confiscation of the section 285 or section 286
whole or any part of anything seized may order the confiscation of
under sub-section (1) or sub-section the whole or any part of
(2). anything seized under sub-
section (1) or sub-section (2).
(4) Subject to the provisions of Chapter (4) Subject to the provisions

XXXIV of the Code of Criminal of Chapter XXXIV of the Code
Procedure, 1973 (2 of 1974) anything, of Criminal Procedure, 1973
seized under sub-section (1) or sub- (2 of 1974) anything, seized
section (2) and not confiscated under under sub-section (1) or sub-
sub-section (3) shall be restored to the section (2) and not
person from whom it was taken confiscated under sub-section
(3) shall be restored to the
person from whom it was
taken.
6 289(5) Whoever in a cantonment Whoever in a cantonment
manufactures, supplies, carries or manufactures, supplies,
uses for packaging or any other carries or uses for packaging
purposes material of non- or any other purposes
biodegradable nature including material of non-biodegradable
polythene bags shall be punished with nature including polythene
fine which may extend to five thousand bags shall be punishable, in
rupees or imprisonment which may the case of a first offence,
extend to six months. with a fine which may
extend to five thousand
rupees and, in the case of a
subsequent offence, with a
fine which may extend to
ten thousand rupees.
7. 300(1) Whoever in a cantonment loiters for Whoever in a cantonment
the purpose of prostitution or loiters for the purpose of
importunes any person to the prostitution or importunes any
commission of sexual immorality, shall person to the commission of
be punishable with imprisonment sexual immorality, shall be
which may extend to three months, or punishable with fine which
with fine which may extend to five may extend to six thousand
thousand rupees and in case of rupees.
subsequent offence shall be
punishable with imprisonment which
223
may extend to one year.
8 314 Any member of the police force 314. Arrest without warrant.—
employed in a cantonment may, Any member of the police
without a warrant, arrest any person force employed in a
committing in his view a breach of any cantonment may, without a
of the provisions of this Act which are warrant, arrest any person
specified in Schedule IV: committing in his view a
breach of the provision of
clause (a) of Section 304;
Provided that— (a) in the case of a Provided that in the case of a

breach of any such provisions as is breach of such provisions, no
specified in Part B of Schedule IV, no person shall be arrested who
person shall be so arrested who consents to give his name
consents to give his name and and address, unless there is
address, unless there is reasonable reasonable ground for
ground for doubting the accuracy of doubting the accuracy of the
the name or address so given, the name or address given, the
burden of proof of which shall lie on burden of proof of which shall
the arresting officer, and no person so lie on the arresting officer,
arrested shall be detained after his and no person arrested shall
name and address have been be detained after his name
ascertained; and address have been
ascertained.
(b) no person shall be so arrested for This should be deleted.
an offence under section 300 except—
(i) at the request of the person
importuned, or of a military officer in
whose presence the offence was
committed; or
(ii) by or at the request of a member of
the Military, Naval or Air Force Police,
who is employed in the cantonment
and authorised in this behalf by the
Officer Commanding the Station, and
in whose presence the offence was
committed or by or at the request of
any police officer not below the rank of
assistant sub-inspector who is
deployed in the cantonment and
authorised in this behalf by the Officer
Commanding the station.
9 331 Save as otherwise expressly provided Save as otherwise expressly
in this Act, no court shall proceed to provided in this Act, no court
the trial of any offence made shall proceed to the trial of
punishable by or under this Act, other any offence made punishable
than an offence specified in Schedule by or under this Act, other
IV, except on the complaint of or upon than an offence specified in
information received from the Board clause (a) of section 304,
concerned or a person authorized by except on the complaint of or
224
the Board by a general of special order upon information received
in this behalf. from the Board concerned or
a person authorized by the
Board by a general of special
order in this behalf.
10 332(1) (1) The Chief Executive Officer or any (1) The Chief Executive
person authorised by him, by general Officer or any person
or special order in this behalf, may, authorised by him, by general
either before or after the institution of or special order in this behalf,
the proceedings, compound an may, either before or after the
offence, made punishable by or under institution of the proceedings,
this Act other than an offence under compound an offence, made
Chapter XIV: punishable by or under this
Act other than an offence
Provided that no offence shall be under clause (a) of section
compoundable which is committed by 304:
failure to comply with a notice, order or
requisition issued by or on behalf of Provided that no offence shall
the Chief Executive Officer, unless and be compoundable which is
until the same has been complied with committed by failure to
in so far as compliance is possible. comply with a notice, order or
requisition issued by or on
behalf of the Chief Executive
Officer, unless and until the
same has been complied with
in so far as compliance is
possible.
11 Schedule IV 174 Making or Schedule IV is proposed to be
selling of food, omitted in the Bill, as
etc., or introduced.
washing of
clothes, by
infected
person.
289(1)(a)(i) Drunkenness,
etc.
183(1) Remaining in
or re-entering,
cantonment
after notice of
expulsion for
failure to
attend hospital
or dispensary.
259 Destroying,
etc., name of
street or
number affixed
to building.
225
282 Feeding
animal on
faith, etc.
289(1)(a)(ii) Using
threatening or
abusive words,
etc.
289(1)(a)(iii) Indecent
exposure of
person, etc.
289(1)(a)(iv) Begging.
289(1)(a)(v) Exposing
deformity, etc.
289(1)(a)(vii) Gaming.
289(1)(a)(xii) Destroying
notice, etc.
289(1)(a)(xiii) Displaces,
damages,
alters,
pavements,
gutter, storm
water drain.
289(1)(f) Keeping
common
gaming-house,
etc.
289(1)(g) Beating Drum
etc.
289(1)(h) Singing, etc.,
so as to
disturb public
peace or
order.
290(6) Setting loose,
or setting on,
ferocious dog.
296 Discharging
fire-arms, etc.,
so as to cause
danger.
300 Loitering or
importuning for
sexual
immorality.
2.221.1. The Ministry of Defence in their background note informed that in line with the
Government’s policy of decriminalizing minor offences, various offences in Cantonments
226
Act, 2006 are proposed to be decriminalized by way of either removal of such provisions
altogether, or by retaining only ‘the fine’ in case of such offences. Offences such as carrying,
using, manufacturing non-bio-degradable material (including polythene bags), penal
provision relating to persons employed in essential duty resigning / absenting without
reasonable cause/proper authority, loitering or importuning for sexual immorality, selling
spirituous liquor and intoxicating drug substances, possession of spirituous liquor, public
nuisances etc. under the Cantonments Act, 2006 have been decriminalized in the Jan
Vishwas (Amendment of Provisions) Bill, 2022. Many of these offences are proposed to be
decriminalized are such offences which are already covered either under the Indian Penal
Code (IPC) or other Central/State Legislations.
2.222.1 The representative from Ministry of Defence during the sitting dated 9.2.2023
briefed the Committee about the proposed amendments in the Cantonment Act, 2006. The
representative deposed the following:
“Under the Cantonment Act, out of 24 offences, which is punishable with

imprisonment, about 23 have been amended and have been either removed
completely or the component of fine has been retained. Sir, Section 156, which we are
proposing to amend, talks about the failure to take adequate precautions in collection
and supply of blood which results in supply of infected or contaminated blood, plasma,
marrow, etc. As per the existing Act, this offence is punishable with imprisonment up
to five years or a fine up to Rs. one lakh or both. In the proposed amendments, this
Section is proposed to be deleted.”
2.222.2. While deliberating upon the amendments in Section 156, covering offence of
considerably of serious nature, the Committee sought rationale for repealing this section.
The representative M/o Defence submitted the following:
“Sir, under the Drugs and Cosmetics Act, there is Section 27 which talks about
penalty for manufacture, sale, etc., of drugs in contravention of this Chapter. Now,
the drugs actually have been defined in a very elaborate term. It includes
everything. Blood is also basically a part of the drug. Under this Act, a rule has
been made, that is, the Drugs and Cosmetics Rules, 1945. In this, there is a
complete chapter. Though that chapter has not been given any number, but Section
122 (e) to Section 122 (p) of the Drugs and Cosmetics Rules, 1945 deal with the
collection, distribution of blood, etc. Everything has been given in detail. There is a
provision of licensing, inspection, etc. All such details are provided in the rules. If
there is a contravention of these provisions, then under Section 27 of the Act only
the penalty can be imposed. So, what we are saying is, the entire gamut of
collection or transfusion of blood or blood centre is dealt with under the Drugs and
Cosmetics Act or the rules laid thereunder.”
2.222.3. The Committee further asked whether both these sections are identical, the
representative informed as under:
“It is not identical. Under the Drugs and Cosmetics Rules, there is an elaborate
arrangement for managing these blood collection centres. So, our provision was only
227
in a very summarised way. But in the rules under the Drugs and Cosmetics Act, it
has been provided in a very detailed manner.Each and every aspect of the Blood
Collection Centre is actually covered. It is a very elaborate rule. 122-E is the rule.”
2.222.4. The Committee found the explanation as not satisfactory enough as it raised
doubts if the penalty provision mentioned in the Drugs and Cosmetics Act penalises the
blood bank as well. As the Drugs and Cosmetic Act that came into existence way back in
1940 and Cantonment Act which is as recent as 2006. Further, Committee viewed it to be
vague to say that blood banks would be covered in section 27,as the two are essentially
different, one is about negligence and the other is drug related issue.
2.222.5. The Committee then wished to know about otherActs which covers blood
banks,the Ministry representative apprised that it is covered in the Rules of Drugs and
Cosmetics Act. In this connection, one of the representatives deposed before the
Committee, the following:
“The definition is contained under a subordinate legislation made under a different

Act. The purpose of definition may be only restricted to administration of that particular
Act. That definition can be changed, edited and it may not come to the Parliament.
The Government may change the definition depending upon the change of
circumstances. So, we do not know if the change would have some effects on the
blood, that is, proposed to be dealt with under the Cantonments Act.”
2.222.6. The Committee being not sure about the coverage of the offence in remaining
Acts and considering the grave nature of the offence, suggestedto the Ministry to reconsider
their proposal of repealing the section and instead to retain the section.The Committee
asked Ministry to make specific note in this regard and submit to the Secretariat.
2.222.7. While pondering further over the proposal of Ministry to repeal Section 285,
the Committee viewed that the section covers act of selling liquor and other intoxicating drug
to the minor is a serious offence and hence should not be decriminalised. Similarly, whether
the Narcotics Drugs and Psychotropic Substances Drugs Act, 1985will be applicable in
Cantonment and Ministry may see whether the amendments are compatible with the
provisions. This does not fulfil the objectives of the Bill to decriminalise for the purpose of
ease of doing business and it involves public safety therefore may be retained. However,
Ministry representative informed that the matter is covered under the State Excise Act. The
Committee asked the Ministry to first get sure if the State Excise Act applies to Cantonment
Area as well and which among these would prevail.
2.223.1. Members of the Committee sought clarifications regarding compatibility and

applicability of sections 156, 285, 286, 287(1), 289(5) and section 300(1) with other Central
and State Acts and review the amendments proposed to the Cantonments Act, 2006,
specified at Serial No. 37 in the Schedule to the Bill. The Committee further deliberated and
after detailed discussion proposed to consider any amendments, if required, during the
clause-by-clause consideration.
228
The Payment and Settlement Systems Act, 2007

2.225. Purpose of the Act: To provide for the regulation and supervision of payment
systems in India and to designate the Reserve Bank of India as the authority for that
purpose and for matters connected therewith or incidental thereto.

1. Section If any person fails to produce If any person fails to produce any
26(3): any statement, information, statement, information, returns or
returns or other documents, or other documents, or to furnish any
to furnish any statement, statement, information, returns or
information, returns or other other documents, which under
documents, which under section section 12 or under section 13, it is
12 or under section 13, it is his his duty to furnish or to answer any
duty to furnish or to answer any question relating to the operation of
question relating to the a payment system which is required
operation of a payment system by an officer making inspection
which is required by an officer under section 14, he shall liable to
making inspection under section a penalty as may be imposed in
14, he shall be punishable with accordance with the provisions
fine which may extend to ten of section 30.
Iakh rupees in respect of each
offence and if he persists in
such refusal, to a further fine
which may extend to twenty-five
for which the offence continues.
2. Section If any provision of this Act is If any provision of this Act is
26(6): contravened, or if any default is contravened, or if any default is
made in complying with any made in complying with any other
other requirement of this Act, or requirement of this Act, or of any
of any regulation, order or regulation, order or direction made
direction made or given or or given or condition imposed there
condition imposed thereunder under and in respect of which no
and in respect of which no penalty has been specified, then,
penalty has been specified, the person responsible of such
then, the person guilty of such contravention or default, as the
contravention or default, as the case may be, shall be liable to a
case may be, shall be penalty as may be imposed in
229
punishable with fine which may accordance with the provisions
extend to ten lakh rupees and of section 30.
where a contravention or default
is a continuing one, with a
further fine which may extend to
twenty-five thousand rupees for
every day, after the first during
which the contravention or
default continues.
3. Section (1) Notwithstanding anything (1) Notwithstanding anything
30: Power contained in section 26, if a contained in section 26, if a
of contravention or default of the contravention or default of the
Reserve nature referred to in sub-section nature referred to in sub-section (2)
Bank to (2) or sub-section (6) of section or sub-section (3) or sub-section
impose 26, as the case may be, the (6) of section 26, as the case may
fines Reserve Bank may impose on be, the Reserve Bank may impose
the person contravening or on the person contravening or
committing default a penalty not committing default a penalty not
exceeding five lakh rupees or exceeding ten lakh rupees or twice
twice the amount involved in the amount involved in such
such contravention or default contravention or default where such
where such amount is amount is quantifiable, whichever is
quantifiable, whichever is more, more, and where such
and where such contravention contravention or default is a
or default is a continuing one, a continuing one, a further penalty
further penalty which may which may extend to twenty-five
extend to twenty-five thousand thousand rupees for every day after
rupees for every day after the the first during which the
first during which the contravention or default continues.
continues
2.227.1. The Department of Financial Services has proposed to amend Section 26 of

the Payment and Settlement Systems Act, 2007 and consequential amendments in Section
30of the Act. In their background note, the Department has stated inter alia that the existing
sub-section (3) of Section 26 of the Act criminalizes a relatively routine procedural violation
into an offence punishable by fine. The proposed amendment in this sub-section
decriminalizes this by changing this into a liability to pay penalty. Similarly, sub-section (6)
of Section 26 is an omnibus clause without any specificity of offence. Rather than fine, the
proposed amendment in this sub-section seeks to empower the regulator to levy a penalty,
thereby decriminalizing the Section. The consequential amendments proposed in Section
30 to include the aforesaid changes appropriately therein providing for the manner of levying
penalty by the Reserve Bank of India.
230
2.228.1. During their sitting held on 6th February, 2023, the Committee discussed the
proposed amendments at length. The Committee observed that from the very beginning
when the Payment and Settlement Systems Act, 2007 came into effect, the word ‘fine’ is
mentioned in the marginal heading to Section 30 of the Act whereas the provisions of the
Section indeed pertain to imposition of ‘penalties’ as mentioned in the body of the Section.
This fallacy in the original Act needed to be rectified.
2.229.1. After discussing the amendments proposed in the Payment and Settlement
Systems Act, 2007 in detail, the Committee concurred with the amendments proposed by
the Department of Financial Services and decided to consider inter alia the following
(i) Section 30: In the marginal heading of the Section, “Power of Reserve Bank to
impose fines” be replaced with “Power of Reserve Bank to impose
penalties”.
231
The Collection of Statistics Act, 2008
[Serial No. 39 of the Jan Vishwas(Amendment of Provisions) Bill, 2022]
2.230. Administering Ministry: The Ministry of Statistics and Programme

Implementation
2.231. Purpose of Act: The Act is intended to facilitate the collection of statistics
on economic, demographic, social, scientific and environmental aspects by Government at
all levels, and for matters connected herewith or incidental there to. The rules under the CoS
Act, 2008, namely, the Collection of Statistics Rules, 2011 have been notified on
16.05.2011.
2.231.1. As per provisions under CoS Act, persons to furnish information requested for
by the ‘statistics officer’ of any ministry or department in the central or state government or
union territory administration, or any panchayat or municipality. The statistics officer also
has the right to access any relevant document in the person’s possession, including entering
any premises where he believes the document to be kept in order to inspect or take
possession.
Sl. Section No. Existing Provision Provision as amended in the

1 Section15. 15. Penalty for neglect or refusal 15. Penalty for neglect or
Penalty for to supply particulars.– refusal to supply particulars or
neglect or (1) Whoever, fails to produce any other acts in contravention
refusal to any books of account, vouchers, of the Act.–
supply documents or other business (1) Whoever, acts in
particulars.– records or whoever neglects or contravention of or fails to
refuses to fill in and supply the produce any books of account,
particulars required in any vouchers, documents or other
information schedule or return business records or whoever
given or sent to him or whoever neglects or refuses to fill in and
neglects or refuses to answer any supply the particulars required
question or inquiry addressed to in any information schedule or
him as may be required under or return given or sent to him or
for the purposes of any provision whoever neglects or refuses to
of this Act and the rules made answer any question or inquiry
thereunder, shall be punishable addressed to him as may be
with a fine which may extend to required under or for the
one thousand rupees or, in the purposes of any provision of
case of a company, with a fine this Act and the rules made
which may extend to five thereunder, shall be punishable
thousand rupees. with a fine which may extend to
one thousand rupees or, in the
case of a company, with a fine
232
which may extend to five
thousand rupees.
2. Section 16. Section 16. Penalty for making Proposed for omission in the
Penalty for false statement.–Whoever, Bill, as introduced.
making false wilfully makes any false or
statement.– misleading statement or material
omission in any information
schedule or return filled in or
supplied, or in answer to any
question asked to him under this
Act or the rules made thereunder,
shall be punishable with simple
may extend to six months or with
a fine which may extend to one
thousand rupees or, in the case
of a company, with a fine which
3 Section 17. Section 17. Penalty for Proposed for omission in the
Penalty for mutilation or defacement of Bill, as introduced.
mutilation or information schedule.–
defacement of Whoever, destroys, defaces,
information removes, or mutilates any
schedule.– information schedule, form, or
other document containing
particulars collected under this
Act or requesting any such
particulars, shall be punishable
with simple imprisonment for a
term which may extend to six
months or with a fine which may
extend to two thousand rupees
or, in the case of a company with
a fine which may extend to ten
thousand rupees or with both.
Penalty for obstruction of employees.– Bill, as introduced.
obstruction of Whoever, interferes with, hinders,
employees.– or obstructs any employee in the
exercise of any power or duty
conferred by this Act, shall be
punishable with simple
a fine which may extend to two
of a company with a fine which
may extend to ten thousand
233
5 Section 19. Section 19. Penalty for other Proposed for omission in the
Penalty for offences.–Whoever– Bill, as introduced.
other (a) acts in contravention of or fails
offences.– to comply with any provision of
this Act or any requirement
imposed under this Act; or
(b) wilfully deceives or attempts
to deceive any statistics officer or
any agency or any employee
thereof,
6 Section 20. Section 20. Penalty for failure to Proposed for omission in the
Penalty for carry out duties and functions by Bill, as introduced.
failure to carry employees.–If any person
out duties employed in the execution of any
and functions duty or functions under this Act,–
by (a) omits without lawful excuse to
employees.– carry out his duty, or knowingly
makes any false declaration,
statement or return; or
(b) pretends performance of his
duties or obtains or seeks to
obtain information which he is not
authorised to obtain; or
(c) fails to keep inviolate the
secrecy of the information
gathered or entered in the
information schedules collected
pursuant to this Act and, except
as permitted under this Act,
divulges the contents of any
schedule filled in or any
information furnished by any
informant under this Act,
234
Penalty for impersonation of employee.– Bill, as introduced.
impersonation Whoever, not being authorised to
of employee.–8 collect statistics under the
provisions of this Act, by words,
conduct or demeanor pretends
that he is authorised to do so,
8 Section 22. Section 22. General penalty.– Proposed for omission in the
General Whoever, commits an offence Bill, as introduced.
penalty.– under this Act for which no
penalty is prescribed elsewhere
than in this section, shall be
punishable with simple
2.233. Submissions by the Ministry
2.233.1. The Ministry submitted the following note on the proposed amendments for
decriminalization/rationalization of the CoS Act, 2008:-
“In pursuance of the Cabinet Secretary’s D.O. letter dated 01.06.2020, the Ministry
had constituted a Committee to review the penal provisions under CoS Act, 2008 in
order to identify the offences which can be decriminalised/ rationalized. After
receiving the report of Committee, the Ministry had sought comments of general
public on the Committee’s recommendations. Based on the recommendations of
Committee and comments received from general public, a draft proposal for
rationalization/ decriminalization of CoS Act, 2008 was prepared. As per the
process of pre-legislative consultations, consultations on the draft proposal for
rationalization/decriminalization of various penalties under CoS Act, 2008 were
carried out with the concerned stakeholders viz. Central Ministries/Department,
State/UT Govts., industry associations, general public. In view of the
recommendations of Committee, comments received from various stakeholders,
internal deliberations held in the Ministry and advice of the Department for
Promotion of Industry & Internal Trade (DPIIT) and subsequent review by MoSPI,
amendments in the CoS Act, 2008proposed for its decriminalization/ rationalization
235
through the Draft Jan Vishwas (Amendment of Provisions) Bill, 2022 introduced in
the Lok Sabha on 22.12.2022 (at Sr. No. 39 of the said Bill).”
2.234.1. During their deliberations in sitting of the Committee on 09.02.2023, it was

informed that the Ministry seeks to omit sections 16 to 22 dealing with various offences
committed in contravention of this Act.
2.234.2. The Committee in this regard sought to understand the rationale behind
retaining section 23, 24, 25 and 26, providing for cognizance of offences by courts under
these sections, when the sections dealing with offences under Sections 16 to 22 have been
omitted. The Ministry’s representatives informed that these provisions have been kept in
view of section 15, under which there is provision for fine.
2.234.3. The Committee further enquired, if after repealing these sections, would
section 15 (1) cover the offences by companies, the representatives, Ministry of Statistics
and Programme Implementation responded affirmatively.
2.234.4. The Committee opined that these provisions may be omitted as the offences
by companies are covered under section 15. Committee further suggested that to
decriminalize section 15, the fine may be converted into penalty to avoid involvement of
Courts in the adjudication process.
2.234.5. When Committee enquired about the sufficiency and effectiveness of quantum
of penalty imposed under section 15(1), the representatives of Ministry of Statistics and
Programme Implementation apprised the Committee that the sections applies to individuals
as well as companies ranging from small to larger ones, that is why the amount has been
kept low. The Committee, however, suggested that the amount of penalty may be increased
to Rupees 1 Lakh.
2.234.6. In this regard, the Committee desired to know as to who will be exercising
adjudication powers under the Act to realise the penalties, the Committee suggested that
the prescription may be added in section 15.
2.234.7. On being asked about the Committee regarding the provisions for rule making
powers under the Act, the Ministry representative informed about Section 33 of the Act. The
Committee suggested to incorporate the necessary directions under Section 33.

be made in the Collection of Statistics Act, 2008, specified at Serial No. 39 of the Schedule
to the Bill, the Committee decided to consider inter alia the following modifications during
clause-by-clause consideration:
Section15(1)(i): The word “punishable” to be substituted with “liable” and “fine” may be
converted to “penalty”. Word “prescribed” to be removed.
236
(ii) In case of Company, penalty may be extended to one lakh rupees.
Section15(2)(i): The words “conviction of” may be substituted with “imposition of penalty on”.
(ii) The words `for an offence’ may be omitted
(iii) The words `conviction’ may be substituted with ìmposition’.
(i) The word `punishable’ may be substituted with `liable’.
(ii) The word `fine’ may be converted to `Penalty’.
Section 23 to 26- may be omitted.
Sec 33 – Sub-clause (d) (6) to be added before 33 (2) (e). Regarding manner for
prescribing penalty under section 15 in this regard adjudicating mechanism to be added
in the Act.
237
The Legal Metrology Act, 2009

Distribution
[Department of Consumer Affairs]
2.237. Purpose of the Act: The objective of the Act is to ensure public guarantee from
the point of view of security and accuracy of the weighments and measurements and was
enacted to establish and enforce standards of weights and measures, regulate trade and
commerce in weights, measures and other goods which are sold or distributed by weight,
measure or number.The Central Government and the State Governments are empowered to
make Rules under section 52 and section 53 of the Act respectively.
2.237.1. Legal Metrology Act 2009 is the primary instrument which establishes and
enforces the standards of weights and measures and regulates trade in weights and
measures in the country and is the foundation of most business activities in the country.

1 25 Whoever uses or keeps for use Whoever uses or keeps for use any
any weight or measure or makes weight or measure or makes use of
use of any numeration otherwise any numeration otherwise than in
than in accordance with the accordance with the standards of
standards of weight or measure or weight or measure or the standard of
the standard of numeration, as the numeration, as the case may be,
case may be, specified by or under specified by or under this Act, shall be
this Act, shall be punished with fine punished with fine which may extend
which may extend to twenty-five to one lakh twenty five thousand
thousand rupees and for the rupees and for the second offence
second or subsequent offence, with fine which may extend to two
with imprisonment for a term which lakh fifty thousand rupees and for
may extend to six months and also the third and subsequent offence,
with fine. with fine which may extend to five
lakh rupees.
2 27 Every person who manufactures or Every person who manufactures or
causes to be manufactured or sells causes to be manufactured or sells or
or offers, exposes or possesses offers, exposes or possesses for sale,
for sale, any weight or measure any weight or measure which,- (a)
which,- does not conform to the standards of
(a) does not conform to the weight or measure specified by or
standards of weight or measure under this Act; or (b) which bears
specified by or under this Act; or thereon any inscription of weight,
(b) which bears thereon any measure or number which does not
238
inscription of weight, measure or conform to the standards of weight,
number which does not conform to measure or numeration specified by
the standards of weight, measure or under this Act, except where he is
or numeration specified by or permitted to do so under this Act, shall
under this Act, be punished with a fine which may
except where he is permitted to do extend to one lakh rupees and for
so under this Act, shall be the second offence with fine which
punished with a fine which may may extend to two lakh rupees and
extend to twenty thousand rupees for the third and subsequent
and for the second or subsequent offence, with fine which may
offence with imprisonment for a extend to four lakh rupees.
term which may extend to three
years or with fine or with both.
4 28 Whoever makes any transaction, Whoever makes any transaction, deal

deal or contract in contravention of or contract in contravention of the
the standards of weights and standards of weights and measures
measures specified under section specified under section 10 shall be
10 shall be punished with fine punished with fine which may extend
which may extend to ten thousand to fifty thousand rupees and for the
rupees and for the second or second offence with fine which
subsequent offence, with may extend to one lakh rupees and
imprisonment for a term which for the third and subsequent
may extend to one year, or with offence, with fine which may
fine, or with both. extend to two lakh rupees.
5 29 Whoever violates section 11 shall Whoever violates section 11 shall be
be punished with fine which may punished with fine which may extend
extend to ten thousand rupees to fifty thousand rupees for the
and, for the second or subsequent second offence with fine which
offence, with imprisonment for a may extend to one lakh rupees and
term which may extend to one for the third and subsequent
year, or with fine, or with both. offence, with a fine which may
extend to two lakh rupees.
6 31 Whoever, being required by or Whoever, being required by or under
under this Act or the rules made this Act or the rules made there under
there under to submit returns, to submit returns, maintain any record
maintain any record or register, or or register, or being required by the
being required by the Director or Director or the Controller or any legal
the Controller or any legal metrology officer to produce before
metrology officer to produce before him for inspection any weight or
him for inspection any weight or measure or any document, register or
measure or any document, register other record relating thereto, omits or
or other record relating thereto, fails without any reasonable excuse,
omits or fails without any so to do, shall be punished with fine
reasonable excuse, so to do, shall which may extend to twenty-five
be punished with fine which may thousand rupees and for the
extend to five thousand rupees second offence with fine which
and for the second or subsequent may extend to fifty thousand
offence, with imprisonment for a rupees and for third and
term which may extend to one subsequent offence, with fine
239
year and also with fine. which may extend to one lakh
rupees.
7 34 Whoever sells, or causes to be Whoever sells, or causes to be sold,
sold, delivers, or causes to be delivers, or causes to be delivered,
delivered, any commodity, article any commodity, article or thing by any
or thing by any means other than means other than the standard weight
the standard weight or measure or or measure or number, shall be
number, shall be punished with punished with fine which may
fine which shall not be less than extend to twenty five thousand
two thousand rupees but which rupees and for the second offence
may extend to five thousand with fine which may extend to fifty
rupees and, for the second or thousand rupees and for the third
subsequent offence, with and subsequent offence, with fine
imprisonment for a term which which may extend to one lakh
shall not be less than three months rupees.
but which may extend to one year,
or with fine, or with both.
8 35 Whoever renders or causes to be Whoever renders or causes to be
rendered, any service through rendered, any service through means
means other than the weight or other than the weight or measure or
measure or numeration or in terms numeration or in terms of any weight,
of any weight, measure or number measure or number other than the
other than the standard weight or standard weight or measure, shall be
measure, shall be punished with punished with fine which may
fine which shall not be less than extend to twenty-five thousand
two thousand rupees but which rupees and for the second offence
may extend to five thousand with fine which may extend to fifty
rupees and, for the second or thousand rupees and for the third
subsequent offence, with and subsequent offence, with fine
imprisonment for a term which which may extend to one lakh
shall not be less than three months rupees.
but which shall be extend to one
year and also with fine
3 48 48. (1) Any offence punishable 48. (1) Any offence punishable under
under section 25, sections 27 to section 25, sections 27 to 39,
39, sections 45 to 47 or any rule section 41, sections 45 to 47 or any
made under sub-section (3) of rule made under sub -section (3) of
section 52 may, either before or section 52 may, either before or after
after the institution of the the institution of the prosecution, be
prosecution, be compounded, on compounded, on payment for credit to
payment for credit to the the Government of such sum as may
Government of such sum as may be prescribed.
be prescribed.
(2) The Director or legal metrology (2) The Director or legal metrology
officer as may be specially officer as may be specially authorised
authorised by him in this behalf, by him in this behalf, may compound
may compound offences offences punishable under section 25,
punishable under section 25, sections 27 to 39, section 41 and
sections 27 to 39, or any rule any rule made under sub-section (3)
240
made under sub-section (3) of of section 52.
section 52.
(3) The Controller or legal (3) The Controller or legal metrology

metrology officer specially officer specially authorised by him,
authorised by him, may compound may compound offences punishable
offences punishable under section under section 25, sections 27 to 31,
25, sections 27 to 31, sections 33 sections 33 to 37, section 41,
to 37, sections 45 to 47,and any sections 45 to 47 and any rule made
rule made under sub-section (3) of under sub-section (3) of section 53:
section 53:
Provided that such sum shall not, Provided that such sum shall not, in
in any case, exceed the maximum any case, exceed the maximum
amount of the fine, which may be amount of the fine, which may be
imposed under this Act for the imposed under this Act for the offence
offence so compounded. so compounded.
2.239.1. The administrative Ministry in their background note informed that Section 25
to 47 of LM Act 2009 under Chapter V provides for various penalties by way of levy of fine in
case of first offence. For second& subsequent offence depending on the nature of the
offence (i) either imprisonment or fine or both or, (ii) both imprisonment and fine or (iii) only
imprisonment is prescribed. Provision of Appeal is made under Section 50 of the Act.
Provision for nominating one Director of the company who will be responsible by the
company under the Legal Metrology Act is made.
2.239.2. The background note further stated that Civil and criminal penalties presently
prescribed under the LM Act, 2009 were reviewed with regard to their suitability for the
imposition of criminal liability and to decriminalize the minor offences on the following
principles:
(i) which do not have mens rea (malafide/ criminal intent); and
(ii) Where the larger public interest is not affected adversely.
(iii) The monetary fine in first and second & subsequent offence has been
proposed to be increased
2.239.3. The Ministry of Consumer Affairs had placed the proposal to decriminalize the
Legal Metrology Act, 2009 on the Department’s website for public consultation and the
comments were also sought from the State Governments/UTs on the proposal. Most of the
States and Industry associations were in favour of the decriminalization of the LM Act, 2009.
Industry associations were in favor of decriminalization of most of the provisions of the Act;
however, the responses of the States were varied in this regard.
2.239.4. As regards the provisions of the Legal Metrology Act, 2009 slated for
decriminalization, the Ministry in their written submission stated thatSection 25 to 47 of LM
Act, 2009 provides for various penalties by way of levy of fine in case of first offence. 6
sections (out of 23) have the provision of imprisonment in 1st offence. For second &
subsequent offence depending on the nature of the offence the following has been
241
prescribed:
(i) either imprisonment or fine or both or
(ii) both imprisonment and fine or
(iii) only imprisonment
2.239.5. During the briefing on the Bill on 07.02.2023 by the administrative Ministry, as
regards the penalties to be imposed under Section 25 for use of non-standard weight or
measure, the Ministry stated that in this the amount of fine has been increased and
imprisonment has been removed.
2.239.6. In this connection when the Committee sought clarifications as to why the
amount of fine imposed under the amended section 25, is not in round figures, the Ministry
representatives apprised the Committee that the amount has been increased five times,
keeping in view the ceiling. The Committee opined that this amount may be rationalized and
increased to round figures.
2.240.1. After detailed discussions the Committee agreed, in principle, with the
amendments proposed to the Legal Metrology Act, 2009, specified at Serial No. 40 of the
Schedule to the Bill, and the Committee decided to consider, inter alia, the following
modifications during Clause-by-Clause consideration.
Section 25 : For the first offence, with fine which may extend to rupees one lakh, for the
second offence, with fine which may extend to rupees two lakh and for the
third and subsequent offence, with fine which may extend to five lakh rupee.
242
The Factoring Regulation Act, 2011

2.242. Purpose of the Act: The Act provides a framework for regulating the factoring
ecosystem in the country.
Sl. Section Existing Provision Provision, as amended by the

No. No. Bill introduced in Lok Sabha
1. Section 21: If a default is made in filing under 21. Penalties. - If a default is
Penalties section 19 the particulars of any made in filing under section 19
transaction of assignment of the particulars of any transaction
receivables and realization of of assignment of receivables
receivables by a factor, such and realisation of receivables by
company and every officer of the a factor, such company and
company who is in default shall be every officer of the company
punishable with fine which may who is in default shall be liable
extend to five thousand rupees for to a penalty which may extend
every day during which the default to five lakh rupees and in the
continues. case of a continuing offence,
with an additional penalty which
which the default continues, to
be imposed by the Reserve
Bank in accordance with the
provisions of sub-sections (2) to
(4) of section 22.
2. Section 22: (1) If any factor fails to comply with 22. Penalties for non-
Penalties any direction issued by the Reserve compliance of direction by
for non- Bank under section 6, the Reserve Reserve Bank.- (1) If any factor
compliance Bank may impose a penalty which fails to comply with any direction
of direction may extend to five lakh rupees and in issued by the Reserve Bank
of Reserve the case of a continuing offence, with under section 6, or fails in filing
Bank.— an additional fine which may extend the particulars of any transaction
to ten thousand rupees for every day of receivables and realisation of
during which the default continues. receivables under section 19,
the Reserve Bank may impose a
penalty which may extend to five
lakh rupees and in the case of a
continuing offence, with an
additional penalty which may
243
extend to ten thousand rupees
for every day during which the
default continues.
(2) For the purpose of adjudging the (2) For the purpose of adjudging
penalty under sub-section (1), the the penalty under sub-section
Reserve Bank shall serve notice on (1) or section 21, the Reserve
the factor requiring it to show cause Bank shall serve notice on the
why the amount specified in the factor requiring it to show cause
notice should not be imposed and a why the amount specified in the
reasonable opportunity of being heard notice should not be imposed
shall also be given to such factor. and a reasonable opportunity of
being heard shall also be given
to such factor.
(3) Any penalty imposed by the (3) Any penalty imposed by the
Reserve Bank under this section shall Reserve Bank under this section
be payable within a period of fourteen or section 21, shall be payable
days from the date on which notice within a period of fourteen days
issued by the Reserve Bank from the date on which notice
demanding payment of the sum is issued by the Reserve Bank
served on the factor and in the event demanding payment of the sum
of failure of the factor to pay the sum is served on the factor and in the
within such period, may be levied on event of failure of the factor to
a direction made by the principal civil pay the sum within such period,
court having jurisdiction in the area may be levied on a direction
where the registered office of the made by the principal civil court
factor is situated; or, in the case of a having jurisdiction in the area
factor incorporated outside India, where the registered office of
where its principal place of business the factor is situated; or, in the
in India is situated: case of a factor incorporated
outside India, where its principal
place of business in India is
situated:
Provided that no such direction shall Provided that no such direction

be made except on an application shall be made except on an
made to the court by the Reserve application made to the court by
Bank or any officer authorised by the Reserve Bank or any officer
Reserve Bank in this behalf. authorised by Reserve Bank in
this behalf:
Provided further that the
Reserve Bank may also recover
the amount of penalty by
debiting the current account, if
any, of the defaulter or by
liquidating the securities held to
the credit of the defaulter.
244
(4) The court which makes a direction (4) The court which makes a
under sub-section (3) shall issue a direction under sub-section (3)
certificate specifying the sum payable shall issue a certificate
by the factor and every such specifying the sum payable by
certificate shall be enforceable in the the factor and every such
same manner as if it were a decree certificate shall be enforceable
made by the court in a civil suit. in the same manner as if it were
a decree made by the court in a
civil suit.”
2.244.1. The Department of Financial Services has proposed to amend Section 21 of

the Factoring Regulation Act, 2011 and consequential amendments in Section 22 of the Act.
In their background note, the Department has stated that Section 21 of the Act has been
proposed to be amended by replacing the provision of imposition of fine with provision for
imposition of penalty by the Reserve Bank of India. The offence relates to defaults made in
filing in registration of certain assignments of receivable transactions in Central Registry set
up under the Securitisation and Reconstruction of Financial Assets and Enforcement of
Security Interest Act, 2002, which is relatively routine in nature. Also, there are
consequential insertions proposed in Section 22 of the Act to provide for the manner of
levying penalty and recovery of penalty i.e. the adjudication process for levying penalty by
RBI and the recovery of penalty is proposed to be prescribed.
2.244.2. The Department elaborated that the offence under Section 21 of the Factoring
Regulation Act, 2011 is procedural and in the nature of not registering the particulars of
transaction of assignment of receivables and receivables with the Registry. Therefore, ‘fine’
has been proposed to be changed to a ‘penalty’ to be levied by RBI for a procedural
violation. Further, the proposed amendment in Section 22 of the Act is consequential to
provide the manner in which penalty imposed under Section 21 shall be levied. Section 22
is also extended for penalties to be levied under Section 21 for violation of Section 19.
2.245.1. During their sitting held on 6th February, 2023, the representatives from the
Department of Financial Service made their presentation before the Committee and briefed
the Committee on the proposed amendments to the Factoring Regulation Act, 2011.
2.246.1. After the briefing by the Department of Financial Services, the Committee
opined that before imposing a penalty, a reasonable opportunity should be given to the
factor of being heard. From the date of issuing notice of show cause the factor must have
sufficient time of being heard and adduce reasons for failure.
2.246.2. The Committee, however, agreed in principle with the amendments proposed
to the Factoring Regulation Act, 2011, specified at Serial No. 41 of the Schedule to the Bill,
and decided to consider the suggestions, if required, during clause by clause consideration.
245
The Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and
Services) Act, 2016
[Serial No.42 of the Jan Vishwas (Amendment of Provisions) Bill, 2022]
2.247. Administering Ministry: Ministry of Electronics and Information

Technology
2.248. Purpose of the Act: The Aadhaar (Targeted Delivery of Financial and Other
Subsidies, Benefits and Services) Act, 2016 seeks to to provide for, as a good governance,
efficient, transparent, and targeted delivery of subsidies, benefits and services, to individuals
residing in India through assigning of unique identity numbers to such individuals and for
matters connected therewith or incidental thereto.
Sl. Section Existing Provision Provisions as amended by

Sabha
1. Section 41 Penalty for non-compliance with Penalty for non-compliance
intimation requirements— with intimation requirements—
Whoever, being an enrolling Whoever, being an enrolling
agency or a requesting entity, fails agency or a requesting entity,
to comply with the requirements of fails to comply with the
sub-section (2) of section 3 or requirements of sub-section (2)
sub-section (3) of section 8, shall of section 3 or sub-section (3)
be punishable with imprisonment of section 8, shall be liable
which may extend to one year or to a penalty which may
with a fine which may extend to extend to one lakh rupees,
ten thousand rupees or, in the or in the case of a company,
case of a company, with a fine with a penalty which may
which may extend to one lakh extend to ten lakh rupees.
2.250.1. The Ministry of Electronics and Information Technology have in their

background note submitted that the provisions relating to punishment of contravention under
the said Act have been reviewed keeping the following objectives in view:
(a) Decriminalising imprisonment clauses wherever possible, or reducing the

quantum of punishment or/and making the offence compoundable for Ease of
Doing Business;
(b) Maintaining uniformity in penalties for similar offences; and
246
(c) Instead of fines, providing for penalties, to enable decisions at the level of
administrative officers appointed as adjudicating officers, without burdening
the courts.
2.250.2. The Ministry have further submitted that the review undertaken has been
guided by the following principles:
(a) Retention of the violation as a punishable criminal offence for more serious
violations;
(b) Bringing in alignment the quantum of punishment for offences of a similar
nature;
(c) In respect of contraventions by companies and other bodies corporate,—
(i) eliminating imprisonment; and/or
(ii) replacing the provision for fine imposed by court as punishment for a
criminal offence by provision for financial penalty of a higher quantum
imposed by administrative officers appointed as adjudicating officers; and
(iii) rationalising penalty/liability for non-criminal contraventions; and
2.251.1. During the sitting of the Committee held on 16 January, 2023, the
representatives of the Ministry submitted that the both Section 3(2) and Section 8(3) of the
Aadhaar Act have a limited purpose of informing the individual undergoing Aadhaar
enrolment or authentication about nature, use etc. of information given by the individual. It
was further submitted that of the nine sections (Sections 34 to 42 of the Act) which deal with
penal provisions, offences which are of serious nature such impersonation, fraud etc.,
imprisonment has been retained, it is only in the case of non-intimation by Aadhaar
Ecosystem Partner that punishmentof imprisonment is being removed and the financial fine
being increased.
2.251.2. The Committee thereafter sought to know the impact of the penalty proposed
by the Ministry in the light of the proposed Digital Personal Data Protection Bill. The
Committee also sought to know whether the amendments proposed in the Aadhaar Act are
in consonance with the provisions of the Digital Personal Data Protection Bill. The
representative from the Ministry in this regard submitted as under:
“…, we have examined the Digital Personal Data Protection Bill. As of now, we do
not find any discrepancy between the Aadhaar Act and this Bill. Once the Bill
becomes an Act and in case there are certain changes made, we will examine
whether there is need for some changes in the Aadhaar Act.”
2.251.3. Explaining further on the issue, Secretary, MEITY stated as under:
“In the DPDP Bill also, we have no clause of criminalisation. There is no

imprisonment in that also. That is one part. Obviously, Aadhaar Act has to be in
compliance with both. So, we are in active consultation. Since both the Acts belong to
the same Ministry, we are looking at both the Acts together so that there is no discord
between the two Acts. Thirdly, I would like to submit that if we do this kind of a
penalty, and basically imprisonment, even on somebody not furnishing information, I
247
think, that will actually become a deterrent because now-a-days, a lot of private
entities like banks are asking for this information. SEBI is also asking for this
information. They need it for authentication. Aadhaar has become an important tool of
authentication. So, we want them to be a part of this larger ecosystem. When we are
looking at making one unique identity for the whole nation so that one person should
have single identity for all purposes, I think, this will go a long way once we do that.
2.251.4. On being further asked to justify the removal of imprisonment for non-
furnishing of information and penalty for 1 lakh and 10 lakh(in case of a company) being
imposed, Secretary, MEITY responded as under:
“Sir, xxxxxxx, the informed consent is part of our DPDP Bill also. It was there in the
last Bill. If we look at the purpose here, the enrolling agencies are largely
departmental agencies. There will not be any mens rea. The form is already there
and they are signing it. If a senior medical officer, by mistake, is not able to get this
thing or has forgotten to give that form, even then, the mens rea cannot be
established. Penalty is something which one can give, but for imprisonment, there
has to be a mala fide or mens rea. When we consulted, in consultation also, it came
out. I think, hardly any case has come on this.”
2.251.5. The Committee was further informed that no cases have been registered
under section 41 since its inception in 2016. The Ministry further submitted that normally the
requesting entity is regulated by a regulator, whether it is RBI, SEBI or IRDA. In addition, the
enrolment agencies and the requesting agencies are also bound through a separate
contractual obligation. It was also submitted that there are multiple means of enforcing that
the enrolment agencies and the requesting agencies follow the guidelines of the Aadhaar
Act and the regulations under the Aadhaar Act, apart from this.
2.252.1. After detailed discussions and clarifications sought by the Committee on the
amendments proposed to be made in the Act, the Committee observed that the Ministry
apprise the Committee on whether the amendments proposed in the Aadhaar Act are
in parimateria with the DPDP Bill that the Government propose to introduce.
248
2.253. LEGALITY, PRACTICABILITY AND CONSEQUENTIAL AMENDMENTS TO GIVE
EFFECT TO THE SUGGESTIONS
2.253.1. The Committee asked all the concerned Ministries and Departments to submit
their views on the legality, practicability and other related aspects on the amendments being
considered in the Jan Vishwas (Amendment of Provisions) Bill, 2022. The Committee also
directed all the concerned Ministries and Departments to go through the amendments
proposed and find out wherever any consequential changes in the Act once the
amendments are adopted to give effect to the suggestions put forth by the Members of the
Committee during the briefing on the amendments proposed in the Bill.
GENERAL RECOMMENDATIONS
1. The Committee note that the objective of the Jan Vishwas Bill is to achieve the
principle of Minimum Government Maximum Governance and redefining the regulatory
landscape of the country under the ease of living and ease of doing business reforms. The
Committee further note that the Government in its effort to make the country as a preferred
global investment destination and to boost investors confidence has brought this Bill which
envisages rationalisation of monetary penalties and decriminalising a large number of
offences of minor nature by replacing the punishment thereof with monetary penalties. The
Committee also note that this Bill seeks to amend 183 provisions contained in 42 Acts which
are being administered by 19 Ministries.
The Committee appreciate the motive and intent of the Government and note that the
Government had earlier also repealed a number of laws from statute book as they had
become obsolete or retention thereof as separate act was unnecessary. However, this Bill
is a consolidated one with holistic approach to decriminalise offences of minor nature by
replacing the punishment with monetary penalties, which will reduce the burden of judiciary.
The Committee express their satisfaction that such reforms will go a long way in building the
trust of the people in bureaucracy and Institutions at large which is the corner stone of a
democratic Government.
The Committee, therefore, recommend that such exercise should be continued

in future by reviewing other Acts too and bring similar legislations before Parliament.
(Recommendation No. 1)
2. The Committee note that many of the laws have been proposed to be amended by
the Jan Vishwas Bill. The subjects “criminal law” and “criminal procedure” with some
exceptions are included in the Concurrent List and the implementation thereof mainly lie
with the State Governments/UTs and that legislations dealing with offences of minor nature
may also have been enacted by some State Legislatures. The effort and intent of the Union
Government to simplify and rationalise compliances to improve ease of living and ease of
doing business should be reflected at the ground level. As many of the approvals,
clearances and litigations take place at the State level, there is a need to simplify the
compliance and requirements at the State level also. Therefore, the Committee
249
recommend that the Union Government and DPIIT may issue suitable advisories to
State Governments and Union Territories to take suitable action on similar lines taken
by Central Government in reforming their laws and decriminalising minor offences by
replacing punishments with monetary penalties, which shall also reduce the burden
of cases in Judicial system and improve investors’ confidence. In this regard, the
Committee also recommend that the nodal Ministry, namely DPIIT, may take the help
of Niti Aayog and other stakeholders like regulatory bodies, business associations,
industry bodies, etc. to create awareness by holding seminars and workshops about
the reforms initiated through this Bill by the Union Government.
3. The Constitution provides for enactment of laws by the Parliament, and the
State Legislatures. As per article 246 of the Constitution, List-II (State List) mentions
subjects in respect of which the State Legislatures have exclusive jurisdiction to
make law. The Committee note that by the Jan Vishwas (Amendment of Provisions)
Bill, 2022, the Union Government has shown its intent to decriminalise offences of
minor nature and replace the punishments therein with monetary penalties. An
exercise of similar nature is required to be done at the State level in respect of
offences of minor nature contained in law, on subjects exclusively, provided for State
Legislatures. The Committee, therefore, recommend that the Union Government may
issue an advisory to all the State Governments to review the legislations which are in
the exclusive domain of State Governments to decriminalise offences of minor nature
on the similar lines as done by the Union Government so as to realize ease of living
and ease of doing business in real sense .
4. The Committee note that there are a number of legislations spanning the huge
number of economic activities for the development of the country. The Committee desire
that an exercise similar to Jan Vishwas Bill should be carried out by the Government. In this
regard, the Joint Committee desire that the Ministry should appoint a group of experts which
should be a full time body consisting of legal professionals, industry bodies, members of
bureaucracy and regulatory authorities, etc. to examine many other provisions of various
laws that govern the twin aspects of ease of living and ease of doing business and suggest
suitable amendments aimed at achieving the goal of the Union Government, namely,
Minimum Government Maximum Governance by decriminalising offences of minor nature
and replacing punishments for such offences with monetary penalties. The Committee
recommend that the Government should appoint a group to examine in this regard at
the earliest.
5. The Committee note that the Amendment Bill envisages a further thrust to
businesses by eradicating the fear of criminal provisions for minor, technical and procedural
defaults. The Committee feel that this will go a long way in realizing the vision of greater
ease of doing business and an ‘Atmanirbhar Bharat’. The Committee envisage that the
amendments proposed in the Bill would accelerate investment decisions due to smoother
processes and help in attracting more foreign and domestic investment and prevent the
flight of capital to foreign countries. The Committee are hopeful that the Amendment Bill will
speed up rationalizing criminal provisions and ensuring that businesses, citizens and the
250
government departments operate without fear of imprisonment for minor, technical or
procedural defaults. The Committee are of the considered view that the clauses of
criminality for small procedural lapses and minor defaults clog judiciary thereby burdening
the courts needlessly and putting adjudication of major offences on the back burner. The
Committee note that the Civil liabilities can be imposed with retrospective effect but criminal
liabilities cannot be imposed retrospectively. However, the criminal liabilities can be done
away with retrospective effect. As such, the Committee recommend that the
Government may look into legalities and other consequences of giving retrospective
effect and if feasible, endeavour to bring the amendments proposed in the Jan
Vishwas (Amendment of Provisions) Bill, 2022 with retrospective effect thereby
abating the pending legal proceedings in respect of offences being decriminalised.
6. The Committee note that in most of the Acts by way of the proposed amendment Bill,
the concept of Adjudicating officer for dealing with defaulters has been proposed to be
introduced. The Committee desire that the Ministry of Law alongwith the respective
administering Ministries may ensure that adjudication mechanism alongwith appellate
authority for appeal by the aggrieved parties for adjudication of penalty be provided for in
each of the Act seeking to impose penalty while decriminalising the provisions. The
Committee also desire that the Ministry of Law may also look into the aspect of incorporating
an adjudication mechanism alongwith appellate authority for adjudication of penalty while
decriminalization through levying of penalty in all Acts which may come for amendment in
future too.
7. The Committee note that in 11 of the Acts, while imprisonment has been removed,
the fine has either been retained or enhanced. The Committee are of the considered view
that while the aim of Jan Vishwas (Amendment of provisions) Bill, 2022 is to enhance trust
based governance for ease of living and doing business, it also seeks to reduce pressure on
the judiciary, lessen the burden of the courts and help in efficient justice dispensation. The
Committee would like to observe that the distinction between fine and penalty is that fine is
determined by a court and penalty is levied by an executive authority. Hence, it is felt that
retention of fine would not reduce compliance burden and lessen the litigations, which will
nullify the objective sought to be achieved through the Bill. The Committee, therefore,
recommend that wherever feasible removal of imprisonment may be accompanied
with levying of penalty instead of fine to avoid increase in litigation.
251
CHAPTER-III
CLAUSE BY CLAUSE CONSIDERATION OF

Clause 2 of the Bill provides –
“2. The enactments mentioned in column (4) of the Schedule are hereby
amended to the extent and in the manner mentioned in column (5) thereof.”
As the amendments proposed to be incorporated in 42 enactments with the primary

objective of decriminalizing and rationalizing certain offences of minor nature are specified in
the Schedule to the Bill, the Committee decided to take up the Schedule into consideration
before consideration of Clauses. Also taking into account that the said 42 enactments are
being administered by 19 different Ministries/Departments of the Government of India, the
Committee decided to group the proposed amendments to 42 Acts Ministry-wise and
accordingly considered the amendments pertaining to Acts of a particular
Ministry/Department together, one-by-one.
3.2 The existing provisions of the Acts and the amendments proposed to existing
provisions by The Jan Vishwas (Amendment of Provisions) Bill, 2022, as introduced in Lok
Sabha, have already been dealt with and shown in tabular form in Chapter II. In this
Chapter, therefore, for brevity, in some of the amendments proposed in the Bill, as
introduced, instead of reproducing all the amended provisions, as they appear in the Bill,
only those particular sections or sub-sections or clauses have been reproduced where the
modifications have been made by the Committee.
3.3 While considering the amendments proposed to 42 Acts specified in the Schedule to
the Bill, as introduced, the Committee in every case, took note of the modifications
suggested by them to the proposed amendments during briefing by Ministries for
examination by the Ministry from the angle of their legality, practicability and other aspects.
3.4 For facility of reference, consideration by the Joi nt Committee of amendments to
Acts specified in the Schedule have been arranged serial-wise, as they appear in the
Schedule.
252
CONSIDERATION OF THE SCHEDULE
1. Amendments proposed to The Press and Registration of Books Act, 1867
(Sl. No. 1 of the Schedule)
3.5 The Ministry submitted inter alia as under during Clause by Clause consideration of
amendments:
“महोदय, वपछली िैठक में एक ही संशोधन का प्रस्ट्ताव था जो आखखर में सैक्शन 8 सी, सैक्शन 19 के
का संशोधन ककया था। सिसे आखखरी प्रोवीजन पर संशोधन हुआ था। The last part said: “He shall
be punishable with penalty not exceeding Rs. 10000.” कमेटी ने िोला था कक ‘पननशेिल
ववद’ के िदले ‘लाएिल फॉर पेनल्टी’ होगा। हमने यह संशोधन कर ललया है और कोई संशोधन प्रस्ट्ताववत
नहीं था।“
3.6 In view of the submissions made by the Ministry, the Committee decided that
amendments proposed by the Committee may be incorporated in the Bill.
3.7 Accordingly, the provision, as amended, by the Joint Committee has been shown
below in Tabular form:
Title Amendments proposed to the Format after incorporating

Act in the Bill as introduced in amendments adopted by the
Lok Sabha Committee
The Press and (A) In section 8C,— (A) In section 8C,-

Registration of
xxx xxx xxx xxx xxx xxx
Books Act,
1867
12(3) No order for suspension or 12(3) No order for suspension or
cancellation of certificate of cancellation of certificate of
registration shall be made under registration shall be made under
this section, without giving an this section, without giving a
opportunity of being heard to the reasonable opportunity of being
publisher or owner of the heard to the publisher or owner of
newspaper, as the case may be. the newspaper, as the case may
be.
13(D) For section 19K, the 13(D) For section 19K, the
following section shall be following section shall be
substituted, namely:— substituted, namely: -
253
19K. Penalty for contravention of “19K. Penalty for contravention of
section 19D or section 19E.- If the section 19D or section 19E.- If the
publisher of any newspaper – publisher of any newspaper –
(a) refuses or neglects to comply (a) refuses or neglects to comply
with the provisions of clause (b) of with the provisions of clause (b) of
section 19D or section 19E; or section 19D or section 19E; or
(b) publishes in the newspaper in (b) publishes in the newspaper in
pursuance of clause (b) of section pursuance of clause (b) of section
19D any particulars relating to the 19D any particulars relating to the
newspaper which he has reason newspaper which he has reason to
to believe to be false, believe to be false,
he shall be punishable with he shall be liable to penalty not

penalty not exceeding ten exceeding ten thousand rupees.”.
thousand rupees.
xxx xxx xxx
xxx xxx xxx
(Recommendation No. 9 )
3.8 Amendment moved by Adv. Dean Kuriakose, MP in absentia was not accepted by
the Committee as there was no justification.
2. Amendments proposed to The Indian Post Office Act, 1898
3.9 The Committee observed that during briefing by the Department of Posts on the
proposed amendments, the Committee agreed in principle to the amendments proposed to
the Indian Post Office Act, 1898.
3.10 The Department of Posts submitted :-
“महोदय, हमारा प्रस्ट्ताव था कक पूरे चैप्टर 10 इंडडयन पोस्ट्ट ऑकफस एक्ट का 1898 जो पैनल्टीज एंड
प्रोसीजर को डील करता है , उसे ओलमट कर ददया जाए, primarily because either they are
covered by other rules and provisions or they have become redundant and obsolete
over a period of time.”
3.11 The Committee deliberated on the amendments proposed in the Bill to the Indian
Post Office Act, 1898 and decided not to make any modification in the amendments
proposed at Sr. No. 2 of the Schedule to the Bill in view of the submission made by the
Department.
254
3. Amendments proposed to The Boilers Act, 1923
3.12 The Ministry submitted the following:
“माननीय सलमनत की इच्छा थी और डायरै क्शंस थे। हमने इन वप्रंलसपल सि मान ली हैं। केवल
रे स्ट्रोस्ट्पेजक्टव को छोड़ कर हमने सारी िातें ललखी है ।”
3.14 Accordingly, the provisions, as amended, by the Joint Committee have been shown
Lok Sabha Committee
The Boilers Act, (A) In section 22,- (A) In section 22,-

1923
(a) in clause (iii), for the word (a) in clause (iii), for the word
and figures "section 16,", the and figures “section 16,”, the
words and figures "section 16, words and figures, “section 16; or”
or" shall be substituted;
shall be substituted;
(b) after clause (iii), the following (b) after clause (iii), the
clause shall be inserted, following clause shall be inserted,
namely:— namely:-
"(iv) to report an accident to “(iv) to report an accident to

a boiler or boiler component a boiler or boiler component
when so required under when so required under
section 18,". section 18,”;
(c) in the long line, for the
words “punishable with fine”,
the words “liable to penalty”
shall be substituted.
(B) For section 23, the (B) For section 23, the
following section shall be following section shall be
substituted, namely:— substituted, namely:-
"23. Penalties for illegal use of “23. Penalties for illegal use of
boiler.—Any owner of a boiler boiler.- Any owner of a boiler
who— who─
255
(a) in any case in which a (a) in any case in which a
certificate or provisional certificate or provisional
order is required for the use order is required for the use
of the boiler under this Act, of the boiler under this Act,
uses the boiler either without
uses the boiler either without
any such certificate or order
being in force or at a higher any such certificate or order
pressure than that allowed being in force or at a higher
thereby; pressure than that allowed
thereby; or
(b) uses or permits to be used a (b) uses or permits to be used a
boiler which has been boiler which has been
transferred from one State to transferred from one State to
another without such transfer another without such transfer
having been reported as having been reported as
required under clause (b) of
required under clause (b) of
section 6;
section 6; or
(c) fails to cause the register (c) fails to cause the register
number allotted to the boiler number allotted to the boiler
under this Act to be under this Act to be
permanently marked on the permanently marked on the
boiler as required under sub-
boiler as required under
sub-section (6) of section 7,
shall be liable for fine which may shall be liable to penalty which
extend to one lakh rupees, and in may extend to one lakh rupees,
the case of a continuing offence, and in the case of a continuing
with an additional fine which may contravention or failure, with
extend to one thousand rupees
an additional penalty which may
offence continues." extend to one thousand rupees
contravention or failure
continues.”.
(Recommendation No.10)
(D) In section 25, in sub-

section (1), for the words
“punishable with fine”, the
words “liable to penalty” shall
be substituted.
256
(E) After section 26, the
following sections shall be
inserted, namely:-
“26A. Adjudication.- (1) The

State Government or the Union
territory administration, as the
case may be, for the purposes
of determining the penalties
under sections 22, 23, sub-
section (1) of section 25 and
section 30, may authorise the
District Magistrate or the
Additional District Magistrate,
as the case may be, having
jurisdiction, to be the
adjudicating officer to hold an
inquiry and to impose penalty,
in the manner as may be
prescribed, by the State
Government or the Central
Government, as the case may
be.
may summon and enforce the
give evidence or to produce
any document, which in the
officer, may be useful for, or
relevant to, the subject-matter
of the inquiry, and if, on such
inquiry, he is satisfied that the
person concerned has failed to
sections 22, 23, sub-section (1)
of section 25 and section 30,
he may impose penalty:
Provided that no such
penalty shall be imposed
without giving the person
concerned a reasonable
opportunity of being heard.
257
26B. Appeal. - (1) Whoever
aggrieved by the order, passed
by the adjudicating officer
under section 26A, may prefer
an appeal to an officer not
below the rank of Secretary to
the State Government or the
Union territory administration,
as the case may be, specially
authorised by that
Government or administration
in this behalf, within sixty days
from the date of receipt of
order, in such form and
manner as may be prescribed
by the State Government or
the Central Government, as
the case may be.
(2) An appeal may be admitted
after the expiry of the period of
sixty days if the appellant
satisfies the appellate
authority that he had sufficient
cause for not preferring the
appeal within that period.
(3) The appellate authority
may, after giving the parties to
the appeal an opportunity of
being heard, pass such order
as he may think fit.
(4) An appeal under sub-
section (1) shall be disposed
of within sixty days from the
date of filing.”.
(F) In section 27, the words

“Presidency Magistrate or a”
shall be omitted.
(G) In section 28A, in sub-
section (1A), after clause (c),
the following clauses shall be
inserted, namely:-
“(ca) the manner of
holding inquiry and
imposing penalty under
26A;
258
(cb) the form and manner of
preferring appeal under
26B;”.

(H) In section 29, in sub-
section (1), after clause (h), the
following clauses shall be
inserted, namely:-
“(ha) the manner of holding
inquiry and imposing
penalty under sub-section
(1) of section 26A;
(hb) the form and manner
of preferring appeal under
26B;”.

(I) In section 30, -
(i) for the words

“punishable, in the case of
a first offence, with fine”,
the words “liable to
penalty, in the case of a
first contravention, with
penalty” shall be
substituted;
(ii) for the words
“subsequent offence, with
fine”, the word
“subsequent
contravention, with
penalty” shall be
substituted.
4. Amendments proposed to The Indian Forest Act, 1927
3.15 The Ministry submitted inter alia as under during Clause by Clause consideration of
amendments:
259
“हमारे चार एक्ट्स हैं, जजनमें 16 पीनल प्रोववजन्स में से 9 में डडकिलमनलाइजेशन का प्रस्ट्ताव रखा था।
माननीय सलमनत ने 6 सझ
ु ाव ददए थे और हमने 6 सझ
ु ावों को एक्सेप्ट कर ललया है ।”

Lok Sabha Committee
The Indian Forest (A) In section 26,— (A) In section 26,-

Act, 1927
(i) in sub-section (1), clauses (i) in sub-section (1), clauses
(d) and (e) shall be omitted; (d) and (e) shall be omitted;
(ii) after sub-section (1), the (ii) after sub-section (1), the
following sub-section shall be following sub-section shall be
inserted, namely:— inserted, namely:-
"(1A) Any person who, in a “(1A) Any person who, in a

reserved forest— reserved forest-
(a) trespasses or (a) trespasses or pastures

pastures cattle or permits cattle, or permits cattle to
cattle to trespass; trespass shall be liable
to penalty which may
extend to five hundred
rupees, in addition to
such compensation for
damage done to the
forest as determined by
a Forest-officer
empowered under
section 68;
(b) causes any (b) causes any damage

damage by negligence in by negligence in felling
felling any tree or cutting any tree or cutting or
or dragging any timber, dragging any timber shall
shall be liable to pay fine be liable to penalty
which may extend to five which may extend to
260
hundred rupees in five thousand rupees, in
addition to such addition to such
compensation for compensation for
damage done to the damage done to the
forest as the convicting forest as determined by
Court may direct to be a Forest-officer
paid.". empowered under
section 68.”.
(B) In section 33,- (B) In section 33,-
(i) in sub-section (I), clauses (e), (i) in sub-section (I), clauses (e),
(f) and (g) shall be omitted; (f) and (g) shall be omitted;
"(1A) Any person who “(1A) Any person who, in a

commits any of the following protected forest-
offences, namely:—
(a) leaves burning any fire (a) leaves burning any fire
kindled by him in the vicinity kindled by him in the vicinity of
of any tree reserved under any tree reserved under
section 30, whether standing,
section 30, whether standing,
fallen or felled, or closed
portion of any protected fallen or felled, or closed
forest; portion of any protected forest;
(b) fells any tree or drags any (b) fells any tree or drags any
timber so as to damage any timber so as to damage any
tree reserved as aforesaid; tree reserved as aforesaid,
(c) permits cattle to damage

any such tree, shall be liable Amendment Omitted
to pay fine which may extend
to five hundred rupees.".
shall be liable to penalty
thousand rupees in addition
to such compensation for
damage done to the forest
as determined by a Forest-
officer empowered under
section 68.”.
261
(C) In section 68,-
(i) for the marginal

heading, the following
marginal heading shall
be substituted, namely:-
“Power to compound
offences and impose
penalties”;
(ii) in sub-section (1)-
(I) in clause (a), for

the word “and”, the word
“or” shall be substituted;
(II) after clause (a),
the following clause shall
be inserted, namely:-
“(aa) to accept from

any person a sum of
money by way of
penalty or
compensation in
violation of sub-
section (1A) of
section 26 and sub-
section (1A) of
section 33; and”.
5. Amendments proposed to The Agricultural Produce (Grading and Marking)

Act, 1937
3.18 The Department submitted inter alia as under during the Clause by Clause
consideration of amendments:
“कृवर् ववभाग का जो एक्ट है Agricultural Produce (Grading and Marking) Act, 1937, वपछली
िैठक में संशोधन हे तु जो प्रस्ट्ताव आया था, उसमें कमेटी की जो ररकमें डश
े न्स थीं, उनको ववभाग ने पूरा
कर ददया है । िैठक के िाद 3 अमें डमें ट्स प्रपोज ककए गए थे। कुल 4 अमें डमें ट्स थे। सिकी सहमनत से
हमने उनको वैसे ही रखा है । ये 3 प्रपोज्ड अमें डमें ट्स हैं तथा कमेटी ने अपनी जो राय दी थी, उसके
अनुसार हमने संशोधन कर ललए हैं। पहला है काउं टरफीदटंग की पेनल्टी, that is Section 5, Penalty
for Counterfeiting. The penalty was Rs.8 lakh. We have increased it to Rs.15 lakh
because this has a stronger implication, whereas in other infringements the penalty is
much lower. So, this has been increased to Rs.15 lakh.
262
In the appeal provision, as was suggested, the word ‘modifying’ has been deleted. It is
only confirming or setting aside the order passed earlier.
िेलसकली सैक्शन 4, सैक्शन 5, सैक्शन 5A, सैक्शन 5िी था। सैक्शन 4 में कोई सजेशन नहीं था। That
was accepted. सैक्शन 5 में था – Penalty for Counterfeiting Grade Designation Mark. इसमें
पहले इजम्प्रजनमें ट था – ‘imprisonment for a term not exceeding three years and fine not
exceeding five thousand rupees. This has been changed now. इजम्प्रजनमें ट हटा ददया गया
था। पेनल्टी 8 लाख रुपये की थी, which was the amendment. Then, one suggestion was
made. 8 लाख रुपये की पेनल्टी को 15 लाख रुपये करने के ललए सजेशन आया था। That has been
accepted.”
3.19 In view of the submissions made by the Department, the Committee decided that
Lok Sabha Committee
The Agricultural (A) In section 3, in sub-section (A) In section 3, in sub-section

Produce (Grading (2), after clause (g), the following (2), after clause (g), the
and Marking) Act, clauses shall be inserted, following clauses shall be
1937 namely:— inserted, namely: -
"(ga) holding inquiry to “(ga) holding inquiry and
impose penalty under sub- imposing penalty under sub-
section (1) of section 5C; section (1) of section 5C;
(gb) preferring appeal under (gb) preferring appeal under
sub- section (1) of section sub-section (1) of section
5D;".
5D;”.
(B) In section 4, for the words (B) In section 4, for the words
"imprisonment for a term not “punishable with imprisonment
exceeding six months and fine for a term not exceeding six
not exceeding five thousand months and fine not exceeding
rupees", the words "penalty of five thousand rupees”, the
five lakh rupees" shall be
words “liable to penalty not
substituted.
exceeding five lakh rupees”
(C) In section 5, for the words (C) In section 5, for the words
"imprisonment for a term not “punishable with imprisonment
263
exceeding three years and fine for a term not exceeding three
not exceeding five thousand years and fine not exceeding
rupees", the words "penalty of five thousand rupees”, the
eight lakh rupees" shall be words “liable to penalty not
substituted.
exceeding fifteen lakh rupees”

(D) In section 5A, for the (D) In section 5A, for the words
words "imprisonment for a term “punishable with imprisonment
not exceeding six months and for a term not exceeding six
fine not exceeding five thousand
months and fine not exceeding
rupees", the words "penalty of
three lakh rupees" shall be five thousand rupees”, the
substituted. words “liable to penalty not
exceeding three lakh rupees"
(E) In section 5B, in sub- (E) In section 5B, in sub-section
section (4), for the words (4), for the words “punishable
"imprisonment for a term not with imprisonment for a term
not exceeding six months and
rupees", the words "penalty of fine not exceeding five thousand
five lakh rupees" shall be rupees, the words “liable to
substituted. penalty not exceeding five lakh
rupees” shall be substituted.

(F) For section 5C, the (F) For section 5C, the following
following sections shall be sections shall be substituted,
substituted, namely:— namely:-
"5C. Adjudicating officer.— "5C. Adjudicating officer.-
(1) The Central Government (1) The Central Government
may, for the purposes of may, for the purposes of
determining the penalties under determining the penalties under
sections 4, 5, 5A and 5B, appoint sections 4, 5, 5A and 5B,
an officer not below the rank of appoint an officer not below the
Deputy Secretary to the
rank of Deputy Secretary to the
Government of India or an officer
not below the rank of Deputy Government of India or an
Secretary to the State officer not below the rank of
Government, to be adjudicating Deputy Secretary to the State
officer to hold an inquiry in the Government, to be adjudicating
manner, as may be prescribed officer to hold an inquiry and
and to impose penalty: impose penalty, in the manner
264
as may be prescribed:
Provided that the Central Provided that the Central
Government may appoint as Government may appoint as
many adjudicating officers as many adjudicating officers as
may be required. may be required.
(2) The adjudicating officer (2) The adjudicating officer may

may summon and enforce the summon and enforce the
attendance of any person attendance of any person
acquainted with the facts and acquainted with the facts and
document, which in the opinion give evidence or to produce any
of the adjudicating officer, may document, which in the opinion
be useful for, or relevant to, theof the adjudicating officer, may
subject-matter of the inquiry and be useful for, or relevant to, the
if, on such inquiry, he is satisfied
that the person concerned has if, on such inquiry, he is satisfied
failed to comply with the that the person concerned has
provisions of sections 4, 5, 5A
failed to comply with the
and 5B, he may impose penalty:
provisions of sections 4, 5, 5A
Provided that no such penalty and 5B, he may impose penalty:
shall be imposed without giving Provided that no such penalty
the person concerned an shall be imposed without giving
opportunity of being heard in the the person concerned a
matter. reasonable opportunity of being
heard in the matter.
5D. Appeal.—(1) Any person 5D. Appeal.- (1) Whoever

aggrieved by the order, passed aggrieved by the order, passed
by the adjudicating officer under by the adjudicating officer under
section 5C may prefer an appeal section 5C may prefer an appeal
Adviser, Government of India
within thirty days from the date Adviser, Government of India
on which the copy of the order within thirty days from the date
made by the adjudicating officer of receipt of order in such
is received by the aggrieved manner as may be prescribed.
person in such manner as may
be prescribed.
after the expiry of the period
of thirty days if the appellant
satisfies the Agricultural
Marketing Adviser that he had
sufficient cause for not
preferring the appeal within
that period.
265
(2) The Agricultural Marketing (3) The Agricultural Marketing
Adviser may, after giving the Adviser may, after giving the
parties to the appeal an parties to the appeal an
such order as he may thinks fit,
confirming, modifying or setting such order as he may think fit.
against.
(3) The Agricultural Marketing (4) The Agricultural Marketing

Adviser referred to in sub-section Adviser referred to in sub-
(1) shall dispose of the appeal section (1) shall dispose of the
within sixty days from the date of appeal within sixty days from the
filing the appeal. date of filing.
5E. Recovery.—Notwithstanding 5E. Recovery.- Notwithstanding

anything contained in this Act, if anything contained in this Act, if
penalty imposed by adjudicating penalty imposed by the
officer under section 5C or adjudicating officer under
ordered by the Agricultural section 5C or order of the
Marketing Adviser under section Agricultural Marketing Adviser
5D, as the case may be, is not under section 5D, as the case
deposited, the amount shall be may be, is not deposited, the
recovered as an arrears of land amount shall be recovered as
revenue.". an arrear of land revenue.".
6. Amendments proposed to The Drugs and Cosmetics Act, 1940
“………हमने पूरा दे ख ललया है । इन्फैक्ट आपने वपछली मीदटंग में ही करना शुरू कर ददया था, ति
हम लोगों ने आपसे अनुरोध ककया था कक आप ये हम पर छोड़ दीजजए, हम लोग कर लेंगे, तो अि कर
ललया है । वही ददखा रहे हैं।”
amendment proposed by the Committee may be incorporated in the Bill.
266

Lok Sabha Committee
The Drugs and (A) In section 29, for the words

Cosmetics Act, “punishable with fine which
1940 may extend to five thousand
rupees”, the words “liable to
one lakh rupees” shall be
substituted.
(A) In section 30, in sub- (B) In section 30, in sub-section

section (2), for the words (2), for the words “imprisonment
"imprisonment which may which may extend to two years,
extend to two years, or with fine or with fine which shall not be
which shall not be less then ten
less than ten thousand rupees, or
thousand rupees, or with both",
the words "fine which shall not with both”, the words “fine which
be less than five lakh rupees" shall not be less than five lakh
shall be substituted. rupees” shall be substituted.
(B) In section 32B, in sub- (C) In section 32B, in sub-section

section (1), after the words and (1), after the words and figures
figures "of section 13,", the “of section 13,”, the words,
words, brackets, letters and brackets, letters and figures
figures "clause (d) of section 27 “clause (d) of section 27 and
and clause (ii) of section 27A," clause (ii) of section 27A,” shall
shall be inserted. be inserted.
7. Amendments proposed to The Public Debt Act, 1944

3.25 The Department of Economic Affairs, Ministry of Finance on the amendment

proposed in the Bill stated that omission of Section 27 of the Public Debt Act, 1944 as
267
proposed may be accepted.
3.26 The Committee agreed to the amendment proposed in the Bill.
8. Amendments proposed to The Rubber Act, 1947
3.27 The Department submitted inter alia as under during Clause by Clause consideration
of amendments:
“For the purpose of adjudging the penalties under section 11(3) and 26, the Executive
Director, Rubber Board shall appoint Secretary, Rubber Board or any other officer
authorized by the Central Government, as the case may be, to be an adjudicating
officer for holding an inquiry in the prescribed manner after giving any person
concerned an opportunity of being heard for the purpose of imposing any penalty. (2)
Whoever is aggrieved by any decision or order of the adjudicating officer may prefer
an appeal to the Executive Director, Rubber Board within …...we have removed
imprisonment.”
Lok Sabha Committee
The Rubber Act, xxx xxx xxx xxx xxx xxx

1947
(C) In section 25, in sub-section
(2), after clause (xxiii), the
inserted, namely:-
“(xxiiia) the manner of
imposing penalty under sub-
section (1) of section 26B;
(xxiiib) the form and manner
26B;”.
268
(C) In section 26, in sub- (D) In section 26, in sub-section
section (1), in the long line, for the (1), in the long line, for the words,
words "punishable with “punishable with imprisonment for
imprisonment for a term which a term which may extend to one
may extend to one year, or with year, or with fine which may extend
fine which may extend to five to five thousand rupees, or with
thousand rupees, or with both", both”, the words “liable to penalty
the words "liable to pay penalty which may extend to fifty thousand
which may extend to fifty rupees” shall be substituted.
thousand rupees" shall be
substituted.
(E) After section 26A, the
following section shall be
inserted, namely:-
“26B. Adjudication of penalties.-
(1) For the purposes of
adjudging the penalties under
sub-section (3) of section 11 and
section 26, the Executive
Director shall appoint the
Secretary to the Board or any
other officer authorised by the
Central Government, as the case
may be, to be an adjudicating
officer for holding an inquiry
and imposing penalty in the
manner as may be prescribed,
after giving any person
(2) Whoever is aggrieved by any
order of the adjudicating officer
may prefer an appeal to the
Executive Director, within a
period of sixty days from the
date of receipt of such order in
such form and manner as may
be prescribed.
satisfies the Executive Director
that he had sufficient cause for
not preferring the appeal within
that period.
269
(4) No appeal shall be disposed
of unless the appellant has been
given a reasonable opportunity
of being heard.
(5) An appeal under sub-section

(2) shall be disposed of within
sixty days from the date of
filing.

imposed under sub-section (1),
if not paid, may be recovered as
an arrear of land revenue.”.
9. Amendments proposed to The Pharmacy Act, 1948
3.31 The Department submitted, inter alia, as under during Clause by Clause
“with imprisonment for a term which may extend upto three months, or with fine not
exceeding two lakh rupees or with both.........उसे हमने इनकॉरपोरे ट कर ददया है ।”
Lok Sabha Committee
The Pharmacy Act, (A) In section 18, in sub-

1948 section (2), after clause (h),
the following clauses shall
270
be inserted, namely:-
“(ha) the manner of
43A;
(hb) the form and manner
of preferring appeal
under sub-section (2) of
section 43A;”.
(A) In section 26A, in sub-
section (3), for the words "with (B) In section 26A, in sub-
imprisonment for a term which may section (3), for the words
extend to six months, or with fine “punishable with
not exceeding one thousand imprisonment for a term which
rupees or with both", the words "on may extend to six months, or
first conviction with fine which may with fine not exceeding one
extend to one lakh rupees and on thousand rupees, or with
subsequent conviction with fine not both”, the words “liable to
exceeding two lakh rupees" shall penalty which may extend to
be substituted. one lakh rupees” shall be
substituted.

(B) In section 41, for sub-section
(C) In section 41, for sub-
(1), the following sub-section shall
section (1), the following sub-
be substituted, namely:— section shall be substituted,
namely:-
"(1) If any person whose name is
“(1) If any person whose name
not for the time being entered in
is not for the time being
the register of the State claims that
entered in the register of the
it is so entered or uses in
State falsely pretends that it
connection with his name or title
is so entered or uses in
any words or letters reasonably
connection with his name or
calculated to suggest that his
title any words or letters
name is so entered, he shall be
reasonably calculated to
punishable on first conviction with
suggest that his name is so
entered, he shall be
thousand rupees and on
punishable on first conviction
subsequent conviction with fine not
exceeding one lakh rupees:
one lakh rupees and on
subsequent conviction with
imprisonment which may
extend to three months or
with fine not exceeding two
lakh rupees, or with both:
271
Provided that it shall not be an Provided that it shall be a
offence if the name of the person is defence if the name of the
entered in the register of another person is entered in the
State and that at the time of claim, register of another State and
an application for registration in the that at the time of claim, an
application for registration in
State had been made.".
the State had been made.”.

(C) In section 42, in sub-section (D) In section 42, in sub-
(2), for the words "imprisonment for section (2), for the words
a term which may extend to six “imprisonment for a term
months, or with fine not exceeding which may extend to six
one thousand rupees or with both", months, or with fine not
the words "fine which may extend exceeding one thousand
to one lakh rupees and on rupees or with both”, the
subsequent conviction with fine not words “imprisonment for a
term which may extend to
exceeding two lakh rupees" shall three months, or with fine
be substituted. which may extend to two lakh
rupees, or with both” shall be
substituted.

inserted, namely:-
“43A. Adjudication of
penalties.- (1) For the
purposes of adjudging the
penalties under section
26A, the Central
Government shall
authorise the President of
the State Council, where
the alleged violation is
committed, to be the
adjudicating officer for
holding an inquiry and
impose penalty in the
manner as may be
prescribed under section
18, after giving any person
heard.
(2) Whoever is aggrieved
by any order of the
272
adjudicating officer may
prefer an appeal to the
President, Central
Council, within a period of
forty-five days from the
date of receipt of such
order in such form and
manner as may be
prescribed under section
18.
(3) The President, Central
Council may entertain an
appeal after the expiry of
forty-five days, if it is
satisfied that the appellant
was prevented from
sufficient cause for filing
the appeal within the said
period.
(4) No appeal shall be
disposed of unless the
appellant has been given
a reasonable opportunity
of being heard.
(5) An appeal under sub-
section (2) shall be
disposed of within ninety
days from the date of
filing.
imposed under sub-
section (1), if not paid,
may be recovered as an
arrear of land revenue.”
10. Amendments proposed to The Industries (Development and Regulation) Act,

1951
273
“इसमें आपने यह ननदे श ददया था कक ‘फाइन’ को ‘पैनाल्टी’ कर दे ना चादहए। इसे हमने मान ललया है ।
जैसा कक वपछली िार मैंने अनरु ोध ककया था कक हमारे सामने परे शानी यह है कक हमारे पास इसमें परू े
दे श में केवल तीन अचधकारी हैं। हमने इसका यह तरीका ननकाला है कक हम कलेक्टर – डीएम को इसकी
पावर दे रहे हैं।……..दस
ू री िात आपने यह व्यक्त की थी ऐसा न हो कक अपील सीधे हाई कोटष जाने लग
जाए। अत: डडजस्ट्रक्ट कोटष , एप्रोवप्रएट कोटष में कलेक्टर के ऑडषर की अपील का प्रावधान कर ददया गया
है ।……डडजस्ट्रक्ट कोटष में कलेक्टर के लेवल पर अपील चली जाएगी। हम लोगों ने दस
ू रा ऑल्टरनेदटव
यह सोचा कक हम पावर एसडीएम को और अपील कलेक्टर को करने का प्रावधान कर दें ।”
Title Amendments proposed to Format after incorporating
the Act in the Bill as amendments adopted by the
introduced in Lok Sabha Committee
The Industries (A) In section 24, in sub-section (A) (In section 24, in sub-section
(Development and (1), for the long line, the (1), for the long line, the
Regulation) Act, following long line shall be following long line shall be
1951 substituted, namely:— substituted, namely:-
"he shall be punishable with “he shall be liable to penalty

fine which may extend to which may extend to twenty-five
twenty-five lakh rupees.". lakh rupees.”.
(B) Section 24A shall be (B) For section 24A, the
omitted. following sections shall be
substituted, namely:-
“24A. Adjudication.– (1) The

Central Government, for the
purposes of determining the
penalties under section 24, shall
authorise the District Magistrate
or the Additional District
Magistrate, having jurisdiction,
to be the adjudicating officer, to
hold an inquiry and impose the
be prescribed.
274
document, which in the opinion
of the adjudicating officer, may
be useful for, or relevant to, the
if, on such inquiry, he is
concerned has failed to comply
with the provisions of this Act,
he may impose such penalty as
he thinks fit in accordance the
provisions of section 24:

without giving the person
24B. Appeal. - (1) Whoever

aggrieved by the order, passed
by the adjudicating officer under
section 24A, may prefer an
appeal to an officer not below
the rank of Joint Secretary to the
Government of India, within
thirty days from the date of
receipt of order, in such form
and manner as may be
prescribed.

thirty days if the appellant
satisfies the appellate authority
that period.
(3) The appellate authority may,

after giving the parties to the
heard, pass such order as he
may think fit.
275
sixty days from the date of filing.
24C. Recovery.- Notwithstanding

anything contained in this Act, if
penalty imposed by adjudicating
officer under section 24A or
order of the appellate authority
under section 24B, as the case
may be, is not deposited, the
amount shall be recovered as an
arrear of land revenue.”.
(C) Section 27 shall be
omitted.
(D) In section 28, for the
words “prosecuted”, the words
“imposed penalty” shall be
substituted.
(E) Sections 29 and 29A shall
be omitted.
(F) In section 30,-
(i) in sub-section (2), after
clause (pp), the following
clauses shall be inserted,
namely:-
“(ppa) the manner of
imposing penalty under sub-
section (1) of section 24A;
(ppb) the form and manner
24B;”;
(ii) in sub-section (3), for the
word “punishable”, the
words “liable to penalty”
276
11. Amendments proposed to The Cinematograph Act, 1952
3.37 During the Clause by Clause consideration of the amendments, the Ministry
submitted:-
“लसनेमैटोग्राफ एक्ट में सेक्शन-14 और 15 है ।
सेक्शन-7 (1) में कोई चें जज
े नहीं थे। उसके जो प्रोवाइजोज हैं, उसमें भी कोई सजेशन सजेस्ट्टे ड नहीं
थे।“
3.38 The officials stated that Ministry has accepted the changes as suggested by the
Committee.
3.39 The Committee then discussed the amendments proposed in the Bill and decided to
accept the view of the Ministry and recommended the following amendments to the
amendments proposed in the Bill.
the Act in the Bill as amendments adopted by
introduced in Lok Sabha the Committee
The Cinematograph (A) In Section 7, - (A) In section 7,-

Act, 1952
(i) for sub-section (1), the (i) for sub-section (1), the
‘(1) If any person— ‘(1) If any person—

(a) without lawful authority (a) without lawful authority
(the burden of proving which
(the burden of proving which
shall be on such person) alters
or tampers in any way any film shall be on such person)
after it has been certified, he alters or tampers in any way
shall be punishable with any film after it has been
imprisonment for a term which certified, he shall be
may extend to three years or punishable with imprisonment
with fine which shall not be less for a term which may extend
than ten lakh rupees, or with to three years or with fine
both;
which shall not be less than
ten lakh rupees, or with both;
(b) exhibits or permits to be (b) exhibits or permits to
exhibited in any place, any be exhibited in any place, any
film— film-
277
(i) which has not been (i) which has not been
certified by the Board; certified by the Board;
(ii) which, when exhibited
(ii) which, when exhibited
does not display the prescribed
mark of the Board; does not display the
prescribed mark of the Board;
(iii) which, when exhibited (iii) which, when exhibited
displays a mark of the Board displays a mark of the Board
which has since been altered or which has since been altered,
tampered with after the mark
or tampered with after the
has been affixed,
mark has been affixed,
he shall be punishable with he shall be punishable with

imprisonment for a term which imprisonment for a term
may extend to three years or which may extend to three
with fine which may extend to years or with fine which may
ten lakh rupees, or with both
extend to ten lakh rupees, or
and with a further fine which
may extend to one lakh rupees with both, and in the case of
for each day during which the a continuing offence with a
offence continues; further fine which may extend
to one lakh rupees for each
day during which the offence
continues;
(c) exhibits or permits to be (c) exhibits or permits to

exhibited in any place, a video be exhibited in any place, a
film in contravention of the video film in contravention of
provisions of clause (a) or the provisions of clause (a) or
clause (b), he shall be clause (b), he shall be
three years or with fine which for a term which may extend
may extend to ten lakh rupees, to three years or with fine
or with both, and with a further which may extend to ten lakh
fine which may extend to one rupees, or with both, and in
lakh rupees for each day during the case of a continuing
which the offence continues; offence with a further fine
rupees for each day during
xxx xxx xxx
which the offence continues;
xxx xxx xxx
inserted, namely:— inserted, namely:—
"(4) Any person aggrieved by “(4) Whoever aggrieved by
278
any penalty imposed under any penalty imposed under
clauses (d) to (f) of sub-section clauses (d) to (f) of sub-
(1), may prefer an appeal in section (1) or section 14,
such manner and to such may prefer an appeal to such
appellate authority as may be
appellate authority within
prescribed.".
such period and in such
form and manner as may be
prescribed.”.
(B) In section 8, in sub- (B) In section 8, in sub-
section (2), after clause (c), the section (2), after clause (c),
following clauses shall be the following clauses shall be
“(ca) the authorised officer
"(ca) the authorised officer and
and the manner of levy of
the manner of levy of penalty
by him in terms of clauses (d) penalty by him in terms of
to (f) of sub-section (1) of clauses (d) to (f) of sub-
section 7; section (1) of section 7;
(cb) the period, form and
(cb) the manner of preferring
manner of preferring appeal
appeal and appellate authority
under sub-section (4) of section and appellate authority under
7;". sub-section (4) of section 7;” .
(C) In section 14, for the
(C) In section 14, for the words “punishable with fine
words "one thousand rupees which may extend to one
and, in the case of a continuing thousand rupees and, in the
offence, with a further fine case of a continuing offence,
which may extend to one with a further fine which may
hundred rupees for each day extend to one hundred rupees
during which the offence for each day during which the
continues", the words "one lakh offence continues”, the words
rupees and, in the case of a “liable to penalty of one lakh
continuing offence, with a rupees and, in the case of a
further fine which may extend continuing contravention,
to ten thousand rupees for with a further penalty which
each day during which the may extend to ten thousand
offence continues" shall be rupees for each day during
substituted. which the contravention
continues” shall be
substituted.
(D) For section 15, the

279
“15. Power to revoke or
suspend licence.- (1) Where
the holder of a licence has
been convicted for an
offence under clauses (a) to
(c) of sub-section (1) of
section 7, the licence may
be revoked by the licensing
authority.
(2) Where the holder of a

licence has been imposed
penalty for contravention
under clauses (d) to (f) of
sub-section (1) of section 7
or section 14, the licence
may be suspended by the
licensing authority for a
period not exceeding thirty
days:
Provided that in cases of

more than three
contraventions over a
period of three years, the
licensing authority, may, for
the reasons to be recorded
in writing, by order, revoke
the licence:
Provided further that no

order under this section
shall be made without
giving the holder of the
licence a reasonable
heard.”.
12. Amendments proposed to The Tea Act, 1953
3.40 The Department submitted, inter alia, as under:-

“there were four sets of guidance given by the Committee in the last meeting. The first
set of guidance was that in all the four Acts, where we are decriminalising the
provisions and have put in penalty, an adjudication mechanism should also be put in
280
place, which we have now proposed in the revised draft.
For Tea Board Act, there were two things. We had suggested for omission of five
sections in which it was suggested that it should be parallel to other Boards also and
we should retain or decide upon whether we want to have a penal provision for
contravention of order and also the omnibus clause which allows for a penal provision
for rules made thereunder. This was suggested, and we have decided that it is better to
bring those provisions for Tea Board with a penalty provision instead of a fine and
imprisonment provision. So, we have proposed accordingly.
Lastly, it was also suggested that in case there are any other provisions in the Act
where fine is there without imprisonment, which has been left out, that fine should also
be considered for to be converted into penalty. There was one such provision in the
Spices Board Act where we felt that the fine has been left out. The provision of fine
was there for false returns and things like that. That is also now proposed to be
converted into penalty.
......these were the four sets of guidance. We have accepted all the four. Accordingly,
we have proposed amendments.”

The Tea Act, 1953 Sections 38 to 42 shall be (A) Sections 38 to 40 shall be

omitted. omitted.
(B) In section 41, in sub-
“punishable with imprisonment
six months, or with fine which
rupees, or with both,”, the words
“liable to penalty which may
extend to fifty thousand rupees”
281
(C) In section 42, for the words
“punishable with imprisonment
five thousand rupees, or with both
first such contravention”, the
words “liable to penalty which
may extend to fifty thousand
rupees and for subsequent
contravention, penalty which may
extend to one lakh rupees” shall
be substituted.
(D) After section 42, the
inserted, namely:-
“42A. Adjudication of penalties.-
(1) For the purposes of adjudging
the penalties under sub-section
(1) of section 41 and section 42,
the Deputy Chairman of the Board
shall appoint the Secretary to the
Board or any other officer
authorised by the Central
Government, as the case may be,
to be an adjudicating officer for
holding an inquiry in the manner
as may be prescribed, after giving
a reasonable opportunity of being
heard.
(2) Whoever is aggrieved by any
may prefer an appeal to the
Deputy Chairman of the Board,
within a period of sixty days from
the date of receipt of such order
in such form and manner as may
be prescribed.
282
satisfies the Deputy Chairman
that period.
(4) No appeal shall be disposed of
unless the appellant has been
given a reasonable opportunity of
being heard.
sixty days from the date of filing.
imposed under sub-section (1), if
not paid, may be recovered as an
arrear of land revenue.”.

(E) In section 49, in sub-section
(2), after clause (x), the following
clauses shall be inserted,
namely:-
“(xa) the manner of imposing
penalty under sub-section (1) of
section 42A;
(xb) the form and manner of
preferring appeal under sub-
section (2) of section 42A;”.
13. Amendments proposed to The Copyright Act, 1957
3.44 The Department for Promotion of Industry and Internal Trade, Ministry of Commerce
and Industry on the proposed amendment stated that omission of Section 68 as introduced
in the Bill may be accepted.
283
3.45 The Committee decided to accept the view of the Department and agreed to the
amendment proposed in the Bill.
14. Amendments proposed to The Merchant Shipping Act, 1958
3.46 The Ministry submitted, inter alia, as under:-

“कमेटी के द्वारा गत सप्ताह में जो हमारी डडटे ल एग्जालमनेशन हुई थी, वह मचेन्ट्स लशवपंग एक्ट,
1958 के प्रावधानों के िारे में था। दो प्रावधानों के अलावा, िाकी सभी में , कमेटी ने, जो हमने
डीिीलमनलाइजेशन का प्रस्ट्ताव ददया था, उससे सहमनत व्यक्त की थी। प्रावधानों में कमेटी की राय थी
कक हम या तो इस कोरीटे न करें , क्योंकक वह न्यूजक्लयर फ्यूएल्डलशप्स के िारे में था, जो कक काफी गंभीर
था। पहले हमने जो प्रोपोज ककया था, उसमें हमने इम्प्रीजनमें ट हटा कर पेनाल्टी की थी। कमेटी की यह
राय थी कक या तो आप इस प्रावधान की गम्भीरता को दे खते हुए इसे रीटे न कीजजए या कफर अगर
पेनाल्टी का प्रावधान करना है तो हमने जो पााँच लाख रुपये का प्रस्ट्ताव ककया था, उसे िढ़ाकर दस लाख
रुपये ककया जाए।
सलमनत की गत िैठक के पश्चात हमने अपने मंत्रालय में इस पर पुनववषचार ककया और दो प्रावधान, जो
सीररयल नं. 108 (e) (a) और 108 (e) (b) पर हैं, इस पर मंत्रालय ने यह ननणषय ललया कक जो वतषमान
प्रावधान हैं, जजसमें इम्प्रीजनमें ट और फाइन हैं, उसी को हम लोग रीटे न करें गे। कुल लमलाकर अगर दे खा
जाए तो 43 प्रावधानों में से हमारे 21 प्रावधान अि डीिीलमनलाइज हो रहे हैं। पहले 23 थे। इन प्रावधानों
की गंभीरता को दे खते हुए अि हम वापस डीिीलमनलाइज नहीं करना चाहते और इस को अि हम
इम्प्रीजनमें ट और फाइन की श्रेणी में ही रखना चाहते हैं। वपछली िार इन दोनों प्रावधानों के िारे में
सलमनत की राय थी।
इसके अलावा, हमने िाकी प्रावधानों में कोई पररवतषन नहीं ककया है , क्योंकक उसमें सलमनत के द्वारा
सहमनत प्रकट की गयी थी।”
284
Title Amendments proposed to the Act Format after incorporating

in the Bill as introduced in Lok amendments adopted by the
Sabha Committee
The (A) in section 436, - (A) in section 436, -

Merchant
(a) in sub-section (2), in the Table, against (a) in sub-section (2), in the Table, against the
Shipping the serial numbers mentioned under column serial numbers mentioned under column 1, in
Act, 1958 1, in respect of the offences under column respect of the offences under column 2, relating
2, relating to the sections under column 3 to the sections under column 3 and the penalties
and the penalties under column 4, shall, under column 4, shall, respectively be
respectively be substituted, in the manner substituted, in the manner as provided,
as provided, namely:— namely:—
XXX XXX XXX XXX XXX XXX
Serial Offences Section Penalties Serial Offences Section of Penalties

No. of this No. this Act to
Act to which
which offence has
offence reference
has
reference
1 2 3 4 1 2 3 4
16 "Penalty 16 "Penalty
which which
may may
extend to extend to
two lakh two lakh
rupees." rupees."
XXX XXX XXX XXX XXX XXX
108B "The
master or
owner or
agent
shall be
liable to
penalty
which
may
extend to
five lakh
rupees
and the
ship may
also be
detained."
285
108E(a) "Penalty
which
may Amendment Omitted
extend to
five lakh
rupees
and the (Recommendation No. 50)
ship may
also be
detained."
108E(b) "Penalty
which
may Amendment Omitted
extend to
five lakh (Recommendation No. 51)
rupees
and the
ship may
also be
detained."
109 "Penalty 109 "Penalty

which which
may may
extend to extend to
five lakh five lakh
rupees." rupees."
(4) Any person aggrieved by an order (4) Whoever aggrieved by an order of the
of the Principal Officer referred to in sub- Principal Officer under sub-section (3), may,
section (3), may, within a period of thirty within a period of thirty days from the date of
days from the date of receipt of such order, receipt of such order, prefer an appeal before
prefer an appeal before the Director-
the Director-General in such form and manner
General in such form and manner as the
Central Government may prescribe. as the Central Government may prescribe.
(7) Notwithstanding anything contained in
this Act, if penalty imposed by Principal
Officer of the Mercantile Marine Department
under sub-section (3) or order of the
Director-General under section (4), as the
case may be, is not deposited, the amount
shall be recovered as an arrear of land
revenue.”.
xxx xxx xxx
(Recommendation No. 53 )
286
15. Amendments proposed to The Deposit Insurance and Credit Guarantee
Corporation Act, 1961
“जो वपछली िैठक हुई थी, उसमें सलमनत से हमें कुछ सुझाव लमले थे। मौटे तौर पर चार िातें कही गई
थीं, जो अलग-अलग एक्ट्स में लागू होती हैं। एक िात यह कही गई थी कक जहां हमने पेनल्टी का
प्रावधान डाला था, उसमें यह था कक अगर पेनल्टी के ललए 60 ददन की िात की जाए तो दहयररंग के ललए
उचचत समय ददया जाए और उसके िाद 60 ददन का समय पेनल्टी के पेमेंट के ललए ददया है । जि हमने
कफर से एक्ट को पढ़ा है तो हमारे दो नोदटसेस की िात है । We will go through the Sections with
you.
One notice is a Showcause notice which is there in the initial subsection – please
showcause why penalty should not be imposed. The second notice is a notice for
actually paying the penalty. जो सेकण्ड नोदटस है और जो 60 ददन का समय ददया गया है , that is
with reference to the second notice. It is not as if, जो पहले 6 तारीख की िैठक थी, उसमें यह
शंका जादहर की गई थी कक पहले नोदटस के िाद ही हम एड्जज्यडु डकेशन का टाइम नहीं दें गे, दहयररंग का
टाइम नहीं दें गे और वहीं से 60 ददन की गणना शरू
ु कर दें गे। जि हमने उसको कफर से पढ़ा तो समझ में
यह आया कक पहला नोदटस शो कॉज नोदटस है और दस
ू रा पे द पेनल्टी नोदटस है । पे द पेनल्टी नोदटस के
िाद 60 ददन का समय है , to that entity to make the payment of the penalty. That is the
demand notice.
सलमनत के ववचार को रखते हुए यह कन्फ्यूजन कफर न आए तो हमने जो सेकण्ड पे द पेनल्टी नोदटस है ,
उसका जो प्रावधान है , उसमें हमने प्रीववयस नोदटस का ललंक कर ददया है । We have said, subject to
the provisions of the previous notice you should have issued showcause notice, you
should have heard the other party and then come to the point of determination of
penalty. हमने वह ललंक लगा ददया है ।”
287

Lok Sabha Committee
The Deposit In section 47, in sub-section In section 47, for sub-section

Insurance and (2),— (2), the following sub-sections
Credit Guarantee (i) for the words "punishable
shall be substituted, namely:-
Corporation Act, with a fine which may extend to
1961 two thousand rupees", the words “(2) If any person fails to
"liable to a penalty which may produce any book, account or
extend to one lakh fifty thousand other document or to furnish
rupees" shall be substituted; any statement or information
which, under the provisions
(ii) for the words "fine which
of this Act, it is his duty to
may extend to one hundred
rupees", the words "penalty which produce or furnish, he shall
may extend to seven thousand be liable to penalty which may
five hundred rupees" shall be extend to one lakh fifty
substituted; thousand rupees in respect of
each failure, and in the case
(iii) after sub-section (2), the of a continuing failure, with an
following sub-sections shall be additional penalty which may
inserted, namely:— extend to seven thousand five
during which the failure
continues after the first such
failure.
(3) For the purpose of adjudging

"(3) For the purpose of adjudging
the penalty under sub-section
the penalty under sub-section (2),
the Corporation shall serve notice (2), the Corporation shall serve
on the person requiring it to show notice on the person requiring it
cause why the amount specified to show cause why the amount
in the notice should not be specified in the notice should
imposed and a reasonable not be imposed and a
opportunity of being heard shall reasonable opportunity of being
also be given to such person. heard shall also be given to
such person.
(4) Any penalty imposed by (4) Any penalty imposed by the

the Corporation under this section Corporation under this section
shall be payable within a period of shall be payable within a period
288
fourteen days from the date on of fourteen days from the date
which notice issued by the on which notice issued by the
Corporation demanding payment Corporation demanding
of the sum is served on the payment of the sum is served on
person and in the event of failure
the person and in the event of
of the person to pay the sum
within such period, may be levied failure of the person to pay the
on a direction made by the sum within such period, may be
principal civil court having levied on an order or direction
jurisdiction in the area where the made by the principal civil court
person is situated: having jurisdiction in the area
where the person is situated:
Provided that no order or
Provided that no direction shall be
made except on an application direction shall be made except
made to the court by the on an application made to the
Corporation or any officer court by the Corporation or any
authorised by it in this behalf. officer authorised by
Corporation in this behalf.
(5) The court which makes a (5) The court which makes an
direction under sub-section (4) order or direction under sub-
shall issue a certificate specifying section (4) shall issue a
the sum payable by the person
certificate specifying the sum
and every such certificate shall be
enforceable in the same manner payable by the person and
as if it were a decree made by the every such certificate shall be
court in a civil suit." enforceable in the same manner
as if it were a decree made by
the court in a civil suit.
(6) No complaint shall be filed

against any person in any
court of law in respect of any
contravention or default in
respect of which any penalty
has been imposed by the
Corporation under sub-
section (2).
(7) Where any complaint has
been filed against any person
in any court in respect of any
contravention or default of the
nature referred to in sub-
section (1), then, no
proceedings for the
289
imposition of any penalty on
the person shall be initiated
under sub-section (2).”.
6. Amendments proposed to The Warehousing Corporations Act, 1962
3.52 The Department for Food and Public Distribution, Ministry of Food and Public
Distribution on the proposed amendment stated that omission of Section 38 as proposed in
the Bill may be accepted.
3.53 The Committee agreed to the omission of Section 38 proposed in the Bill.
17. Amendments proposed to The Food Corporations Act, 1964
3.54 The Department for Food and Public Distribution, Ministry of Food and Public
Distribution on the proposed amendment stated that omission of Section 41 as proposed in
the Bill may be accepted.
3.55 The Committee agreed to the omission of Section 41 proposed in the Bill.
18. Amendments proposed to The Patents Act, 1970
3.56 The Department submitted as under:-
“सर, पेटेंट एक्ट में कमेटी की कुछ रे क्में डश

े ंस थीं। हमने सारी एनालाइज़ की, We have all
accepted them. उस दहसाि से हमने कुछ चें जेज रे क्में ड ककये हैं।…….”
3.56A In the original Jan Vishwas bill as introduced in the Parliament, provision of
adjudication of penalty was proposed under the Patents Act, Trademarks Act, Geographical
Indications Act. In another written communication, the Department for Promotion of Industry
290
and Internal Trade submitted the following:
“………During the 2nd reading of Jan Vishwas Bill, Joint Parliamentary Committee
recommended need for appellate mechanism to provide a person to get a forum to
get his grievances addressed if not satisfied with the decision of the officer
adjudicating penalty under the Patents Act, Trademarks Act or Geographical
Indications Act, as the case may be. It was also recommended that the recovery of
the penalty should be made by treating it as arrear of land revenue.
……… while the Department agrees with the recommendation of introduction of the
appellate mechanism, however, it does not agree with the suggestion to treat the
penalty dues as arrear of land revenue as under the Patents Act, Trademarks Act,
Geographical Indications act, not every person on whom a penalty has been imposed
will have an immovable property, especially for non-resident persons/entities. Hence,
while the amendments in the Jan Vishwas Bill seeks to decriminalise the offences
under Patents Act, Trademarks Act and Geographical Indications Act making them
civil proceedings and providing a person an opportunity to present its case first before
the authority adjudicating penalty and then before the appellate authority. However, if
despite availing opportunities, a person refuses to pay penalty, especially when such
person may not have an immovable asset or a property that could be use to recover
penalty amount under the Revenue Recovery Act, it is essential that said recovery be
done through the court, which may in addition to recovering the penalty due, may
also impose fine or imprisonment or both. This will ensure that proposed
amendments not just remain toothless but also that appropriate deterrence has been
provided for those not complying with law of the country”.
3.56B In view of the submissions by the Department, the Committee decided that provision
of fine/imprisonment for recovery of penalty may be retained with some modifications in all
the three Acts, viz., Patents Act, Trademarks Act and Geographical Indications Act.
3.57 The Committee after taking into account the views of the Ministry decided to
recommend the following amendments to the amendments proposed in the Bill:

Lok Sabha Committee
The Patents Act, (A) In section 120, for the words (A) In section 120, for the
1970 "he shall be punishable with fine words, “he shall be punishable
which may extend to one lakh with fine which may extend to
rupees", the words "he shall pay, one lakh rupees”, the words “he
by way of penalty which may shall be liable to penalty which
extend to ten lakh rupees, and in may extend to ten lakh rupees,
case of the continuing claim, a and in case of the continuing
further penalty of one thousand claim, a further penalty of one
rupees for every day after the first thousand rupees for every day
during which such claim after the first during which such
continues" shall be substituted. claim continues” shall be
substituted.
291
(B) Section 121 shall be (B) Section 121 shall be
omitted. omitted.
(C) In section 122,— (C) In section 122,-

(i) in sub-section (1), for the (i) in sub-section (1), for the
long line, the following long line long line, the following long line
shall be substituted, namely:—
shall be substituted, namely:-
"he shall pay, by way of penalty “he shall be liable to penalty
which may extend to one lakh which may extend to one lakh
rupees, and in case of the rupees, and in case of the
continuing refusal, a further continuing refusal or failure, a
penalty of one thousand rupees further penalty of one thousand
for every day after the first during
rupees for every day after the
which such refusal continues.";
first during which such refusal or
failure continues.”;
(ii) in sub-section (2), for the (ii) in sub-section (2), for the
words "he shall be punishable words, “he shall be punishable
with imprisonment which may with imprisonment which may
extend to six months, or with fine, extend to six months, or with
or with both", the words "he shall
fine, or with both”, the words “he
be punishable with penalty which
shall not be less than twenty-five shall be liable to penalty a sum
lakh rupees" shall be substituted. equal to one half per cent. of
the total sale or turnover, as
the case may be, of business
or of the gross receipts in
profession as computed in the
audited accounts of such
person, or a sum equal to five
crore rupees, whichever is
less” shall be substituted.
(D) In section 123, for the (D) In section 123, for the
words "he shall be punishable
words, “he shall be punishable
with fine which may extend to one
lakh rupees in the case of a first with fine which may extend to
offence and five lakh rupees in one lakh rupees in the case of a
case of a second or subsequent first offence and five lakh rupees
offence", the words "he shall pay, in case of a second or
by way of penalty, which may subsequent offence”, the words
extend to five lakh rupees, and in “he shall be liable to penalty,
case of the continuing default, a which may extend to five lakh
further penalty of one thousand
rupees, and in case of the
rupees for every day after the first
during which such default continuing default, a further
continues" shall be substituted. penalty of one thousand rupees
292
for every day after the first
during which such default
continues” shall be substituted.”.
inserted, namely:— following sections shall be
inserted, namely:-
"124A. Adjudication of “124A. Adjudication of penalties.
penalties.— - The Controller may, by an
(1) The Controller may, by an order, authorise an officer
order, impose penalty on a referred to in section 73, to be
person stating therein any
the adjudicating officer for
contravention or default under the
provisions of this Act, in the holding an inquiry and impose
manner as may be prescribed. penalty under the provisions
of this Act, in the manner as
(2) The Controller shall, before may be prescribed, after
imposing any penalty, give a giving the person concerned a
reasonable opportunity of being reasonable opportunity of
heard to the person who is in being heard.
default.
124B. Appeal.- (1) Whoever
(3) Where the person fails to aggrieved by an order of the
comply with the order made adjudicating officer under
under sub-section (1), within a section 124A may prefer an
period of ninety days from the appeal to the appellate
date of the receipt of the order, authority, who shall be an
the person shall be punishable officer at least one rank above
with imprisonment for a term the adjudicating officer, within
which may extend to one year, or a period of sixty days from the
with fine which shall not be less date of receipt of the order, as
than twenty-five thousand rupees, the Central Government may
but which may extend to five lakh by notification authorise in
rupees, or with both.". this behalf.
(2) Every appeal under this
section shall be preferred in
be prescribed,
after the expiry of the period
of sixty days if the appellant
satisfies the appellate
authority that he had
sufficient cause for not
preferring the appeal within
that period.
(4) No appeal shall be
disposed of unless the
appellant has been given a
293
being heard.
referred to in sub-section (1)
shall dispose of the appeal
within sixty days from the
date of filing the appeal.
contained in this Act, if the
person fails to comply with
the order of the adjudicating
officer under section 124A or
the order of the appellate
authority under this section,
as the case may be, within
ninety days of such order, he
shall, in addition to the
penalty, be punishable with
fine of one lakh rupees or
which may extend to one year,
or with both.".
(F) In section 159, in sub- (F) In section 159, in sub-section

section (2), after clause (xiii), the (2), after clause (xiii), the
following clause shall be inserted, following clauses shall be
namely:— inserted, namely:-
"(xiiia) the manner of imposing “(xiiia) the manner of imposing
penalty under sub-section (1) of penalty under section 124A;
section 124A;". (xiiib) the form and manner of
section (2) of section 124B;”.
19. Amendments proposed to The Marine Products Export Development Authority

Act, 1972
“In the last meeting, the Committee had given to us four suggestions. The first set of
suggestions was, wherever we have introduced penalty as against fine or
294
imprisonment, there should be an adjudication mechanism which should be laid down
as part of the Bill. In all the four Acts, this was given. We have laid down the
mechanism……..”
3.60 Accordingly, the provisions, as amended, by the Joint Committee have been shown below in
Tabular form:

The Marine
Products Export xxx xxx xxx xxx xxx xxx
Development
Authority Act, "24. Penalties for obstructing a “24. Penalties for obstructing a
1972 member or officer of Authority member or officer of Authority in
in the discharge of his duties discharge of his duties and for
and for failure to produce failure to produce books and
books and records.—Any records.— Any person who-
person who—
(a) obstructs any member (a) obstructs any member
authorised by the Chairman in authorised by the Chairman in
writing or any officer or other writing or any officer or other
employee of the Authority employee of the Authority
authorised by it in this behalf or authorised by it in this behalf or
any person authorised in this any person authorised in this
behalf by the Central behalf by the Central Government
Government or by the or by the Authority, in the exercise
Authority, in the exercise of of any power conferred, or in the
any power conferred, or in the discharge of any duty imposed,
discharge of any duty imposed, on him by or under this Act, shall
on him by or under this Act, be punishable with imprisonment
shall be punishable with for a term which may extend to six
imprisonment for a term which months, or with fine which may
may extend to six months, or extend to one thousand rupees,
with fine which may extend to or with both;
one thousand rupees, or with
both;
(b) having control over or (b) having control over or custody
custody of any account book or of any account book or other
other record, fails to produce record, fails to produce such book
such book or record when or record when required to do so
required to do so by or under by or under this Act, shall be
this Act, shall be liable to pay liable to penalty which may
penalty which may extend to extend to ten thousand rupees.
295
ten thousand rupees.
25. Other penalties.- Whoever 25. Other penalties.- Whoever

contravenes or attempts to contravenes or attempts to
contravene or abets the contravene or abets the
contravention of the provisions contravention of the provisions of
of this Act or of any rules made this Act or of any rules made
provisions, punishment for the
contravention whereof has provisions, punishment or
been provided for in sections penalty for the contravention
20, 23 and 24, shall be liable to whereof has been provided for in
pay a penalty not less than ten sections 20, 23 and 24, shall be
thousand rupees, or not liable to penalty not less than ten
exceeding an amount thousand rupees, or not
equivalent to the value of exceeding an amount equivalent
goods, whichever is higher, in
to the value of goods, whichever
respect of which such order
has been made, and in case of is higher, in respect of which such
a continuing contravention as contravention has been made,
aforesaid, a penalty of not less and in case of a continuing
than fifty thousand rupees, or contravention as aforesaid, a
not exceeding an amount penalty of not less than fifty
equivalent to twice the value of thousand rupees, or not
goods, whichever is higher, in exceeding an amount equivalent
respect of which such order to twice the value of goods,
has been made.".
whichever is higher, in respect of
which such contravention has
been made.
25A. Adjudication of penalties.-

(1) For the purposes of
adjudging penalties under sub-
section 23, clause (b) of section
24 and section 25, the
Chairman shall appoint the
Secretary to the Authority or
any other officer authorised by
the Central Government, as the
case may be, to be an
adjudicating officer for holding
an inquiry and impose penalty
under the provisions of this
Act, in the manner as may be
prescribed, after giving the
296
person concerned a reasonable
(2) Whoever is aggrieved by
any order of the adjudicating
officer may prefer an appeal to
the Chairman, within a period of
receipt of such order in such
form and manner as may be
prescribed.
satisfies the Chairman that he
had sufficient cause for not
preferring the appeal within that
period.
of unless the appellant has
been given a reasonable
within sixty days from the date
of filing.
if not paid, may be recovered
as an arrear of land revenue.”.
(D) In section 33, in sub-section
(2), after clause (q), the
inserted, namely:-
“(qa) the manner of
holding inquiry and
25A;
(qb) the form and manner
of preferring appeal
under sub-section (2) of
section 25A;”.
297
20. Amendments proposed to The High Denomination Bank Notes
(Demonetisation) Act, 1978
3.61 The Committee observed that during briefing by the Department of Economic Affairs,
Ministry of Finance on the proposed amendments, the Committee asked the Ministry to
examine the feasibility of repealing the High Denomination Bank Notes (Demonetisation)
Act, 1978. During Clause by Clause consideration, the Ministry agreed with the suggestion
of the Committee for repeal of the Act.

The High In section 10,—

Denomination (i) in sub-section (1), for Repealed
Bank Notes the words "punishable with
(Demonetisation) imprisonment for a term which (Recommendation No. 63)
Act, 1978 may extend to three years, or
with fine, or with both", the
words "punishable with fine"
(ii) in sub-section (2), for
the words "punishable with
may extend to three years, or
(iii) in sub-section (3), for
the words "punishable with
may extend to three years, or
298
21. Amendments proposed to The Air (Prevention and Control of Pollution) Act,
1981
“हमारे चार एक्ट्स हैं, जजनमें 16 पीनल प्रोववजन्स में से 9 में डडकिलमनलाइजेशन का प्रस्ट्ताव रखा था।
माननीय सलमनत ने 6 सझ
ु ाव ददए थे और हमने 6 सझ
ु ावों को एक्सेप्ट कर ललया है ।”

The Air xxx xxx xxx xxx xxx xxx

(Prevention and
Control of (B) After section 21, the (B) After section 21, the
Pollution) Act, following section shall be following section shall be
1981 inserted, namely:— inserted, namely: -
"21A. Power to issue “21A. Power to issue guidelines. –

guidelines.—
(1) Notwithstanding (1) Notwithstanding anything
anything contained in section contained in this Act, the Central
21, the Central Government in Government in consultation with
consultation with the Central the Central Board, may, by
Board, may, by notification in notification in the Official Gazette,
the Official Gazette, issue issue guidelines on the matters
guidelines on the matters relating to the grant, refusal or
relating to the grant, refusal or cancellation of consent by any
cancellation of consent by any State Board to establish or operate
State Board to establish or any industrial plant in an air
operate any industrial plant in pollution control area, including the
an air pollution control area, mechanism for time bound
including the mechanism for disposal of the application made
time bound disposal of the under section 21 or validity period
application made under of such consent.
section 21 or validity period of
such consent. (Recommendation No. 64)
299
(2) Every State Board, in (2) Every State Board, in discharge
discharge of its functions for of its functions for the purposes of
the purposes of grant, refusal grant, refusal or cancellation of
or cancellation of consent consent under section 21 shall act
under section 21 shall act in in accordance with the guidelines
accordance with the guidelines issued under sub-section (1).”.
issued under sub-section (1).".
(C) For sections 37 to 41, (C) For sections 37 to 41, the
the following sections shall be following sections shall be
'37. Failure to comply with '37. Failure to comply with

provisions of section 22 or provisions of section 22 or
directions issued under section directions issued under section
31A.-(1) Whoever contravenes 31A.- (1) Whoever contravenes or
or does not comply with the does not comply with the
provisions of section 22 or provisions of sections 22 or
directions issued under section directions issued under section
31A, shall, in respect of each 31A, shall, in respect of each such
such contravention or non- contravention, be liable to penalty
compliance, be liable to pay which shall not be less than ten
penalty which shall not be less thousand rupees, but which may
than ten thousand rupees, but extend to fifteen lakh rupees.
which may extend to fifteen
lakh rupees.
continues contravention or (2) Where any person continues
non-compliance under sub- contravention under sub-section
section (1), he shall be liable to (1), he shall be liable to additional
pay an additional penalty of penalty of ten thousand rupees
ten thousand rupees every day for every day during which such
during which such contravention continues.
38. Penalties for certain

acts.—(1) Whoever— 38. Penalties for certain acts. – (1)
(a) destroys, pulls down, Whoever-
removes, injures or defaces (a) destroys, pulls down, removes,
any pillar, post or stake fixed in injures or defaces any pillar, post
the ground or any notice or or stake fixed in the ground or any
other matter put up, inscribed notice or other matter put up,
or placed, by or under the inscribed or placed, by or under
authority of the Board; the authority of the Board;
(b) obstructs any person
acting under the orders or (b) obstructs any person acting
directions of the Board from under the orders or directions of
exercising his powers and the Board from exercising his
performing his functions under powers and performing his
this Act; functions under this Act;
300
(c) damages any works or
property belonging to the (c) damages any works or
Board; property belonging to the Board;
(d) fails to furnish to the
Board or any officer or other (d) fails to furnish to the Board or
employee of the Board any any officer or other employee of
information required by the the Board any information
Board or such officer or other required by the Board or such
employee for the purposes of officer or other employee for the
this Act; purposes of this Act;
(e) fails to intimate the
occurrence of the emission of (e) fails to intimate the occurrence
air pollutants into the of the emission of air pollutants
atmosphere in excess of the into the atmosphere in excess of
standards laid down by the the standards laid down by the
State Board or the State Board or the apprehension
apprehension of such of such occurrence, to the State
occurrence, to the State Board Board and other prescribed
and other prescribed authorities or agencies as
authorities or agencies as required under sub-section (1) of
required under sub-section (1) section 23;
of section 23;
(f) fails in giving any
information which he is (f) fails in giving any information
required to give under this Act, which he is required to give under
makes a statement which is this Act, makes a statement which
false in any material particular, is false in any material particular,
shall be liable to pay penalty shall be liable to penalty which
which shall not be less than shall not be less than ten
ten thousand rupees, but thousand rupees, but which may
which may extend to fifteen extend to fifteen lakh rupees.
lakh rupees.
continues contravention or (2) Where any person continues
non-compliance under sub- contravention under sub-section
section (1), he shall be liable to (1), he shall be liable to additional
pay an additional penalty of penalty of ten thousand rupees for
ten thousand rupees every day every day during which such
during which such contravention continues.
38A. Penalty for contravention
by Government Department.— 38A. Penalty for contravention by
(1) Where contravention of any Government Department.- (1)
provision of this Act has been Where contravention of any
committed by any Department provision of this Act has been
of the Central Government or committed by any Department of
the State Government, the the Central Government or the
Head of the Department shall State Government, the Head of the
be liable to pay the penalty Department shall be liable to
301
equal to one month of his penalty equal to one month of his
basic salary: basic salary:
liable for such contravention, if Provided that he shall not be liable
he proves that the for such contravention, if he proves
contravention was committed that the contravention was
without his knowledge or committed without his knowledge
instructions or that he or instructions or that he exercised
exercised all due diligence to all due diligence to prevent such
prevent such contravention. contravention.
(2) Where any contravention under
sub-section (1) is attributable to
than the Head of the any neglect on the part of, any
Department, the officer shall officer, other than the Head of the
be liable to pay the penalty Department, the officer shall be
equal to one month of his liable to penalty equal to one
basic salary: month of his basic salary:

liable for the contravention, if Provided that he shall not be liable
he proves that he exercised all for the contravention, if he proves
due diligence to avoid such that he exercised all due diligence
contravention. to avoid such contravention.

(2) Where any contravention under
sub-section (1) is attributable to
any neglect on the part of, any
officer, other than the Head of the
liable to penalty equal to one
liable to penalty equal to one

Provided that he shall not be liable
liable for the contravention, if
for the contravention, if he proves
he proves that he exercised all
that he exercised all due diligence
due diligence to avoid such
to avoid such contravention.
contravention.
39. Penalties for

39. Penalties for contravention of
contravention of certain
certain provisions of this Act. - If
provisions of this Act.—If any
any person contravenes any of the
person contravenes any of the
provisions of this Act or any order
provisions of this Act or any
or direction issued thereunder, for
order or direction issued
which no penalty has been
thereunder, for which no
provided for in this Act, shall be
penalty has been provided for
liable to penalty which shall not be
302
in this Act, shall be liable to less than ten thousand rupees, but
pay the penalty which shall not which may extend to fifteen lakh
be less than ten thousand rupees, and where such
rupees, but which may extend contravention continues, he shall
to fifteen lakh rupees, and be liable to additional penalty
where such contravention which may extend to ten thousand
continues, he shall be liable to rupees for every day during which
pay an additional penalty such contravention continues.
thousand rupees every day
during which such
contravention continues
39A. Adjudicating officer.—(1) 39A. Adjudicating officer. - (1) The

The Central Government, for Central Government, for the
the purposes of determining purposes of determining the
the penalties under sections penalties under sections 37, 38,
37, 38 and 39, shall appoint an 38A and section 39, shall appoint
officer not below the rank of an officer not below the rank of
Joint Secretary to the Joint Secretary to the Government
Government of India or a of India or a Secretary to the State
Secretary to the State Government to be the adjudicating
Government to be the officer, to hold an inquiry and to
adjudicating officer, to hold an impose the penalty in the manner,
inquiry and to impose the as may be prescribed:
be prescribed:
Government may appoint as Government may appoint as many
many adjudicating officers as adjudicating officers as may be
may be required. required.
circumstances of the case to circumstances of the case to give
give evidence or to produce evidence or to produce any
any document, which in the document, which in the opinion of
opinion of the adjudicating the adjudicating officer, may be
officer, may be useful for or useful for or relevant to the
relevant to the subject-matter subject-matter of the inquiry and if,
of the inquiry and if, on such on such inquiry, he is satisfied that
inquiry, he is satisfied that the the person concerned has
person concerned has contravened the provisions of this
contravened the provisions of Act, he may determine such
this Act, he may determine penalty as he thinks fit under the
such penalty as he thinks fit in provisions of sections 37, 38, 38A
accordance with the provisions or 39, as the case may be:
of sections 37, 38 or 39, as the
case may be:
303
Provided that no such penalty Provided that no such penalty shall
shall be imposed without giving be imposed without giving the
the person concerned an person concerned a reasonable
opportunity of being heard in opportunity of being heard.
the matter.
(3) The amount of penalty (3) The amount of penalty
imposed under the provisions imposed under the provisions of
of sections 37, 38 and 39, shall sections 37, 38, 38A and 39, shall
be in addition to the liability to be in addition to the liability to pay
pay relief or compensation relief or compensation under
under section 15 read with section 15 read with section 17 of
section 17 of the National the National Green Tribunal Act,
Green Tribunal Act, 2010 (19 2010 (19 of 2010).
of 2010).
39B. Appeal.—(1) Any person 39B. Appeal. - (1) Whoever

aggrieved by the order passed aggrieved by the order passed by
by the adjudicating officer the adjudicating officer under
under sections 37, 38 or 39, sections 37, 38, 38A or 39, may
may prefer an appeal to the prefer an appeal to the National
National Green Tribunal Green Tribunal established under
established under section 3 of section 3 of the National Green
the National Green Tribunal Tribunal Act, 2010 (19 of 2010).
Act, 2010 (19 of 2010).
(2) Every appeal under sub- (2) Every appeal under sub-section
section (1) shall be filed within (1) shall be filed within sixty days
sixty days from the date on from the date on which the copy of
which the copy of the order the order made by the adjudicating
made by the adjudicating officer is received by the aggrieved
officer is received by the person.
aggrieved person.
(3) The National Green (3) The National Green Tribunal

Tribunal may, after giving the may, after giving the parties to the
parties to the appeal an appeal an opportunity of being
opportunity of being heard, heard, pass such order as it thinks
pass such order as it thinks fit, fit, confirming, modifying or setting
confirming, modifying or setting aside the order appealed against.
against.
(4) Where an appeal is (4) Where an appeal is preferred
preferred against any order of against any order of the
the adjudicating officer under adjudicating officer under sub-
sub-section (1), it shall not be section (1), it shall not be
entertained by the Tribunal entertained by the Tribunal unless
unless the person has the person has deposited with the
deposited with the Tribunal ten Tribunal ten per cent. of the
per cent. of the amount of the amount of the penalty imposed by
penalty imposed by the the adjudicating officer.
304
39C. Penalty amount to be 39C. Penalty amount to be
credited to Environmental credited to Environmental
Protection Fund.—Where an Protection Fund. - Where an
adjudicating officer imposes adjudicating officer imposes
penalty or additional penalty, penalty or additional penalty, as
as the case may be, under the case may be, under sections
sections 37, 38 or 39, the 37, 38, 38A or 39, the amount of
amount of such penalty shall such penalty shall be credited to
be credited to the the Environmental Protection Fund
Environmental Protection Fund established under section 16 of the
established under section 16 of Environment (Protection) Act, 1986
the Environment (Protection) (29 of 1986).
Act, 1986 (29 of 1986). (Recommendation No. 68)
22. Amendments proposed to The National Bank for Agriculture and Rural
Development Act, 1981
“िस दो-तीन सेक्शंस ही हैं। वे भी ररपेदटदटव ही हैं। एक के िारे में मैं िता ही चक
ु ा हूं। अगला अगर हम
दे खें, तो वह subject to Sub-section 3 का है , जो कक अभी लॉ लमननस्ट्री ने ओपाइन ककया है कक it
is superfluous. It is a similar change in the case of BICGC....िाकी सि एक्सेप्टे ड है ।
आपके सभी सुझाव एक्सेप्टे ड हैं। We have accepted everything...... we will remove it. On
the issue of principal civil court, we will seek the advice of the Ministry of Law.”
3.67 In view of the submissions made by the Department, the Committee after deliberating
on the amendments proposed in the Bill to the National Bank for Agriculture and Rural
Development Act, 1981 agreed to the amendment proposed to the Act in the Bill, as
introduced with minor changes in the proviso to sub-section (4) and sub-section (6) of
Section 56, as mentioned below:

Lok Sabha Committee
The National Bank In section 56, for sub-section (2), In section 56, for sub-section (2),
for Agriculture and
305
Rural Development the following sub-sections shall the following sub-sections shall
Act, 1981 be substituted, namely:— be substituted, namely:-
(4) Any penalty imposed by the (4) Any penalty imposed by the
National Bank under this section National Bank under this section
shall be payable within a period shall be payable within a period
of fourteen days from the date on of fourteen days from the date on
which notice issued by the which notice issued by the
the person and, in the event of
failure of the person to pay the the person and, in the event of
sum within such period, may be failure of the person to pay the
levied on a direction made by the sum within such period, may be
principal civil court having levied on a direction made by the
jurisdiction in the area where the principal civil court having
person is situated: jurisdiction in the area where the
person is situated:
Provided that no such direction Provided that no such direction
shall be made to the court by the shall be made except on an
National Bank or by any officer application made to the court by
authorised by the National Bank the National Bank or by any
in this behalf. officer authorised by the National
xxx xxx xxx Bank in this behalf.
xxx xxx xxx
(6) No complaint shall be filed (6) No complaint shall be filed
against any person in any court against any person in any court
in respect of any contravention or relating to any contravention or
default in respect of which any default in respect of which any
penalty has been imposed by penalty has been imposed by the
the National Bank under sub- National Bank under sub-section
section (2). (2).
306
23. Amendments proposed to The Spices Board Act, 1986
“The manner of imposing a penalty under sub-section (1) in the manner of an appeal
under sub-section (2) of Section 24(b).
In the Spices Board Act, 1986, the suggestion was for adjudication of penalties. That
is the one we have brought in as a new section…….
section 30a, subsection 1 – for the purpose of adjudicating the penalties under
section 26, 27, 29, the purpose of adjudicating the penalties under sections 26, 27,
29, and 30, the Secretary, Spices Board shall appoint an officer not below the rank of
Director in Spices Board or any other officer authorised by the Central Government
as the case may be, to be an adjudicating officer for holding an inquiry in the
prescribed manner after giving any person concerned an opportunity of being heard
for the purpose of imposing any penalty.
sub-section (2): "Whoever is aggrieved by any order of the adjudicating officer may
prefer an appeal to the Secretary, Spices Board, within a period of 60 days from the
date of receipt of such order, in such form and order as may be
prescribed………लास्ट सब-सेक्शन 4 हटा दें गे।
In section 27, in the long line, for the words “imprisonment which may extend to six
months, or with fine which may extend to six months, or with fine which may extend
to one thousand rupees, or with both”, we had proposed the words “penalty which
may extend to fifty thousand rupees and for subsequent contravention…”. We will
have to change the word ‘offence’ with contravention.
The Committee guided that we should try to bring in some consistency across the
Board. Section 38, 39, and 40 are being omitted. We are bringing back section 41(1)
with the guidance of the Committee received in the last meeting. We are bringing
back section 41 except for “punishable with imprisonment for a term which may
extend to six months or with fine which may extend to five thousand rupees or with
both”. The words “liable to pay penalty which may extend to fifty thousand rupees”
shall be substituted. With these changes, we propose to retain the section……..We
are retaining sections 41 and 42 with changes.”
307
Lok Sabha Committee
The Spices Board (A) In section 26, for the words

Act, 1986 “punishable with fine which
may extend to five hundred
rupees”, the words “liable to
fifty thousand rupees and for
subsequent failure, penalty
(A) In section 27, in the long (B) In section 27, in the long
line, for the words "imprisonment line, for the words “punishable
which may extend to six months, with imprisonment which may
or with fine which may extend to extend to six months or with fine
one thousand rupees, or with
both", the words "penalty which
may extend to fifty thousand thousand rupees, or with both”,
rupees and for subsequent the words “liable to penalty which
offence penalty which may may extend to fifty thousand
extend to one lakh rupees" shall rupees and for subsequent
be substituted. contravention, penalty which
may extend to one lakh rupees”
(B) Section 28 shall be (C) Section 28 shall be

omitted. omitted.
(D) In section 29, for the

(C) In section 29, for the
words, “punishable with
words "imprisonment for a term
which may extend to one year, imprisonment for a term which
or with fine which may extend to may extend to one year, or with
one thousand rupees, or with fine which may extend to one
both", the words "penalty which thousand rupees, or with both”,
may extend to fifty thousand the words “liable to penalty which
rupees and for subsequent may extend to fifty thousand
offence penalty which may rupees and for subsequent
extend to one lakh rupees" shall contravention, penalty which
be substituted. may extend to one lakh rupees”
308
(D) In section 30, for the (E) In section 30, for the words,
words "imprisonment which may “punishable with imprisonment
extend to six months, or with fine which may extend to six months,
which may extend to one or with fine which may extend to
thousand rupees, or with both one thousand rupees, or with both
and in the case of a continuing and in the case of a continuing
contravention with an additional contravention with an additional
rupees for every day during which
continues after conviction for the such contravention continues
first such contravention", the after conviction for the first such
words "penalty which may contravention”, the words “liable
extend to fifty thousand rupees to penalty which may extend to
and for subsequent offence, fifty thousand rupees and for
penalty which may extend to one subsequent contravention,
lakh rupees" shall be substituted. penalty which may extend to one
lakh rupees” shall be substituted.
(F) After section 30, the

inserted, namely:-
“30A. Adjudication of penalties.
- (1) For the purposes of
adjudging the penalties under
sections 26, 27, 29 and 30, the
Secretary to the Board shall
appoint an officer not below the
rank of Director in the Board or
any other officer authorised by
the Central Government, as the
case may be, to be an
adjudicating officer for holding
an inquiry and to impose
penalty in the manner as may
be prescribed, after giving any
person concerned a reasonable
(2) Whoever is aggrieved by
any order of the adjudicating
officer may prefer an appeal to
the Secretary to the Board,
within a period of sixty days
from the date of receipt of such
309
order in such form and manner
satisfies the Secretary to the
Board that he had sufficient
cause for not preferring the
appeal within that period.
filing.
if not paid, may be recovered
as an arrear of land revenue.”.
(G) In section 38, in sub-section
(2), after clause (m), the
inserted, namely:-
“(ma) the manner of holding
inquiry and imposing
penalty under sub-section
(1) of section 30A;
(mb) the form and manner of
section (2) of section 30A.”.
310
24. Amendments proposed to The Environment (Protection) Act, 1986
3.72 In view of the submissions made by the Ministry, the Committee decided that the
above said amendment may be incorporated in the Bill. Other amendments proposed in the
Bill to the Act were agreed to by the Committee.

Act in the Bill as introduced amendments adopted by the
in Lok Sabha Committee
The Environment
(Protection) Act, xxx xxx xxx xxx xxx xxx
1986
(C) After section 14, the (C) After section 14, the
following sections shall be following sections shall be
inserted, namely:—
"14A. Penalty for contravention “14A. Penalty for contravention of
of section 7 or section 8.—(1) If section 7 or section 8. - (1) If any
any person, contravenes person, contravenes provisions
provisions of section 7 or of section 7 or section 8 or the
section 8 or the rules made rules made thereunder, he shall
thereunder, he shall be liable to
be liable to penalty in respect of
pay the penalty in respect of
each such contravention, which
each such contravention or non-
compliance, which shall not be shall not be less than one lakh
less than one lakh rupees but rupees but which may extend to
which may extend to fifteen lakh fifteen lakh rupees.
rupees.
(2) Where any person continues (2) Where any person continues
contravention or non- contravention under sub-section
compliance under sub-section (1), he shall be liable to
(1), he shall be liable to pay an additional penalty of fifty
additional penalty of fifty
during which such contravention during which such contravention
continues. continues.
14B. Penalty for contravention 14B. Penalty for contravention of

of sections 9, 10 and 11.—(1) If sections 9, 10 and 11. - (1) If any
any person contravenes or does person contravenes or does not
not comply with the provisions comply with the provisions of
311
of section 9, section 10 or section 9, section 10 or section
section 11 or orders or 11 or orders or directions issued
directions issued under those under those sections, he shall be
sections, he shall be liable to liable to penalty in respect of
pay penalty in respect of each
each such contravention which
such contravention or non-
compliance which shall not be shall not be less than ten
less than ten thousand rupees thousand rupees but which may
but which may extend to five extend to five lakh rupees.
lakh rupees.
(2) Where any person (2) Where any person continues

continues contravention or non- contravention under sub-section
(1), he shall be liable to pay an additional penalty of ten
additional penalty of ten thousand rupees for every day
continues.". continues.”.
(D) For sections 15 to 17, the (D) For sections 15 to 17, the
following shall be substituted, following shall be substituted,
namely:— namely: -
'15. Penalty for contravention of
provisions of Act, rules, orders ‘15. Penalty for contravention of
and directions.—(1) Where any provisions of Act, rules, orders
person contravenes or does not and directions. - (1) Where any
comply with any of the person contravenes or does not
provisions of this Act or the comply with any of the provisions
rules made or orders or of this Act or the rules made or
directions issued thereunder for orders or directions issued
which no penalty is provided, he
thereunder for which no penalty
shall be liable to pay the penalty
in respect of each such is provided, he shall be liable to
contravention or non- penalty in respect of each such
compliance which shall not be contravention which shall not be
less than five thousand rupees less than ten thousand rupees
but which may extend to fifteen but which may extend to fifteen
lakh rupees. lakh rupees.
(2) Where any person continues (2) Where any person continues
contravention or non- contravention under sub-section
(1), he shall be liable to pay an additional penalty of ten
additional penalty of ten
during which such contravention during which such contravention
continues. continues.
312
15A. Penalty for contravention 15A. Penalty for contravention by
by companies.—(1) Where any companies. - (1) Where any
company contravenes any of
company contravenes any of the
the provisions of this Act, the
company shall be liable to pay provisions of this Act, the
the penalty for each such company shall be liable to
contravention which shall not be penalty for each such
less than one lakh rupees but contravention which shall not be
which may extend to fifteen lakh less than one lakh rupees but
rupees. which may extend to fifteen lakh
rupees.
(2) Where any company (2) Where any company
continues contravention or non- continues contravention under
compliance under sub-section sub-section (1), the company
(1), the company shall be liable
shall be liable to additional
to pay an additional penalty of
one lakh rupees for every day penalty of one lakh rupees for
during which such contravention every day during which such
continues. contravention continues.
15B. Penalty for contravention 15B. Penalty for contravention by

by Government Department.— Government Department. – (1)
(1) Where contravention of any Where contravention of any of
of the provisions of this Act has the provision of this Act has been
been committed by any committed by any Department of
Department of the Central the Central Government or the
Government or the State
State Government, the Head of
the Department shall be liable to
Department shall be liable to
pay the penalty equal to one penalty equal to one month of his
month of his basic salary: basic salary:
Provided that he shall not Provided that he shall not
be liable for such contravention, be liable for such contravention,
if he proves that the if he proves that the
contravention was committed contravention was committed
without his knowledge or without his knowledge or
instructions or that he exercised instructions or that he exercised
all due diligence to prevent such all due diligence to prevent such
contravention. contravention.
(2) Where any contravention (2) Where any contravention
under sub-section (1) is under sub-section (1) is
attributable to any neglect on attributable to any neglect on the
the part of, any officer, other part of, any officer, other than the
Head of the Department, the
officer shall be liable to penalty
liable to pay the penalty equal
to one month of his basic equal to one month of his basic
salary: salary:
Provided that he shall not Provided that he shall not be
be liable for the contravention, if liable for the contravention, if he
313
he proves that he exercised all proves that he exercised all due
due diligence to avoid such diligence to avoid such
contravention. contravention.
15C(4) The adjudicating 15C(4) The adjudicating officer,

officer, while adjudicating the while adjudicating the quantum of
quantum of penalty under sub- penalty under sub-section (3),
section (3), shall have due shall have due regard to the
regard to the following, following, namely: -
namely:—
(f) any such other factor, as (f) such other factor, as may be
may be prescribed. prescribed.
xxxxx xxxxx
15D. Appeal.—( 1) Any person 15D. Appeal. - (1) Whoever
aggrieved by the order, passed aggrieved by the order, passed
by the adjudicating officer under by the adjudicating officer under
this Act may prefer an appeal to this Act may prefer an appeal to
the National Green Tribunal the National Green Tribunal
the National Green Tribunal Act,
2010 (19 of 2010). the National Green Tribunal Act,
2010 (19 of 2010).
xxx xxx xxx (Recommendation No. 76)
xxx xxx xxx
(E) After Chapter III, the

following Chapter shall be
inserted, namely: -
CHAPTER IIIA FUND,

“CHAPTER IIIA
ACCOUNTS AND AUDIT
FUND, ACCOUNTS AND AUDIT
16(3) The Fund shall be 16(3) The Fund shall be applied
applied for—
for –
(a) the promotion of
awareness, education and (a) the promotion of awareness,
research for the protection of education and research for the
environment; protection of environment;
(b) the expenses for
(b) the expenses for achieving
achieving the objects and
purposes of the Air (Prevention the objects and for purposes of
and Control of Pollution) Act the Air (Prevention and Control of
314
1981 (14 of 1981), and this Act; Pollution) Act 1981(14 of 1981)
xxx xxx xxx and under this Act;
xxx xxx xxx
16B. Annual Report.- The 16B. Annual Report.- The Central
Central Government shall Government shall prepare its
prepare its annual report in annual report in relation to
relation to Environmental Environmental Protection Fund
Protection Fund giving a full giving a full account of its
account of its activities defined activities defined under this Act in
under this Act in such form, as such form, as may be prescribed,
may be prescribed, for each for each financial year during the
financial year during the previous financial year, and shall
previous financial year and be laid before each House of
forward a copy thereof, within Parliament along with audit
four months from the last date report given by the Comptroller
of the previous financial year, to and Auditor-General of India.”.
the Central Government which (Recommendation No. 77)
shall cause the annual report xxx xxx xxx
and the audit report given by
the Comptroller and Auditor-
General of India to be laid
before each House of
Parliament.”.
xxx xxx xxx
25. Amendments proposed to The National Housing Bank Act, 1987
3.74 The Committee observed that during briefing by the Department of Financial
Services, Ministry of Finance on the proposed amendments, a modification was suggested
by the Committee in the proposed new section 33C for examination by the Department.
“there is only one sub-Section in which the hon. Committee had suggested insertion
which is Section 33(c) in which the Committee had suggested that the auditors
should also be given and a reasonable opportunity of being heard.......So, we have
amended the Section. Now, we are saying: “Where any auditor fails to comply with
any direction given or order made by the National Housing Bank or the Reserve Bank
under Section 33, the Reserve Bank may, after giving a reasonable opportunity of
being heard to the auditor, remove or debar the auditor from exercising the duties as
auditor of any of the Reserve Bank regulated entities for a maximum period of three
years, at a time.” So, that we have changed”
315
amendment proposed by the Committee in new section 33C may be incorporated in the Bill.
The Committee agreed to the other amendments proposed to the Act by the Bill.

The National (A) After section 33B, the (A) After section 33B, the
Housing Bank Act, following section shall be following section shall be inserted,
1987 inserted, namely:— namely: —
"33C. Power to take action “33C. Power to take action
against auditors.—Where any
against auditors.-Where any
auditor fails to comply with any
auditor fails to comply with any
direction given or order made
by the National Housing Bank direction given or order made by
or the Reserve Bank under the National Housing Bank or the
section 33, the Reserve Bank Reserve Bank under section 33,
may, if satisfied, remove or the Reserve Bank may, after
debar the auditor from giving a reasonable opportunity
exercising the duties as auditor of being heard, remove or debar
of any of the Reserve Bank the auditor from exercising the
regulated entities for a
duties as auditor of any of the
maximum period of three
years, at a time.". Reserve Bank regulated entities
for a maximum period of three
years, at a time.”.
xxx xxx xxx
xxx xxx xxx
26. Amendments proposed to The Motor Vehicles Act, 1988
3.78 The Ministry submitted inter alia as under:-
“जजसमें आपने कुछ सुझाव ददए थे। उन सारे सुझावों को लमननस्ट्री ऑफ रोड रांसपोटष एंड हाइवेज़ ने
मान ललये हैं। अगर आप अनुमनत दें , तो मैं उनकी रीडडंग भी कर सकता हूाँ।”
316

The Motor Vehicles (A) In section 192A, in sub- (A) In section 192A, in sub-
Act, 1988 section (1), — section (1), —
(i) for the words “and a fine of (i) for the words “a fine of ten
ten thousand rupees”, the thousand rupees”, the words “a
words “or a fine of ten fine of ten thousand rupees, or
thousand rupees, or with both” with both” shall be substituted;
(ii) the proviso shall be omitted.
(ii) the proviso shall be omitted. xxxxxx
xxxxxx
(B) In section 200,— (B) In section 200, for sub-

(i) for the marginal section (1), the following sub-
heading, the following marginal section shall be substituted,
heading shall be substituted, namely: —
namely:—
"Compounding of offences."; “(1) Any offence whether
(ii) for sub-section (1), the committed before or after the
following sub-section shall be commencement of this Act
substituted, namely:— "(1) Any punishable under section 177,
offence whether committed section 177A, section 178, section
before or after the 179, section 180, section 181,
commencement of this Act, section 182, sub-section (1) or
punishable under section 177, sub-section (3) or sub-section (4)
section 177A, section 178, of section 182A, section 182B,
section 179, section 180, sub-section (1) or sub-section (2)
section 181, section of section 183, clause (c) of the
182, sub-section (1) or sub- Explanation to section 184,
section (3) or sub-section (4) of section 186, section 189, sub-
section 182A, section 182B, section (2) of section 190, section
sub-section (1) or sub-section 192, section 192A, sub-section (3)
(2) of section 183, section 184 of section 192B, section 194,
to the extent of use of section 194A, section 194B,
handheld communication section 194C, section 194D,
devices, section 186, section 194E, section 194F,
section 189, sub-section (2) section 196, section 198 and
of section 190, section 192, section 201, may, either before or
section 192A, sub-section (3) after the institution of the
317
of section 192B, section 194, prosecution, be compounded by
section 194A, section 194B, such officers or authorities and for
section 194C, section 194D, such amount as the State
section 194E, section 194F, Government may, by notification
section 196, section 198 and in the Official Gazette, specify in
section 201, may, either before this behalf.”.
or after the institution of the
prosecution, be compounded
by such officers or authorities (C) In section 215, in sub-section
and for such amount as the (3), the following proviso shall be
State Government may, by inserted, namely:-
Gazette, specify in this
behalf.". “Provided that where a State
(C) In section 215, in sub- Government has not
section (3), the following constituted the District Road
proviso shall be inserted, Safety Committee, the Central
namely:— Government may, by
"Provided that the Central Gazette, constitute a Committee
Government may, by for such District, consisting of
notification in the Official a Chairman and such other
Gazette, constitute District members as it considers
Road Safety Committee for necessary and on such terms
such district in such State, and conditions as it may
where the State Government determine.”.
has not constituted the
Committee, consisting of a (Recommendation No. 79)
Chairman and such other
members as it considers
necessary, and on such terms
and conditions as it may
determine.".
27. Amendments proposed to The Railways Act, 1989
3.81 The Bill seeks to substitute sub-section (2) of Section 144 as below:
"(2) No person shall be permitted to beg in any railway carriage or upon any part of
the railway."
3.82 In view of submission by the Ministry, the Committee agreed to the amendment
proposed in the Bill.
318
28. Amendments proposed to The Public Liability Insurance Act, 1991
3.83 In view of the submissions made by the Ministry during Clause by Clause
consideration, the Committee decided that the amendments proposed to the Act by the Bill,
as introduced, may be accepted. However, the Committee agreed to amend the proviso to
sub-section (2) of the proposed new section 15A so as to insert the word “reasonable”
therein to bring the provision in conformity with the principle of natural justice.
3.84 Accordingly, the provision, as amended, by the Joint Committee, has been shown

The Public
Liability Insurance xxx xxx xxx xxx xxx xxx
Act, 1991
(C) In section 4,— (C) In section 4, -
xxxxxx Xxxxxx
Provided that any owner Provided that any owner

handling any hazardous handling any hazardous
substance immediately before substance immediately before the
the commencement of the Jan commencement of the Jan
Vishwas (Amendment of Vishwas (Amendment of
Provisions) Act, 2022, shall Provisions) Act, 2023, shall take
take out such insurance policy out such insurance policy or
or policies as soon as may be policies as soon as may be and in
and in any case within a period any case within a period of one
of one year from the year from commencement of that
commencement of that Act."; Act.”;
xxxxx xxxxx
(E) In section 7, after sub- (E) In section 7, after sub-section

section (8), the following sub- (8), the following sub-section shall
section shall be inserted, be inserted, namely:—
namely:—
“(9) Where the environment is
"(9) Where the environment is affected or damaged due to
affected or damaged due to manufacture, processing,
manufacture, processing, treatment, package, storage,
treatment, package, storage, transportation, use, collection,
319
transportation, use, collection, destruction, conversion, transfer
destruction, conversion, or such other processes, of such
transfer or such other hazardous substance, the Central
processes, of such hazardous Government may, on an
substance, the Central application made by the Central
Government may, on an Pollution Control Board or the
application made by the State Pollution Control Board, as
Central Pollution Control Board the case may be, allocate the
or the State Pollution Control fund from the Environmental
Board, as the case may be, Relief Fund for restoration of the
allocate the fund for restoration damage so caused in the manner
of the damage so caused in as may be prescribed.”.
the manner as may be
prescribed.". (Recommendation No. 80)
xxxxx xxxxx
(G) For section 14, the (G) For sections 14 and 15, the
following section shall be following sections shall be
substituted, namely:— substituted, namely: —
"14. Penalty for “14. Penalty for contravention. —

contravention.—
(1) Where any person (1) Where any person

contravenes any of the contravenes any of the
provisions of sub-section (1), provisions of sub-section (1),
sub-section (2), sub-section sub-section (2), sub-section (2A)
(2A) or sub-section (2C) of or sub-section (2C) of section 4,
section 4, he shall be liable to he shall be liable to penalty
pay the penalty equal to the equal to the amount of annual
amount of annual premium for premium for insurance policy
insurance policy and may and may extend to twice the
extend to twice the amount of amount of such premium.
such premium.
xxxx
(2) Where contravention under
sub-section (1) continues, an (2) Where any person continues
additional penalty may be non-compliance under sub-
imposed by the adjudicating section (1), he shall be liable to
officer, which shall not exceed additional penalty to be imposed
the amount of premium to be by the adjudicating officer, which
paid, for each month or part shall not be less than ten
thereof during which the thousand rupees for every day
contravention continues.". during which such non-
For section 15, the following
sections shall be substituted, (3) Where any owner does not
320
namely:— comply with the direction issued
"15. Penalty for non- under section 9 or obstructs any
compliance of directions.—(1) person in discharge of his
Where any person does not functions under section 10 or
comply with any directions under sub-sections (1), (2) or (3)
issued under section 12, he of section 11, he shall be liable to
shall be liable to pay a penalty penalty which shall not be less
which shall not be less than ten than ten thousand rupees but
thousand rupees but which which may extend to fifteen lakh
may extend to fifteen lakh rupees.
rupees.
Where any person continues (4) Where any person continues
non-compliance under sub- non-compliance under sub-
section (1), he shall be liable to section (3), he shall be liable to
pay an additional penalty to be additional penalty of ten thousand
imposed by the adjudicating rupees for every day during which
officer, which shall not be less such non-compliance continues.
than ten thousand rupees for
every day during which such
non-compliance continues.
Where any owner does not
comply with the direction
issued under section 9 or
obstructs any person in
discharge of his functions
under section 10 or under sub-
sections (1), (2) or (3) of
section 11, he shall be liable to
pay penalty which shall not be
less than ten thousand rupees
but which may extend to fifteen
lakh rupees.
Where any person continues
section (3), he shall be liable to
pay an additional penalty of ten
during which such non-
15A. Adjudicating Officer.— 15A. Adjudicating Officer.- (1) The

(1) The Central Government, Central Government, for the
for the purposes of determining purposes of determining the
the penalties under sections 14 penalties under sections 14 or 15,
or 15, may appoint the District may appoint District Magistrate
Magistrate having jurisdiction having jurisdiction over the area
over the area or an officer not or an officer not below the rank of
below the rank of Director to Director to the Government of
the Government of India or an India or an officer not below the
321
officer not below the rank of rank of Joint Secretary to the
Joint Secretary to the State State Government, to be the
Government, to be the adjudicating officer, to hold an
adjudicating officer, to hold an inquiry in the manner, as may be
inquiry in the manner, as may prescribed and to impose the
be prescribed and to impose penalty:
the penalty:
Government may appoint as Government may appoint as
many adjudicating officers as many adjudicating officers as may
may be required. be required.

circumstances of the case to circumstances of the case to give
give evidence or to produce evidence or to produce any
any document, which in the document, which in the opinion of
opinion of the adjudicating the adjudicating officer, may be
officer, may be useful for, or useful for, or relevant to, the
relevant to, the subject-matter subject-matter of the inquiry and
of the inquiry and if, on such if, on such inquiry, he is satisfied
inquiry, he is satisfied that the that the person concerned has
person concerned has failed to failed to comply with the
comply with the provisions of provisions of sub-section (1), sub-
sub-section (1), sub-section section (2), sub-section (2A) or
(2), sub-section (2A) or sub- sub-section (2C) of section 4 and
section (2C) of section 4 and section 12, he may determine
section 12, he may determine such penalty as he thinks fit
such penalty as he thinks fit in under the provisions of sections
accordance with the provisions 14 and 15:
of sections 14 and 15:
Provided that no such penalty shall be imposed without
penalty shall be imposed giving the person concerned a
without giving the person reasonable opportunity of being
concerned an opportunity of heard.
being heard in the matter.
15B. Appeal.—(1) Any person 15B. Appeal.—(1) Whoever

aggrieved by the order, passed aggrieved by the order, passed by
by the adjudicating officer the adjudicating officer under
under sections 14 or 15, may section 15A, may prefer an
prefer an appeal to the appeal to the National Green
National Green Tribunal Tribunal established under
established under section 3 of section 3 of the National Green
322
the National Green Tribunal Tribunal Act, 2010 (19 of 2010).
Act, 2010 (19 of 2010).
(J) For section 17, the following (J) For section 17, the following
sections shall be substituted, sections shall be substituted,
namely:— namely: —
'17. Penalty for contravention ‘17. Penalty for contravention by

by Government Department.— Government Department. —
(1) Where contravention of any (1) Where contravention of any

provision of this Act has been provision of this Act has been
committed by any Department committed by any Department of
of the Central Government or the Central Government or State
the State Government, the Government, the Head of the
Head of the Department shall Department shall be liable to
penalty equal to one month of his
equal to one month of his basic
basic salary:
salary:
Provided that he shall Provided that he shall not be

not be liable for such liable for such contravention, if he
contravention, if he proves that proves that the contravention was
the contravention was committed without his knowledge
committed without his or instructions or that he
knowledge or instructions or exercised all due diligence to
that he exercised all due prevent such contravention.
diligence to prevent such
contravention.
(2) Where any contravention (2) Where any contravention

under sub-section (1) is under sub-section (1) is
attributable to any neglect on attributable to any neglect on the
the part of any officer, other part of, any officer, other than the
than the Head of the Head of the Department, he shall
Department, he shall be liable
be liable to penalty equal to one
to pay the penalty equal to one
Provided that he shall not

be liable for the contravention, Provided that he shall not be
if he proves that he exercised liable for the contravention, if he
all due diligence to avoid such proves that he exercised all due
contravention. diligence to avoid such
xxxxxxx contravention.
xxxxxxx
323
29. Amendments proposed to The Cable Television Networks (Regulation) Act,
1995
3.85 The Committee noted that during the briefing by the Ministry of Information and
Broadcasting on the proposed amendments, certain modifications were suggested by the
Committee in Section 16(1)(2)(3) and Section 22(2)(db) of the Cable Television Networks
(Regulation) Act, 1995.
“इसमें कमेटी की ररकमें डश

े न थी, सैक्शन 16 के सिसैक्शन (1)(2)(3) में थी।…………………
‘पननशेिल’ की जगह ‘लाएिल’ हो गया।”
3.87 The Official further stated that all the suggestions made by the Committee have been
accepted.

Act in the Bill as introduced amendments adopted by the
in Lok Sabha Committee
The Cable (A) For sections 16 to 18, (A) For CHAPTER IV, the
Television the following section shall be following CHAPTER shall be
Networks substituted, namely:— substituted, namely:-
(Regulation) Act,
1995 “CHAPTER IV
PENALTIES
"16. Penalty for contravention 16. Penalty for contravention of
of provisions of this Act.—(1) provisions of this Act. –
Whoever contravenes any of (1) Whoever contravenes any of
the provisions of this Act shall the provisions of this Act shall
be punishable,— be liable,-
(a) for the first offence, with (a) for the first contravention,
advisory, or censure, or with advisory, or censure, or
324
warning, or a penalty which warning, or a penalty which may
may extend to twenty extend to twenty thousand
thousand rupees, or with both; rupees, or with both;
(b) for every subsequent (b) for every subsequent

offence, with advisory, or contravention within a period
censure, or warning, or a of three years, with advisory, or
penalty which may extend to censure, or warning, or a
one lakh rupees, or with both; penalty which may extend to
one lakh rupees, or with both,
(c) for any violation
thereafter, by cancellation of by such designated officer, as
registration granted, for such may be prescribed.
period, by the designated
officer, as may be prescribed.
(2) The designated officer, may,
for the reasons to be recorded
(2) The designated officer, in writing, by order, impose
may, for the reasons to be penalty referred to in sub-
recorded in writing, by order, section (1):
impose penalty referred to in
sub-section (1):
Provided that in cases of
Provided that no such penalty more than three
shall be imposed without contraventions over a period
giving a reasonable of three years, the designated
opportunity of being heard. officer, in addition to penalty
referred to in sub-section (1),
may, for the reasons to be
recorded in writing, by order,
suspend or revoke the
registration granted:
Provided further that no

order by the designated
officer under this sub-section
shall be made without giving a
heard.
(3) Any person aggrieved (3) Whoever aggrieved by the

by any penalty imposed by order made under sub-section
order under sub-section (2), (2), may prefer an appeal to the
may prefer an appeal to the Secretary to the Government of
Secretary to the Government India or such other officer
of India or such other officer authorised by him:
authorised by him:
325
Provided that no such appeal shall be admissible after
appeal shall be admissible the expiry of thirty days from
after thirty days of imposition the date of receipt of such
of penalty: order:
Provided further that an Provided further that an

appeal may be entertained appeal may be entertained after
after the expiry of the period the expiry of the period of thirty
of thirty days, if he is satisfied days, if he is satisfied that the
that the appellant was appellant was prevented by
prevented by sufficient cause sufficient cause from preferring
from preferring the appeal in the appeal in time.”.
time.". (Recommendation No. 83)
30. Amendments proposed to The Trademarks Act, 1999
“सर, सेक्शन 107 में यह था कक जजसका रे ड माकष रजजस्ट्टडष न हो और इसको गलत रजजस्ट्टडष ककया
हुआ शो करे , तो हमने इसमें पेनल्टी लगाई थी। We had said again ‘not less than Rs. 25,000
may extend to Rs. 1 lakh.’
इसमें कमेटी की रे क्में डश

े न थी, the Committee said that Rs. 1 lakh is too less a limit for the
upper cap. So, we have revised it. Now, we have said: ‘If any person contravenes
any of the provisions of Sub-Section 1, he shall pay, by way of penalty, a sum equal
to one-half per cent of the total sales or turnover as the case may be in business or
gross receipts in the profession as computed in the audited accounts of such person
or a sum equal to Rs. 5 lakh, whichever is less.…………or he shall be liable to a
penalty of not less than Rs. 25,000 which may extent to Rs. 5 lakh.”
326
Lok Sabha Committee
The Trade Marks xxxxxx Xxxxxx

Act, 1999
(B) In section 107, in sub- (B) In section 107, in sub-section
section (2), for the words (2), for the words “punishable with
"punishable with imprisonment imprisonment for a term which
for a term which may extend to may extend to three years, or with
three years, or with fine, or with fine, or with both”, the words
both", the words "liable to a “liable to penalty of a sum
penalty of not less than twenty- equal to one half per cent of
five thousand rupees but which the total sales or turnover, as
may extend to one lakh rupees" the case may be, in business or
shall be substituted. of the gross receipts in
profession, as computed in the
lakhs rupees, whichever is
less”.
xxxxxx xxxxxx
(D) after section 112, the (D) after section 112, the
following section shall be following sections shall be
inserted, namely:— inserted, namely:—
"112A. Adjudication of “112A. Adjudication of

penalties.— penalties.— The Registrar
may, by an order, authorise an
(1) The Registrar may, by an officer referred to in section 3,
order, impose penalty on a to be adjudicating officer for
person for any contravention or holding an inquiry and impose
default, the manner and penalty under the provisions of
conditions of recovery of penalty this Act, in the manner as may
under the provisions of this Act be prescribed, after giving a
shall be such as may be reasonable opportunity of
prescribed. being heard.
(2) The Registrar shall, 112B. Appeal.— (1) Whoever

before imposing any penalty, aggrieved by an order of the
give a reasonable opportunity of adjudicating officer under
being heard to the person who is section 112A may prefer an
in default. appeal to the appellate
authority, who shall be an
327
(3) Where the person fails to officer at least one rank above
comply with the order made the adjudicating officer, within
under sub-section (1), within a a period of sixty days from the
period of ninety days from the date of receipt of the order, as
date of receipt of the order, he the Central Government may
shall be punishable with a fine of by notification authorise in this
one lakh rupees or imprisonment behalf.
one year, or with both.". (2) Every appeal under this
section shall be preferred in
be prescribed,

that period.


of filing the appeal.

person fails to comply with the
under section 112A or the
order of the appellate authority
under this section, as the case
may be, within ninety days of
such order, he shall, in addition
to the penalty, be punishable
with fine of one lakh rupees or
both.". [Reference para
3.56B]
328
(E) In section 140, for sub-
section (3), the following sub- (E) In section 140, for sub-section
section shall be substituted, (3), the following sub-section shall
namely:— be substituted, namely:-
"(3) The importer or his agent “(3) The importer or his agent
shall, within fourteen days, shall, within fourteen days,
comply with the requirement as comply with the requirement as
aforesaid, and if he fails to do so, aforesaid, and if he fails to do so,
he shall be liable to pay a he shall be liable to pay a penalty
penalty of ten thousand rupees: of ten thousand rupees:
Provided that the penalty Provided that the penalty

under this section shall be levied under this section shall be levied
by such authority as authorised and recovered by such authority
under the Customs Act, 1962 (52 under the Customs Act, 1962 (52
of 1962) for this purpose.". of 1962) for this purpose.”.
(F) In section 157, in sub- (F) In section 157, in sub-

section (2), after clause (xxxiii), section (2), after clause (xxxiii),
the following clause shall be the following clauses shall be
"(xxxiiia) the manner and “(xxxiiia) the manner of

conditions of recovery of penalty imposing penalty under section
under sub-section (1) of section 112A;
112A;".
(xxxiiib) the form and manner
of preferring appeal under sub-
section (2) of section 112B; ”.
31. Amendments proposed to The Geographical Indications of Goods (Registration

and Protection) Act, 1999
3.93 The Department submitted inter alia as under during Clause by Clause consideration
of amendments:
“चारों एक्ट्स में सेम चीज है । हमने चारों में सेम कफलॉसफी लगा दी है । इसमें जो सेक्शन 42 था,
उसमें कमेटी की रे म्में डश
े न थी।………. आगे अपीलेट अथॉररटी है । उसके िाद, कॉपी राइट एक्ट में
ऐसा कोई सजेशन नहीं था, हम सेक्शन को ऑलमट ही कर रहे थे।“
329

Lok Sabha Committee
The Geographical (A) After section 37, the (A) After section 37, the following
Indications of following section shall be section shall be inserted,
Goods inserted, namely:— namely:—
(Registration and
Protection) Act, "37A. Adjudication of “37A. Adjudication of
1999 penalties.—(1) The Registrar penalties.— The Registrar may,
may, by an order, impose by an order, authorise an
penalty, on a person for any officer referred to in section 3,
contravention or default under to be adjudicating officer for
the provisions of this Act, the holding an inquiry and impose
manner and conditions of penalty under the provisions of
recovery of penalty, shall be this Act, in the manner as may
such as may be prescribed. be prescribed, after giving a
(2) The Registrar shall, being heard.
before imposing any penalty,
give a reasonable opportunity of 37B. Appeal.— (1) Whoever
being heard to the person who is aggrieved by an order of the
in default. adjudicating officer under
section 37A may prefer an
(3) Where the person fails to appeal to the appellate
comply with the order made authority, who shall be an
under sub-section (1), within a officer at least one rank above
period of ninety days from the the adjudicating officer, within
date of receipt of the order, he a period of sixty days from the
shall be punishable with date of receipt of the order, as
imprisonment for a term which the Central Government may
may extend to one year, or with by notification authorise in this
fine which shall not be less than behalf.
twenty-five thousand rupees but
which may extend to five lakh (2) Every appeal under this
rupees, or with both.". section shall be preferred in
be prescribed,

330
that period.


of filing.

person fails to comply with the
under section 37A or the order
of the appellate authority under
this section, as the case may
be, within ninety days of such
order, he shall, in addition to
the penalty, be punishable with
fine of one lakh rupees or
both.". [Reference para 3.56B]
(B) In section 42, in sub- (B) In section 42, in sub-section

section (2), for the words (2), for the words “punishable with
"punishable with imprisonment imprisonment for a term which
for a term which may extend to may extend to three years, or with
three years, or with fine, or with fine, or with both”, the words
both", the words "liable to a “liable to penalty of a sum
penalty, of not less than twenty- equal to one half per cent of
five thousand rupees but which the total sales or turnover, as
may extend to one lakh rupees" the case may be, in business or
shall be substituted. of the gross receipts in
profession as computed in the
lakh rupees, whichever is less”
xxxxxxx xxxxxxx
331
(D) In section 87, in sub- (D) In section 87, in sub-section
section (2), after clause (o), the (2), after clause (o), the following
following clause shall be clauses shall be inserted,
inserted, namely:— namely:—
"(oa) the manner and conditions “(oa) the manner of holding
of recovery of penalty under sub- inquiry and imposing penalty
section (1) of section 37A;". under section 37A;
(ob) the form and manner of

section (2) of section 37B; ”.
32. Amendments proposed to The Information Technology Act, 2000
3.96 The Ministry submitted, inter alia, as under during Clause by Clause consideration of
amendments:
“इसमें वहां काफी डडटे ल में डडसकशन हुई है। हमारा जो नया डीपीडीपी बिल है , उससे भी हम इसको
एलाइन कर रहे हैं। वह जल्दी ही आने वाला है , कंसल्टे शन पूरा हो गया है । यह क्लॉज भी अगर हम दे खें
तो – it is ‘save as otherwise provided’ – यह एक सेववंग क्लॉज है । जैसा माननीय सलमनत ने भी
कहा था कक इसे उससे एलाइन कर ददजजये, क्योंकक वह डीपीडीपी बिल भी हम िहुत जल्दी लेकर आने
वाले हैं, हमने उससे एलाइन ककया है। ........सेक्शन 72ए भी सेम है । There was a suggestion that
the word punishment should be replaced with penalty if there is no criminal
punishment. We have accepted that........ जैसा माननीय सलमनत ने िताया था, वैसे ही हमने
िदल ददया है ।”
332
3.98 Accordingly, the provision, as amended by the Joint Committee, has been shown
Lok Sabha Committee
The Information (A) In section 2, in sub- Amendment omitted.

Technology Act, section (1), in clause (e), for the
2000 long line, the following shall be
substituted, namely:—
"the State Government, and in

any other case—
(I) relating to relevant

provision, or a computer
resource, which is controlled by
the respective Ministry or
Department of the Central
Government, such Ministry or
Department; or
(II) not covered under sub-

clause (I), the Central
Government;".
(B) In section 33, in sub- (A) In section 33, in sub-section

section (2), for the words (2), for the words, “punished with
"punished with imprisonment imprisonment which may extend
which may extend up to six up to six months or a fine which
months or a fine which may may extend up to ten thousand
extend up to ten thousand rupees or with both”, the words
rupees or with both", the words “liable to penalty which may
"liable to pay penalty which may extend to five lakh rupees” shall
extend to five lakh rupees" shall be substituted.
be substituted.
(C) In section 44,— (B) In section 44,—
(i) in clause (a), for the (i) in clause (a), for the words,
words "one lakh and fifty “one lakh and fifty thousand”, the
thousand", the words "fifteen words “fifteen lakh” shall be
lakh" shall be substituted; substituted;
(ii) in clause (b), for the (ii) in clause (b), for the words,
words "five thousand", the words “five thousand”, the words “fifty
"fifty thousand" shall be thousand”, shall be substituted;
substituted;
(iii) in clause (c), for the (iii) in clause (c), for the words,
333
words "ten thousand", the words “ten thousand”, the words “one
"one lakh" shall be substituted. lakh” shall be substituted.
(D) In section 45, for the (C) In section 45, —

words "compensation not
exceeding twenty-five thousand (i) for the words “rules or
rupees to the person affected by regulations”, the words “rules,
such contravention or a penalty regulations, directions or
not exceeding twenty-five orders” shall be substituted;
thousand rupees", the following
shall be substituted, namely:— (ii) for the words, “compensation
not exceeding twenty-five
"penalty not exceeding one lakh thousand rupees to the person
rupees, in addition to affected by such contravention or
compensation to the person a penalty not exceeding twenty-
affected by such contravention five thousand rupees”, the
not exceeding— following shall be substituted,
namely:-
(a) ten lakh rupees, by an
intermediary, company or body “penalty not exceeding one lakh
corporate; or rupees, in addition to
compensation to the person
(b) one lakh rupees, by any affected by such contravention
other person.". not exceeding-
ten lakh rupees, by an

intermediary, company or body
corporate; or
one lakh rupees, by any other
person.”.
(E) In section 46, in sub- (D) In section 46, -

section (1), for the words "under
this Chapter", the words "under (i) in sub-section (1), for the
this Act" shall be substituted. words “under this Chapter”, the
words “under this Act” shall be
substituted;
(i)(ii) in sub-section (1A), the
words “injury or” at both the
places where they occur shall
be omitted.
(F) Section 66A shall be (E) Section 66A shall be omitted.

omitted.
(G) In section 67C, in sub- (F) In section 67C, in sub-section

section (2), for the words (2), for the words, “punished with
"punished with an imprisonment an imprisonment for a term which
for a term which may extend to may extend to three years and
three years and also be liable to also be liable to fine”, the words
334
fine", the words "liable to pay “liable to pay penalty which may
penalty which may extend to extend to twenty-five lakh rupees”
twenty-five lakh rupees" shall be shall be substituted.
substituted.
(H) In section 68, in sub- (G) In section 68, in sub-section

section (2), for the words "on (2), for the words, “on conviction
conviction to imprisonment for a to imprisonment for a term not
term not exceeding two years or exceeding two years or a fine not
a fine not exceeding one lakh exceeding one lakh rupees or
rupees or with both", the words with both”, the words “to pay
"to pay penalty which may penalty which may extend to
extend to twenty-five lakh twenty-five lakh rupees” shall be
rupees" shall be substituted. substituted.
(I) In section 69B, in sub- (H) In section 69B, in sub-section

section (4), for the words "three (4), for the words, “three years
years and shall also be liable to and shall also be liable to fine”,
fine", the words "one year or the words “one year or shall be
shall be liable to fine which may liable to fine which may extend to
extend to one crore rupees, or one crore rupees, or with both”
with both" shall be substituted. shall be substituted.
(J) In section 70B, in sub- (I) In section 70B, in sub-section

section (7), for the words "one (7), for the words, “one lakh”, the
lakh", the words "one crore" shall words “one crore” shall be
be substituted. substituted.
(K) In section 72, for the (J) In section 72, for the words,
words "punished with “punished with imprisonment for a
imprisonment for a term which term which may extend to two
may extend to two years, or with years, or with fine which may
fine which may extend to one extend to one lakh rupees, or with
lakh rupees, or with both", the both”, the words “liable to penalty
words "liable to penalty which which may extend to five lakh
may extend to five lakh rupees" rupees” shall be substituted.
(L) In section 72A, for the (K) In section 72A,-

words "punished with
imprisonment for a term which (i) in the marginal heading, for
may extend to three years, or the word “Punishment”, the
with fine which may extend to word “Penalty” shall be
five lakh rupees, or with both", substituted;
the words "liable to pay penalty
which may extend to twenty-five (ii) for the words, “punished with
lakh rupees" shall be substituted. imprisonment for a term which
may extend to three years, or with
fine which may extend to five lakh
rupees, or with both”, the words
335
“liable to penalty which may
extend to twenty-five lakh rupees”
33. Amendments proposed to The Metro Railways (Operation and Maintenance)

Act, 2002
“हमारे मेरो के ऑपरे शन एंड में टेनेंस एक्ट के चैप्टर 11 में जो ऑफेन्सेस एंड पेनाल्टी है , उसमें
डडकिलमनलाइजेशन ककया है और उसको जनववश्वास बिल में लाया गया है। इसमें आठ प्रोववजन्स हैं।
पहला सेक्शन-6 है, जजसमें हमने मेरो कंपनी को पावर दी है कक वह पेनाल्टी को लेवी कर सकते हैं, जो
पहले प्रावधान नहीं है । िाकी प्रावधान में जहां पर फाइन था, उसको हमने पेनाल्टी ककया है । उसका
प्रावधान पहले इस एक्ट में नहीं था। इसमें सेक्शन 6(2)जे इंसटष ककया है , जजसमें मेरो रे ल एड
लमननस्ट्रे शन को यह पावर दी है ।…….इसमें कोई सजेशन नहीं था। यहसेक्शन 6(2)जेहै।………जो
दस
ू रा था, वह 59 (2) में था। पहले हमने िोला था कक इनटॉजक्सकेश न करके आएगा और अगर मेरो
ऑपरे शन में सेफ्टी अफेक्ट होती हो तो हमने पहले सजा के प्रावधान को खत्म करने के ललए प्रपोज
ककया था। इसमें जि चचाष हुई थी तो उस दौरान यह िताया गया कक मेरो की सेफ्टी अफेक्ट नहीं होनी
चादहए। उसमें हमने दो साल सजा का प्रावधान रखा है ।…………यह दो साल का है । अगर मेरो
ऑकफलसयल Intoxicated condition में रहे गा तो उसको 10,000 रुपये की पेनाल्टी दे नी होगी, जो कक
पहले 250 रुपये का फाइन था। अगर वह इनटॉजक्सकेशन स्ट्टे ज में रहता है , जजससे पैसेंजर सेफ्टी
अफेक्ट होती है तो उसमें दो साल के सजा का प्रावधान ककया है ।…….इसको हमने अक्सेप्ट कर ललया
है ।………पुराने में भी दो साल का प्रावधान था, इसललए उसको ररटे न कर ललया है ।…….इसमें हमने
िस चें जेज ककया है , इनटॉजक्सकेशन के िारे में सजेशन आया था कक अगर वह Intoxicated condition
में पाया जाता है तो पहले जो 250 रुपये का फाइन था, उसे 10,000 रुपये के पेनाल्टी का प्रोववजन कर
ददया।”
336
Lok Sabha Committee
The Metro (A) In section 6, in sub- (A) In section 6, in sub-section

Railways section (2),— (2), after clause (g), the following
(Operation and (a) in clause (h), the word clause shall be inserted, namely:-
Maintenance) Act, "and" occurring at the end shall
2002 be omitted;
(b) after clause (i), the
following clause shall be
"(j) levy and collect penalties “(ga) levy and collect penalties
under this Act.". under this Act;".
(B) In section 59, for sub- (B) In section 59, in sub-section

section (2), the following sub- (2),-
section shall be substituted,
(i) for the words “punishable
namely:—
two hundred and fifty rupees”,
"(2) If any metro railway official
the words “liable to penalty
or authorised person is in a state
of intoxication while on duty, he
thousand rupees” shall be
shall be punishable with penalty
substituted;
thousand rupees.". (ii) for the words “five hundred
rupees”, the words “ten
substituted.
(C) In section 63, for the (C) In section 63, for the words,
words "imprisonment for a term “after being warned by any
which may extend to one month, metro railway official to desist,
or with fine which may extend to he shall be punishable with
fifty rupees, or with both", the imprisonment for a term which
words "penalty which may may extend to one month or with
extend to five thousand rupees" fine which may extend to fifty
shall be substituted. rupees, or with both”, the words
“he shall be liable to penalty
substituted.
337
(D) In section 65, in the long (D) In section 65, in the long line,
line, for the words "five years, or for the words “five years, or with
with fine which may extend to six fine which may extend to six
thousand rupees, or with both", thousand rupees, or with both”,
the words "one year, or with fine the words “two years, or with fine
which may extend to thirty which may extend to thirty
thousand rupees, or with both" thousand rupees, or with both”
shall be substituted. shall be substituted.
(E) In section 69, for sub- (E) In section 69, for sub-section
section (4), the following sub- (4), the following sub-section shall
section shall be substituted, be substituted, namely:-
namely:—
"(4) If any passenger liable to “(4) If any passenger liable to pay
pay the excess charge and fare the excess charge and fare
mentioned in sub-section (1), or mentioned in sub-section (1), or
the excess charge and any the excess charge and any
difference of fare mentioned in difference of fare mentioned in
sub-section (2), fails or refuses sub-section (2), fails or refuses to
to pay the same on a demand pay the same on a demand being
being made therefor, any metro made therefor, any metro railway
rail official authorised by the official authorised by the metro
metro rail administration in this railway administration in this
behalf may apply to the behalf may apply to any
Metropolitan Magistrate or, as Metropolitan Magistrate or, as the
the case may be, Judicial case may be, Judicial Magistrate
Magistrate of the First Class, for of the First Class, for the recovery
the recovery of the sum payable of the sum payable as if it were a
as if it were a fine.". fine.”.
(F) For section 70, the (F) For section 70, the following
following section shall be section shall be substituted,
"70. Needlessly interfering with
“70. Needlessly interfering with
means of communication in a
means of communication in a
train.—If any passenger or any
train.- If any passenger or any
other person without reasonable
other person without reasonable
and sufficient cause makes use
and sufficient cause makes use
of, or interferes with, any means
of, or interferes with, any means
provided by the metro railway
provided by the metro railway
administration in a metro railway
administration in a metro railway
for communication between
for communication between
passengers and metro railway
passengers and metro railway
official in charge of the metro
official in charge of the metro
railway or misuses alarm bell or
railway or misuses alarm bell or
emergency stop push or
emergency stop push or
emergency trip system or
emergency trip system or
emergency call point of the
338
metro railway, he shall be emergency call point of the metro
punishable with penalty which railway, he shall be liable to
may extend to ten thousand penalty which may extend to ten
rupees.". thousand rupees.”.
(G) Section 80 shall be

(G) Section 80 shall be omitted.
omitted.
(H) In section 82, in sub- (H) In section 82, in sub-section

section (1), for the words and (1), for the words and figures
figures "sections 59, 61, 65 to “sections 65 to 79”, the words and
79", the words and figures figures “sections 65 to 68, 71 to
"sections 61, 65 to 68, 71 to 79" 79” shall be substituted.
34. Amendments proposed to The Prevention of Money-laundering Act, 2002
3.102 The Committee observed that during briefing by the Department of Revenue, the
Department stated that:-
“हमारे में consequential amendments हैं, जो तीन ववभागों के चार एक्ट्स हैं। डीपीआईआईटी का
रे डमाक्सष एक्ट है । यह सीररयल नंिर 30 पर संशोधन हो रहा है । कफर सीररयल नंिर 32 में इन फॉमेशन
टे क्नोलॉजी एक्ट, 2000 में संशोधन हो रहा है । वह डडलीट हो रहे हैं, डीकिलमनलाइज हो रहे हैं। सर,
प्रमुखत: ये चार सेक्शन्स हैं। तीसरा सेक्शन एनवायनषमेंट का डीकिलमनलाइज हो रहा है , वह सीररयल
नंिर 24 पर है और चौथा सीररयल नंिर 21 पर है । ये चार सेक्शन्स डीकिलमनलाइज हो रहे हैं। हमारे
consequential amendments हैं, क्योंकक वे डीकिलमनलाइज हो जाएंगे तो वप्रवेंशनऑफ मनीलॉजन्ड्रंग
एक्ट से भी हटाने पड़ेंगे। क्योंकक ऑफेंस ही नहीं रहे गा। Predicate offence ही नहीं रहे गा। हमारा काम
मनीलॉजन्ड्रंग एक्ट में , जैसा आपको मालूम है , तभी प्रारम्भ होता है जि कोई िाइम होता है । जो
proceeds of crime है , वह मनीलॉजन्ड्रंग की श्रेणी में आते हैं।“
3.103 In view of submission of the Department, the Committee agreed to the amendments
proposed to the Act in the Bill, as introduced with minor changes. However, the Committee
felt the need to substitute the word “Description” appearing at both the places in the
headings of the tables in the Schedule with the words “Description of Offences” and
“Description of Offence”, respectively.
339
35. Amendments proposed to The Food Safety and Standards Act, 2006
“इसमें आपका सुझाव था कक इसको ककया जाए : “with imprisonment for a term which may
extend to three months and also with fine which may extend to three lakh
rupees........यह एक लाख से िढ़ाकर तीन लाख कर ददया था। यह उस तरह का अनसेफ फूड है , जो
अनसेफ तो है , लेककन उससे मुझे इंजरी नहीं हो रही है।”

Lok Sabha Committee
The Food Safety (A) In section 59, in clause (i), (A) In section 59, in clause (i), for
and Standards for the words "imprisonment for a the words “imprisonment for a
Act, 2006 term which may extend to six
term which may extend to six
months and also with fine which
may extend to one lakh rupees", months and also with fine which
the words "fine which may may extend to one lakh rupees”,
extend to three lakh rupees" the words” three months and
shall be substituted. also with fine which may extend
to three lakh rupees” shall be
substituted.
(B) In section 61, for the (B) In section 61,-

words "imprisonment for a term (i) in the marginal heading,
which may extend to three
for the word “Punishment”, the
may extend to two lakh rupees", word “Penalty” shall be
the words "fine which may substituted;
extend to ten lakh rupees" shall (ii) for the words “punishable
be substituted. with imprisonment for a term
340
may extend to two lakh rupees”,
the words “liable to penalty
which may extend to ten lakh
(C) In section 63, for the (C) In section 63,-

words "imprisonment for a term (i) in the marginal heading,
which may extend to six months for the word “Punishment”, the
and also with a fine which may
word “Penalty” shall be
extend to five lakh rupees", the
substituted;
words "fine which may extend to
five lakh rupees" shall be
substituted. (ii) for the words “punishable
which may extend to six months
and also with a fine which may
extend to five lakh rupees”, the
words “liable to penalty which
may extend to ten lakh rupees”
341
36. Amendments proposed to The Government Securities Act, 2006
3.107 The Department Submitted that the Reserve Bank of India has confirmed that there
was no instance of invocation of imprisonment clause under Section 30(1) of the
Government Securities Act, 2006 or of imposing any fine under the said Section. As there
had been no occasion for RBI to impose fine on any individual or entity dealing with the
Government Securities Act, 2006 and the fact that institutions like banks, insurance
companies, mutual funds, etc. mostly deal in large amount of Government securities, it was
felt that imprisonment related clause may be removed and fine related provision only be
continued as any contravening individual/institution will be liable for punishment with fine
imposed by the Court on a complaint made by the RBI.
3.108 The Committee observed that sub-section (3) of Section 30 covers all types of
contraventions and that:
“Instead of fine, the word ‘penalty’ will be there. It is because in the opening
portion of sub-section 30, it is said “Contravention and penalties”. The thing is
that penalty is to be decided by the RBI and fine is to be decided by the Court.
We do not want that matter should go before the Court. We want that it should
be before the RBI to decide the penalty. Our intent and object is very clear.
Only for this purpose, if we are compelling the aggrieved person to go before
the Court for fine by filing a complaint under sub-section (2), no purpose will
be served.”
3.108A The Department submitted that this provision was kept because if somebody
gives a wrong document or statement to obtain the title of the security, then the ownership
cannot be decided by the Regulator. In such a case, there may be a police case and court
adjudication. The Committee opined that at the preliminary stage, it can even be decided by
the RBI and if any person is aggrieved of that they can file the appropriate petition before
the appropriate court of law. The Committee considered that there are many other
enactments where mens rea is there and the administrative authority is deciding the issue.
3.108B Accordingly, the provisions, as amended by the Joint Committee have been shown
below in Tabular Form:
342
Lok Sabha Committee
The Government In section 30, in sub-section (1), In section 30,-

Securities Act, for the words "with imprisonment (i) in sub-section (1), for the
2006 for a term which may extend to words, “he shall be punishable
six months, or with fine, or with with imprisonment for a term
both", the words "with fine" shall which may extend to six months,
be substituted. or with fine, or with both”, the
words “the Bank may impose a
penalty not exceeding five lakh
rupees or twice the amount
involved in such contravention,
where the amount is
quantifiable, whichever is
higher, and where such
contravention is a continuing
one, with a further penalty,
after first day during which the
contravention continues” shall
be substituted;
(ii) sub-section (2) shall be
omitted.
37. Amendments proposed to The Cantonments Act, 2006
“जि पहली िैठक 9 तारीख को हुई थी तो उस समय हम लोगों ने 10 सेक्शन्स में अमें डमें ट प्रपोज ककये
थे, जजसमें 24 ऑफेंसेज कवर हो रहे थे। माननीय सलमत ने पााँच सेक्शन्स का जो हमारा अमें डमें ट था,
उस पर एग्री ककया था। उसमें 19 ऑफेंसेज कवर हो रहे थे और पााँच सेक्शन्स के ललए री-एग्जालमन
करने के ललए कहा था। अगर आपकी अनुमनत हो तो मैं सेक्शन िाई सेक्शन एक-एक कर के िता दे ती
हूं।”
343

Lok Sabha Committee
The Cantonments (A) Section 156 shall be (A) Section 156 shall be
Act, 2006 omitted. omitted.
(B) In section 185, for sub- (B) In section 185, for sub-
section (1), the following sub- section (1), the following sub-
section shall be substituted, section shall be substituted,
namely:— namely:-
"(1) No person employed in any

“(1) No person employed in any
essential service under a Board
essential service under a Board in
in a cantonment shall, in the
a cantonment shall, in the
absence of any contract, resign
absence of any contract, resign
without reasonable cause or
without reasonable cause or
absent himself from duty without
absent himself from duty without
proper authority and in case of
proper authority and in case of
such resignation or absence from
such resignation or absence from
duty, disciplinary proceedings
duty, disciplinary proceedings
shall be initiated against him in
shall be initiated against him in
accordance with such procedure
accordance with such procedure
as may be prescribed.".
as may be prescribed.”.
(C) In section 285, for the Amendment Omitted.

word "five thousand rupees, or
or with both", the words "seven
thousand and five hundred
rupees" shall be substituted.
(D) In section 286, in the long (C) Section 286 shall be

line, for the words "two thousand omitted.
five hundred rupees, and, in the
case of a subsequent offence, (Recommendation No. 96)
months, or with fine which may
extend to five thousand rupees",
the words "three thousand
rupees, and, in the case of a
subsequent offence with fine
344
thousand rupees" shall be
substituted.
(E) For section 287, the (D) For section 287, the following
following section shall be section shall be substituted,
"287. Seizure and confiscation of “287. Arrest of persons, seizure
things for offences under and confiscation of things for
sections 285 and 286.— offences under section 285.- (1)
Notwithstanding anything Notwithstanding anything
contained in the Code of Criminal contained in the Code of Criminal
Procedure, 1973 (2 of 1974), any Procedure, 1973 (2 of 1974), any
police officer or excise officer police officer or excise officer
may, without an order from a may, without an order from a
Judicial Magistrate, and without a Judicial Magistrate, and without a
warrant, seize and detain any warrant, arrest any person who
spirituous liquor or intoxicating commits an offence under
drug in respect of which an section 285, and may seize and
offence under section 285 or detain any spirituous liquor or
section 286 has been committed intoxicating drug in respect of
and any vessels or coverings in which an offence under section
which the liquor or drug is 285 has been committed and any
contained. vessels or coverings in which the
liquor or drug is contained.
(2) Where a person accused (2) Where a person accused of an
of an offence under section 285 offence under section 285 has
has been previously convicted of been previously convicted of an
an offence under that section, an offence under that section, an
officer in charge of a police officer in charge of a police station
station may, with the written may, with the written permission
permission of a Judicial of a Judicial Magistrate, seize and
Magistrate, seize and detain any detain any spirituous liquor or
spirituous liquor or intoxicating intoxicating drug within the
drug within the cantonment or cantonment or within any limits
within any limits defined under defined under that section which,
that section which, at the time of at the time of the alleged,
the alleged, commission of the commission of the subsequent
subsequent offence, belonged to, offence, belonged to, or was in the
or was in the possession of, such possession of, such person.
person.
(3) The court convicting a (3) The court convicting a person
person of an offence under of an offence under section 285
section 285 or section 286 may may order the confiscation of the
order the confiscation of the whole or any part of anything
whole or any part of anything seized under sub-section (1) or
seized under sub-section (1) or sub-section (2).
sub-section (2).
(4) Subject to the provisions of
(4) Subject to the provisions
Chapter XXXIV of the Code of
of Chapter XXXIV of the Code of
Criminal Procedure, 1973 (2 of
345
Criminal Procedure, 1973 (2 of 1974) anything, seized under sub-
1974), anything seized under section (1) or sub-section (2) and
sub-section (1) or sub-section (2) not confiscated under sub-section
and not confiscated under sub- (3) shall be restored to the person
section (3) shall be restored to from whom it was taken.”.
the person from whom it was
taken.".
(F) In section 289, in sub- (E) In section 289, sub-section

section (5), for the words (5) shall be omitted.
"punished with fine which may
extend to five thousand rupees or
to six months", the words
"punishable, in the case of a first
offence, with a fine which may
extend to five thousand rupees
and, in the case of a subsequent
offence, with a fine which may
extend to ten thousand rupees"
(G) In section 300, in sub- Amendment Omitted

"punishable with imprisonment
months, or with fine which may
extend to five thousand rupees
and in case of subsequent
offence shall be punishable with
to one year", the words
"punishable with fine which may
extend to six thousand rupees"
(H) For section 314, the (F) In section 314, in the proviso,
following section shall be in clause (a), the words, letter
substituted, namely:— and figures “in the case of
"314. Arrest without warrant.— breach of any such provisions
Any member of the police force as is specified in Part B of
employed in a cantonment may, Schedule IV,” shall be omitted.
without a warrant, arrest any
person committing in his view a (Recommendation No. 98)
breach of the provision of clause
(a) of section 304:
Provided that in the case of a
breach of such provisions, no
person shall be arrested who
consents to give his name and
346
address, unless there is
reasonable ground for doubting
the accuracy of the name or
address given, the burden of
proof of which shall lie on the
arresting officer, and no person
arrested shall be detained after
his name and address have been
ascertained.".
(I) In section 331, for the

word and figures "Schedule IV", Amendment Omitted
the words, brackets, letter and
figures "clause (a) of section
304" shall be substituted.
(J) In section 332, for sub-

section (1), the following sub-
section shall be substituted,
namely:— Amendment Omitted
"(1) The Chief Executive Officer
or any person authorised by him,
by general or special order in this
behalf, may, either before or after
the institution of the proceedings,
compound an offence, made
punishable by or under this Act
other than an offence under
clause (a) of section 304:
Provided that no offence shall be
compoundable which is
committed by failure to comply
with a notice, order or requisition
issued by or on behalf of the
Chief Executive Officer, unless
and until the same has been
complied with in so far as
compliance is possible.".
(K) Schedule IV shall be omitted.

(G) For SCHEDULE IV, the
following SCHEDULE shall be
“SCHEDULE IV
(See section 314)
Section Subject
183(1) Remaining in, or re-

entering,
347
cantonment after
notice of expulsion
for failure to attend
hospital or
dispensary.
296 Discharging fire-
arms, etc., so as to
cause danger.
300 Loitering or
importuning for
sexual immorality.
304(a) Remaining in, or
returning to, a
cantonment after
notice of
expulsion.”
38. Amendments proposed to The Payment and Settlement Systems Act, 2007
3.112 The Department submitted inter alia as under:-
“......there is Section 30 of the Payment and Settlement Systems Act. It is on page 22.
In this, the marginal heading was given wrongly. It read: “Power of Reserve Bank to
impose fines.” So, that marginal heading we have changed.....”
3.113 In view of the submissions made by the Department, the Committee agreed to the
amendments proposed to the Act by the Bill, as introduced. The Committee also desired
that marginal heading to Section 30 may also be modified.
3.114 Accordingly, the provision, as amended, has been shown below in Tabular form:

Lok Sabha Committee
The Payment and

Settlement xxx xxx xxx xxx xxx xxx
Systems Act, 2007
348
(B) In section 30, in sub- (B) In section 30,-
section (1),—
(a) in the marginal heading, for
(i) after the word, brackets
the word, “fines”, the word
and figure "sub-section (2)", the
“penalties” shall be
words, brackets and figure "or
substituted;
sub-section (3)" shall be
inserted;
(ii) for the words "five lakh", (b) in sub-section (1)-
the words "ten lakh" shall be (i) after the word, brackets
substituted. and figure, “sub-section
(2)”, the words, brackets
and figure “or sub-section
(3)” shall be inserted;
(ii) for the words “five lakh”,
the words “ten lakh” shall
be substituted.
39. Amendments proposed to The Collection of Statistics Act, 2008
3.115 On Sections 16, 17, 18, 19, 20, 21 and 22, the Ministry submitted, inter alia, as
under:-
“They have been omitted to facilitate ease of doing business and reduce the
compliance burden.”

Lok Sabha Committee
The Collection of (A) In section 15, for sub- (A) In section 9, for the word
Statistics Act, section (1), the following sub- “prosecution” at both the
2008 section shall be substituted, places where it occurs, the
namely:— word “penalty” shall be
349
substituted.
"(1) Whoever, acts in
contravention of or fails to (Recommendation No. 100)
produce any books of account,
vouchers, documents or other (A) For CHAPTER IV, the
business records or whoever following CHAPTER shall be
neglects or refuses to fill in and substituted, namely:-
supply the particulars required in
any information schedule or “CHAPTER IV
return given or sent to him or
whoever neglects or refuses to PENALTIES AND
answer any question or inquiry ADJUDICATION
addressed to him as may be 15. Penalty for neglect or
required under or for the refusal to supply particulars
purposes of any provision of this and other contraventions.- (1)
Act and the rules made
thereunder, shall be punishable Whoever fails to produce any
with a fine which may extend to books of account, vouchers,
one thousand rupees or, in the documents or other business
case of a company, with a fine records or whoever neglects or
which may extend to five refuses to fill in and supply the
thousand rupees.". particulars required in any
information schedule or return
(B) Sections 16 to 22 shall be given or sent to him or whoever
omitted. neglects or refuses to answer any
question or inquiry addressed to
him as may be required under or
for the purposes of any provision
of this Act or whoever acts in
contravention or fails to
comply with any provision of
this Act or any rules made
thereunder or any requirement
imposed under this Act, shall
be liable to penalty which may
extend to one thousand rupees,
and in the case of a company,
with a penalty which may extend
to one lakh rupees.
(2) The imposition of penalty
on a person or company shall
not relieve him or it of the
obligations under sub-section
(1), and if after the expiry of
fourteen days from the date of
imposition of penalty, he or it
still fails to give the required
particulars or continues to
neglect or refuse or contravene
any provision of this Act or any
350
rules made thereunder or any
requirement imposed under
this Act, shall be liable to a
further penalty which may
extend to one thousand
rupees, and in the case of a
company, to a further penalty
thousand rupees, for each day
after the first during which the
neglect, refusal or
15A. Adjudicating officer.- (1)

The appropriate Government
may, for the purposes of
determining the penalties
under section 15, appoint an
officer as it may deem fit, to be
adjudicating officer to hold an
inquiry in the manner, as may
be prescribed and to impose
penalty:
Provided that the appropriate

may be required.
give evidence or to produce
any document, which in the
officer, may be useful for, or
relevant to, the subject-matter
of the inquiry and if, on such
inquiry, he is satisfied that the
person concerned has failed to
this Act, he may impose
penalty:
without giving the parties
351
15B. Appeal.- (1) Whoever

aggrieved by the order passed
by the adjudicating officer
under this Act, may prefer an
appeal to the appellate
authority, above the rank of the
adjudicating officer, authorised
by the appropriate
Government, within thirty days
from the date of receipt of
order in such form and manner
thirty days if the appellant
that period.
(3) The appellate authority may,
after giving the parties to the
heard, pass such order as he
may think fit.
of filing the appeal.
15C. Recovery.-
Notwithstanding anything
contained in this Act, if penalty
imposed under this Act, is not
deposited, the amount shall be
recovered as an arrear of land
revenue.".
(B) In section 33, in sub-
section (2), after clause (da),
the following clauses shall be
inserted, namely:-
“(db) the manner of
15A;
352
(dc) the form and manner of
preferring appeal under
15B;”.
40. Amendments proposed to The Legal Metrology Act, 2009
“हम लोगों का वपछली िार जो प्रस्ट्ताव था, उसमें सेक्शन-25 में हम लोगों ने उसको फाइव टाइम्स
करके 1 लाख 25 हजार रुपये ककया था। कमेटी का सजेशन था कक उसको राउं ड अप करके एक लाख
रुपये कर ददया जाए तो उसको हमने एक्सेप्ट कर ललया है ।……..िस इतना ही था। िाकी सि वपछली
िार एक्सेप्ट कर ललया गया था। जैसे सेक्शन 27 था। इसी प्रकार से सेक्शन 28, 29, 31 और 34 है ।”
3.119 In view of the submissions made by the Department, the Committee agreed to the
amendments proposed to the Act by the Bill, as introduced, subject to modification in
penalties, as recommended by them.

Lok Sabha Committee
The Legal (A) In section 25, for the (A) In section 25, for the words
Metrology Act, words "twenty-five thousand “twenty-five thousand rupees and
2009 rupees and for the second or
for the second or subsequent
subsequent offence, with
imprisonment for a term which offence, with imprisonment for a
may extend to six months and term which may extend to six
also with fine", the words "one months and also with fine”, the
lakh twenty-five thousand rupees words “one lakh rupees and for
and for the second offence with the second offence with fine
fine which may extend to two which may extend to two lakh
lakh fifty thousand rupees and rupees and for the third and
353
for the third and subsequent subsequent offence, with fine
offence, with fine which may which may extend to five lakh
extend to five lakh rupees" shall rupees” shall be substituted.
be substituted.
xxx xxx xxx (Recommendation No.102)

xxx xxx xxx
41. Amendments proposed to The Factoring Regulation Act, 2011
3.121 While agreeing to the amendments proposed to the Act by the Bill, as introduced, the
Committee suggested that in Section 22, the word “offence” be replaced by word “failure”.

Lok Sabha Committee
The Factoring xxx xxx xxx xxx xxx xxx

Regulation Act,
2011 22. Penalties for non-compliance 22. Penalties for non-compliance
of direction by Reserve Bank.— of direction by Reserve Bank.- (1)
(1) If any factor fails to comply If any factor fails to comply with
with any direction issued by the any direction issued by the
Reserve Bank under section 6,
Reserve Bank under section 6, or
or fails in filing the particulars of
any transaction of receivables fails in filing the particulars of any
and realisation of receivables transaction of receivables and
under section 19, the Reserve realisation of receivables under
Bank may impose a penalty section 19, the Reserve Bank
which may extend to five lakh may impose a penalty which may
rupees and in the case of a extend to five lakh rupees and in
continuing offence, with an the case of a continuing failure,
additional penalty which may
with an additional penalty which
extend to ten thousand rupees
for every day during which the may extend to ten thousand
default continues. rupees for every day during which
the default continues.
xxx xxx xxx (Recommendation No. 103 )
xxx xxx xxx
354
42. Amendments proposed to The Aadhaar (Targeted Delivery of Financial and
Other Subsidies, Benefits and Services) Act, 2016
3.123 The Ministry submitted that the provisions in Section 41 of the Aadhaar (Targeted
Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016 is in alignment
with the DPDP Bill provisions and that there is no conflict with the provisions of the DPDP
Bill. In view of the submissions made by the Ministry, the Committee after deliberating on
the amendment proposed in the Bill to the Aadhaar (Targeted Delivery of Financial and
Other Subsidies, Benefits and Services) Act, 2016 decided to accept the amendments
proposed by the Ministry at Sr. No. 42 of the Schedule of the Bill.
3.124 Drafting corrections/improvement:
The Committee during the course of deliberations noted certain drafting errors in a
number of Clauses/Sections where drafting correction/language improvement was required
for the purpose of clarity. Accordingly, the following drafting corrections /improvements in the
Jan Vishwas (Amendment of Provisions) Bill, 2022, as introduced, are suggested by the
Committee:
Sl. No. Serial No of the Drafting corrections/improvement

Schedule and Name of
the Act
1. Sl. No. 11 (i) Page 11, Line 19
(The Cinematograph Act, Omit "a" before the word ''penalty''
1952)
(ii) Page 11, Line 45
Omit "a" before the word ''penalty''
2. Sl. No. 19 (i) Page 20, Lines 23-24

(The Marine Products Omit 'the'' before the word "discharge" in the
Export Development marginal heading to proposed Section 24
Authority Act, 1972)
Omit ''pay" before the word "penalty
355
(iii) Page 21, Line 01
Omit 'pay a' before the word "penalty"
3. Sl. No. 21 (i) Page 22, Line 20

(The Air (Prevention and Omit "or non-compliance" after the word
Control of Pollution) Act, "contravention"
1981)
Omit "pay" before the word "penalty''

Omit "or non-compliance" after the word
"contravention”
(iv) Page 22, Line 26

Omit ''pay an" after the words ''liable to''
(v) Page 23, Line 14

Omit ''pay'' after the words ''liable to''
(vi) Page 23, Line 18

Omit "or non-compliance'' after the word
''contravention''
(vii) Page 23, Line 19

Omit ''pay an'' after the words ''liable to''
(viii) Page 23, Line 29

Omit ''pay the'' before the word ''penalty''
(ix) Page 23, Line 41

Omit "'pay the'' before the word "penalty"
(x) Page 24, Line 02

Omit ''pay the" before the word ''penalty''
(xi) Page 24, Line 06

Omit ''pay an'' before the word ''additional''
(xii) Page 24, Line 32

For "in accordance with'', substitute ''under''
(xiii) Page 24, Line 36

Omit "an" before the word ''opportunity''
(xiv) Page 24, Lines 36-37

Omit ''in the matter'' after the word ''heard''
4. Sl. No. 22 Page 27, Line 16
(The National Bank for Omit ''pay a'' before the word ''penalty''
356
Agriculture and Rural
Development Act, 1981)
5. Sl. No. 24 (i) Page 29, Line 30

(The Environment Omit ''pay the'' before the word ''penalty''
(Protection) Act, 1986)
(ii) Page 29, Lines 31-32
Omit ''or non-compliance'' after the word
''contravention''
(iii) Page 29, Line 37,

Omit "pay an' before the word "penalty"

Omit ''pay'' before the word ''penalty''

''contravention''
(vi) Page 30, Line 02

''contravention''


(ix) Page 30, Lines 17-18

''contravention''

''contravention''

Omit ''pay an'' after the words ''liable to''
(xii) Page 30, Line 30

Omit ''pay the'' after the words ''liable to''
(xiii) Page 30, Line 35
''contravention''
(xiv) Page 30, Line 37

Omit ''pay an'' before the word '' additional''
357
(xv) Page 30, Line 46
(xvi) Page 31, Line 07

(xvii) Page 32, Line 20

Omit ''any'' before the word ''such''
(xviii) Page 34, after Line 10

Insert '' (E) After Chapter III, the following
Chapter shall be inserted, namely: - ''
6. Sl. No. 26 (i) Page No 39, Lines 05-08

(The Motor Vehicles Act, Omit ' (i) for the marginal heading, the following
1988) marginal heading shall be substituted, namely:-
"Compounding of offences'' '
(ii) Page 39, Lines 21-22

Omit ' to the extent of use of handheld
communication devices'' after the words
'section 184'
7. Sl. No. 28 (i) Page 43, Line 01

(The Public Liability Omit ''pay the'' before the word ''penalty''
Insurance Act, 1991)
Omit ''pay a'' before the word ''penalty"



(vi) Page 44, Lines 19-20

For "'in accordance with'', substitute ''under''

Omit ''an'' before the word ''opportunity''

Omit ''in the matter'' after the word ''heard''
358
(ix) Page 44, Line 27
For ''sections 14 or 15'', substitute ''section
15A''


8. Sl. No. 30 Page 48, Line 38

(The Trade Marks Act, Omit ''pay a'' before the word ''penalty''
1999)
9. Sl. No.32 (i) Page 50, Line 08

(The Information Omit ''pay'' before the word ''penalty''
Technology Act, 2000)


10. Sl. No. 33 Page 51, Lines 22-23

(The Metro Railways Omit ' (a) in clause (h), the word ''and"
(Operation and occurring at the end shall be omitted '
Maintenance) Act, 2002)
11. Sl. No. 34 (i) Page 52, Line 41

(The Prevention of Money- For ''Description'', substitute "Description of
laundering Act, 2002) offences''

For ''Description'', substitute ''Description of
offence''
359
CONSIDERATION OF CLAUSE 1 TO 4, ENACTING FORMULA AND LONG TITLE
During consideration of Clause Nos. 1 to 4, Enacting Formula and Long Title of the
Bill, the Committee noted that the calendar year and the year of republic require amendment
as the Jan Vishwas (Amendment of Provisions) Bill, 2022 was introduced in the year 2022.
Also Clause 4 require amendment due to recommendation regarding proposed repeal of the
High Denomination Bank Notes (Demonetisation) Act, 1978, by the Committee. Clauses 2
and 3 were adopted by the Committee without any change. However, Clauses 1, 4,
Enacting Formula and Long Title, as amended by the Joint Committee, have been
reproduced in Tabular form as below:
Clause No. Clause as in the Bill, as Clause as modified by the

introduced Committee
THE JAN VISHWAS THE JAN VISHWAS (AMENDMENT

(AMENDMENT OF OF PROVISIONS) BILL, 2023
PROVISIONS) BILL, 2022
A A
BILL
BILL
to amend certain enactments for to amend certain enactments for
decriminalising and rationalising decriminalising and rationalising
minor offences to further enhance
offences to further enhance trust-
trust-based governance for ease
of living and doing business based governance for ease of living
and doing business.
BE it enacted by Parliament in the BE it enacted by Parliament in the

Seventy-third Year of the Seventy-fourth Year of the Republic
Republic of India as follows:— of India as follows:
1. 1. (1) This Act may be called the 1. (1) This Act may be called the
Jan Vishwas (Amendment of Jan Vishwas (Amendment of
Short title and
Provisions) Act, 2023.
commencement Provisions) Act, 2022.
2. It shall come into force on such (2) It shall come into force on such
date as the Central Government date as the Central Government
may, by notification in the Official may, by notification in the Official
Gazette, appoint; and different Gazette, appoint; and different dates
dates may be appointed for may be appointed for amendments
amendments relating to different relating to different enactments
enactments mentioned in the mentioned in the Schedule.
360
Schedule to this Act.
4. The amendment by this Act of 4. The amendment or repeal by

Clause 4. any enactment shall not affect any this Act of any enactment shall not
other enactment in which the affect any other enactment in which
Savings amended enactment has been the amended or repealed
applied, incorporated or referred enactment has been applied,
to; incorporated or referred to;
and this Act shall not affect the and this Act shall not affect the
validity, invalidity, effect or validity, invalidity, effect or
consequences of anything already consequences of anything already
done or suffered, or any right, title, done or suffered, or any right, title,
obligation or liability already obligation or liability already
acquired, accrued or incurred or acquired, accrued or incurred or any
any remedy or proceeding in
remedy or proceeding in respect
respect thereof, or any release or
thereof, or any release or discharge
discharge of, or from any debt,
of, or from any debt, penalty,
penalty, obligation, liability, claim or
demand, or any indemnity already obligation, liability, claim or demand,
granted, or the proof of any past or any indemnity already granted, or
act or thing; the proof of any past act or thing;
nor shall this Act affect any principle nor shall this Act affect any principle
or rule of law, or established or rule of law, or established
jurisdiction, form or course of jurisdiction, form or course of
pleading, practice or procedure, or pleading, practice or procedure, or
existing usage, custom, privilege, existing usage, custom, privilege,
restriction, exemption, office or restriction, exemption, office or
appointment, notwithstanding that appointment, notwithstanding that
the same respectively may have the same respectively may have
been in any manner affirmed, or been in any manner affirmed, or
recognised or derived by, in or recognised or derived by, in or from
from any enactment hereby
any enactment hereby amended or
amended;
repealed;
nor shall the amendment by this
nor shall the amendment or repeal
Act of any enactment revive or by this Act of any enactment revive
restore any jurisdiction, office, or restore any jurisdiction, office,
custom, liability, right, title, privilege, custom, liability, right, title, privilege,
restriction, exemption, usage, restriction, exemption, usage,
practice, procedure or other matter practice, procedure or other matter
or thing not now existing or in or thing not now existing or in force.
force.
361
The Joint Committee, therefore, recommend that the Bill, as amended, after inclusion
of suggestions/recommendations made by the Committee be passed and the General
Recommendations may be examined and implemented, if legally feasible, in due course.
P.P. CHAUDHARY
CHAIRPERSON,
NEW DELHI JOINT COMMITTEE ON
13 MARCH, 2023 THE JAN VISHWAS
22 PHALGUNA, 1944 (SAKA) (AMENDMENT OF PROVISIONS) BILL, 2022
362
Appendix - I
LOK SABHA
Thursday, December 22, 2022 / Pausha 1, 1944 (Saka)
MOTION IN LOK SABHA FOR REFERENCE OF THE BILL TO THE JOINT

COMMITTEE
SHRI PIYUSH GOYAL moved the following Motion:
"That the Bill to amend certain enactments for decriminalising and rationalising
minor offences to further enhance trust-based governance for ease of living and doing
business be referred to a Joint Committee of the Houses consisting of the following
21 Members from this House:-
1. Shri P.P. Chaudhary

4. Shri Sanjay Seth
5. Smt. Queen Oja
10. Shri Arvind Dharmapuri
15. Shri A. Raja
363
18. Shri Gajanan Chandrakant Kirtikar
19. Shri Rajiv Ranjan Alias Lalan Singh
and 10 Members from the Rajya Sabha;
that in order to constitute a sitting of the Joint Committee the quorum shall be one-
third of the total number of Members of the Joint Committee;
that the Committee shall make a report to this House by the last day of the first week
of second part of the Budget Session, 2023;
that in other respects the Rules of Procedure of this House relating to Parliamentary
Committee shall apply with such variations and modifications as the Speaker may make;
and
that this House recommends to Rajya Sabha that Rajya Sabha do join the said Joint
Committee and communicate to this House the names of the Members to be appointed
by Rajya Sabha to the Joint Committee.”
The motion regarding reference was adopted.''
364
Appendix - II
RAJYA SABHA
Friday, December 23, 2022/Pausha 2, 1944 (Saka)
MOTION FOR NOMINATION TO THE JOINT COMMITTEE ON THE JAN VISHWAS

(AMENDMENT OF PROVISIONS) BILL, 2022
THE LEADER OF THE HOUSE (SHRI PIYUSH GOYAL) moved the following Motion:
"That this House concurs in the recommendation of the Lok Sabha that this
House do join in the Joint Committee of the Houses on the Jan Vishwas (Amendment of
Provisions) Bill, 2022 and resolves that the following Members of the Rajya Sabha be
nominated to serve on the said Joint Committee:-

4. Dr. Radha Mohan Das Agrawal
10. Shri Masthan Rao Beeda."
(The motion was adopted)
[ Message was reported in Lok Sabha Bulletin Part II dated December 26, 2022 ]
365
Appendix - III
Details of the sittings of the Joint Committee on the Jan Vishwas (Amendment of
Provisions) Bill, 2022
Sl No. Sitting No. Date & Day Agenda

1. 1st. 09 January, Briefing by the representatives of the Ministry of
2023 Commerce and Industry (Department for
(Monday) Promotion of Industry and Internal Trade) on the
overall Bill and the Objectives and Purpose of the
said Bill. The Representatives of the Ministry of
Law and Justice (Legislative Department and
Department of Legal Affairs) also remained
present in the meeting.
2. 2nd. 16 January, Briefing/Oral Evidence of the representatives of

2023 the (i) Ministry of Electronics and Information
(Monday) Technology w.r.t. Sl. Nos. 32 and 42 of the
Schedule to the Bill; (ii) Ministry of Agriculture &
Farmers Welfare (Department of Agriculture &
Farmers Welfare) w.r.t. SI. No. 5 of the Schedule
to the Bill and (ii) Ministry of Consumer Affairs
Food and Public Distribution (Department of Food
and Public Distribution) w.r.t. Sl. Nos. 16 and 17
of the Schedule to the Bill on the Jan Vishwas
(Amendment of Provisions) Bill, 2022. The
Representatives of the Ministries of Commerce
and Industry and Law and Justice (Legislative
Department and Department of Legal Affairs) also
remained present in the meeting.
3. 3rd. 17 January, Briefing/Oral Evidence of the representatives of

2023 the (i) Ministry of Environment, Forest and Climate
(Tuesday) Change w.r.t SI. Nos. 4, 21, 24 and 28 of the
Schedule to the Bill; and (ii) Ministry of Housing &
Urban Affairs w.r.t. SI. No. 33 of the Schedule to
366
the Jan Vishwas (Amendment of Provisions) Bill,
2022. The representatives of the Ministries of
Commerce and Industry and Law and Justice
(Legislative Department and Department of Legal
Affairs) also remained present in the meeting
4. 4th. 31 January, Briefing/Oral Evidence of the representatives of

2023 the Ministry of Commerce and Industry - (i)
(Tuesday) Department for Promotion of Industry & Internal
Trade and (ii) Department of Commerce w.r.t. the
Acts pertaining to them being amended by the
Ministries. The Representatives of the Ministry of
Law and Justice (Legislative Department and
5. 5th. 06 February, Briefing/Oral Evidence of the representatives of

2023 (Monday) the Ministry of Finance- (i) Department of Financial
Services (ii) Department of Economic Affairs and
(iii) Department of Revenue on amendments
proposed in the Bill related to them. The
Representatives of the Ministries of Commerce
6. 6th. 07 February, Briefing/Oral Evidence of the representatives of (i)

2023 the Ministry of Health & Family Welfare,
(Tuesday) Department of Health & Family Welfare (ii) the
Ministry of Railways and (iii) the Ministry of Road
Transport & Highways. The Representatives of the
Ministries of Commerce and Industry and Law and
Justice (Legislative Department and Department of
Legal Affairs) also remained present in the
meeting.
367
7. 7th. 09 February, Briefing/Oral Evidence of the representatives of (i)
2023 (Thursday) the Ministry of Information & Broadcasting (ii) the
Ministry of Statistics & Programme Implementation
(iii) Department of Posts (Ministry of
Communications), (iv) Department of Consumer
Affairs, (Ministry of Consumer Affairs, Food &
Public Distribution), (v) Department of Defence,
(Ministry of Defence), and (vi) the Ministry of Ports,
Shipping & Waterways. The Representatives of
the Ministries of Commerce and Industry and Law
and Justice (Legislative Department and
8. 8th. 16 February, Clause by Clause consideration of the Jan
2023 (Thursday) Vishwas (Amendment of Provisions) Bill, 2022.
The representatives of the following
Ministries/Departments deposed before the
Committee for their respective Acts:
i. Department for Promotion of Industry and

Internal Trade (Ministry of Commerce and
Industry)
ii. Department of Commerce (Ministry of Commerce
and Industry)
iii. Department of Consumer Affairs (Ministry of
Consumer Affairs, Food and Public Distribution)
iv. Department of Economic Affairs (Ministry of
Finance)
v. Department of Financial Services (Ministry of
Finance)
vi. Ministry of Railway
vii. Department of Food & Public Distribution
(Ministry of Consumer Affairs, Food & Public
Distribution)
368
viii. Department of Health & Family Welfare
(Ministry of Health & Family Welfare)
ix. Department of Posts (Ministry of
Communications)
The Representatives of the Ministries of Commerce

9. 9th. 17 February, Clause by Clause consideration of the Jan

2023 (Friday) Vishwas (Amendment of Provisions) Bill, 2022.
The representatives of the following
Ministries/Departments deposed before the
Committee for their respective Acts:
i. Department of Agriculture, & Farmers Welfare

(Ministry of Agriculture & Farmers Welfare)
ii. Ministry of Information & Broadcasting
iii. Ministry of Ports, Shipping & Waterways
iv. Department of Revenue (Ministry of Finance)
v. Ministry of Electronics and Information
Technology
vi. Ministry of Environment, Forest and Climate
Change
vii. Ministry of Housing and Urban Affairs
viii. Ministry of Road Transport & Highways
ix. Ministry of Statistics and Program
Implementation
x. Department of Defence (Ministry of Defence)
The Representatives of the Ministries of Commerce

369
10. 10th. 13 March 2023 Consideration and Adoption of the Draft Report of
the Joint Committee on the Jan Vishwas
370
Appendix - IV
LIST OF OFFICIAL WITNESSES WHO TENDERED ORAL EVIDENCE BEFORE THE

COMMITTEE
Sl. No. Name of Ministries/Departments Date of Oral Evidence

1. Department for Promotion of Industry and 09.01.2023
Internal Trade of the Ministry of Commerce &
Industry
2. Legislative Department of the Ministry of Law 09.01.2023
and Justice
3. Department of Legal Affairs of the Ministry of 09.01.2023

Law and Justice
4. Ministry of Electronics and Information 16.01.2023

Technology
5. Department of Agriculture & Farmers Welfare of 16.01.2023
the Ministry of Agriculture & Farmers Welfare
6. Department of Food & Public Distribution of the 16.1.2023

Ministry of Consumer Affairs, Food & Public
Distribution
Industry
and Justice

Law and Justice
10. Ministry of Environment, Forest and Climate 17.01.2023

Change
11. Ministry of Housing & Urban Affairs 17.01.2023
371
Industry
and Justice
Law and Justice
Industry
16. Department of Commerce of the Ministry of 31.01.2023
Commerce & Industry
Industry
and Justice
Law and Justice
20. Department of Financial Services of the Ministry 06.02.2023
of Finance
21. Department of Economic Affairs of the Ministry 06.02.2023
of Finance
22. Department of Revenue of the Ministry of 06.02.2023
Finance
Industry
and Justice
Law and Justice
26. Department of Health & family Welfare of the 07.02.2023
Ministry of Health & family Welfare
372
27. Ministry of Railways 07.02.2023
28. Ministry of Road Transport & Highways 07.02.2023

Industry
and Justice
Law and Justice
32. Ministry of Information & Broadcasting 09.02.2023
33. Ministry of Statistics & Programme 09.02.2023

Implementation
34. Department of Posts of the Ministry of 09.02.2023
Communications
35. Department of Consumer Affairs of the Ministry 09.02.2023
of Consumer Affairs, Food and Public
Distribution
36. Department of Defence of the Ministry of 09.02.2023
Defence
37. Ministry of Ports, Shipping & Waterways 09.02.2023

Industry
and Justice
Law and Justice
Industry
42. Department of Commerce of the Ministry of 16.02.2023
Commerce & Industry
373
43. Department of Consumer Affairs of the Ministry 16.02.2023
of Consumer Affairs, Food and Public
Distribution
44. Department of Economic Affairs of the Ministry 16.02.2023
of Finance
45. Department of Financial Services of the Ministry 16.02.2023
of Finance
46. Ministry of Railways 16.02.2023
47. Department of Food & Public Distribution of the 16.02.2023

Ministry of Consumer Affairs, Food & Public
Distribution
48. Department of Health & Family Welfare of the 16.02.2023
Ministry of Health & Family Welfare
49. Department of Posts of the Ministry of 16.02.2023
Communications
Industry
and Justice
Law and Justice
53. Department of Agriculture & farmers Welfare of 17.02.2023
the Ministry of Agriculture & Farmers Welfare
54. Ministry of Information & Broadcasting 17.02.2023
55. Ministry of Ports, Shipping & Waterways 17.02.2023
56. Department of Revenue of the Ministry of 17.02.2023

Finance
57. Ministry of Electronics and Information 17.02.2023
Technology
58. Ministry of Environment, Forest and Climate 17.02.2023
Change
374
59. Ministry of Housing & Urban Affairs 17.02.2023
60. Ministry of Road Transport & Highways 17.02.2023
61. Ministry of Statistics & Programme 17.02.2023
Implementation
62. Department of Defence of the Ministry of 17.02.2023
Defence
Industry
and Justice
Law and Justice
375
376
377
378
379
380
381
382
383
384
385
386
387
388
389
390
391
Appendix - VI
JOINT COMMITTEE ON THE JAN VISHWAS (AMENDMENT OF PROVISIONS) BILL, 2022
MINUTES OF THE FIRST SITTING OF THE COMMITTEE
The Committee sat on Monday, the 9th January, 2023 from 1100 hrs. to 1245 hrs. in
Committee Room ‘D’, Parliament House Annexe, New Delhi.
PRESENT
Shri P.P. Chaudhary – Chairperson
MEMBERS
LOK SABHA

4. Shri Sanjay Seth
RAJYA SABHA

392
SECRETARIAT

2. Shri Raju Srivastava - Director
3. Smt. Maya Menon - Under Secretary
WITNESSES
Sl No. Ministry/Department Representatives
1. Ministry of Commerce & i. Shri Anurag Jain - Secretary
Industry (DPIIT) ii. Ms. Manmeet K. Nanda - Joint Secretary
iii. Ms. Supriya Devasthali - Director
2. Ministry of Law & i. Dr. Niten Chandra – Secretary
Justice (Department of ii. Ms. Sunita Anand – Joint Secretary &
Legal Affairs) Legal Advisor
3. Ministry of Law & iii. Shri K.R. Saji Kumar – Joint Secretary and
Justice (Legislative Legislative Counsel
Department) iv. Shri Vinay Kumar Mishra – Deputy
Legislative Counsel
At the outset, the Chairperson welcomed Members and the Officials/Representatives

of the Ministries to the Sitting convened to have a briefing about the proposed amendments
pertaining to the Acts enforced by their Departments in the Schedule of the Jan Vishwas
(Amendment of Provisions) Bill, 2022.
2. The Chairperson then asked the Representatives of Department for Promotion of

Industry and Trade, Ministry of Commerce and Industry to provide a briefing about the
reasons for the proposed amendments in the schedule to the Bill.
3. The Representatives of the Ministry explained the reasons for the proposed changes
in the Bill as follows:
i. Ease of living and ease of doing business in line with the Government
mandate;
ii. Decrease the burden on businesses and inspire confidence amongst the
investors;
393
iii. Focus on economic growth, public interest and national security should remain
paramount;
iv. Mens rea (malafide/criminal intent) plays an important role in imposition of
criminal liability – therefore, it is critical to evaluate nature of non-compliance
i.e. fraud as compared to negligence or inadvertent omission; and
v. The habitual nature of non-compliance.
4. The Representatives of DPIIT explained the rationale for bringing this Bill, and stated
that the Government wanted to encourage trust-based governance and improve ease of
doing business. Towards this end, all Legislations were being reviewed from time to time
and already certain actions like Labour Codes, Reforms in Mining Sector, etc. were carried
out. In this exercise, the entire State Governments were taken on board for consultations,
as also the Departments/Ministries of the Central Government. They were basically told to
review on four counts (i) whether a Particular Provision is required at all or not (ii) can it be
simplified (iii) can it be done online (iv) decriminalize the minor offences. Some of the Acts
dates to pre-Independence period where small offences attracted imprisonment. These
were to be changed to penalty/fine. Based on these factors, the Jan Vishwas (Amendment
of Provisions) Bill, 2022 has been prepared.
5. The Committee sought to know the difference between fine and penalty. The officials
of Legislative Department clarified that fine is imposed by a judicial Court and penalty by an
administrative/quasi judicial authority. There is a need for an adjudication and appellate
mechanism in this structure.
6. Then the Representatives of the Department for Promotion of Industry and Internal
Trade made a power point presentation giving details about the different Acts and the
Sections being amended by different Ministries/Departments in the Jan Vishwas
(Amendment of Provisions) Bill, 2022 and brief overview of the same. Members sought
some clarifications and the Officials provided replies to them.
7. The Committee then decided to have briefing/Evidence of the Representatives of the

concerned administrative Departments/Ministries of the 42 Acts being administered by them.
The Committee then adjourned.
A verbatim record of the proceedings has been kept separately.
******
394
MINUTES OF THE SECOND SITTING OF THE COMMITTEE
The second sitting of the Joint Committee was held on Monday, the 16 th January,
2023 from 1500 hrs. to 1745 hrs. in Committee Room No 01, Extension to Parliament House
Annexe, New Delhi.
PRESENT
Shri P. P. Chaudhary - Chairperson
MEMBERS
LOK SABHA

8. Shri Rajiv Ranjan Singh,Alias Lalan Singh
RAJYA SABHA

SECRETARIAT

395
WITNESSES
Sl. No. MINISTRY/DEPARTMENT REPRESENTATIVES
1. The Ministry of Commerce & i. Ms. Manmeet K. Nanda, Joint Secretary

Industry ii. Ms. Supriya Devasthali, Director
(Department of Promotion of
Industry and Internal Trade)
2. The Ministry Of Electronics and i. Shri Alkesh Kumar Sharma, Secretary
Information Technology ii. Shri Amit Agrawal, Additional Secretary
iii. Dr. Saurabh Garg, CEO, UIDAI
3. The Ministry of Agriculture & i. Shri Manoj Ahuja, Secretary
Farmers Welfare ii. Shri Abhilaksh Likhi, Additional Secretary
(Department of Agriculture & iii. Dr. Vijaya Lakshmi Nadendla, Joint
Farmers Welfare) Secretary
4. The Ministry of Consumer i. Shri Sanjeev Chopra, Secretary

Affairs, Food & Public ii. Shri Ashok K. K. Meena, CMD (FCI)
Distribution iii. Shri Subodh Kumar Singh, Additional
(Department of Food & Public Secretary (Policy & FCI)
Distribution)
5. The Ministry of Law & Justice i. Shri K. R. Saji Kumar, Joint Secretary &
Legislative Counsel, Legislative
Department
ii. Ms. Sunita Anand, Joint Secretary &
Legal Advisor, Department of Legal
Affairs
2. At the outset, the Chairperson welcomed the Members and the

Officials/Representatives of the Ministries to the second sitting of the Joint Committee
convened about the proposed amendments pertaining to the Acts enforced by their
Departments in the Schedule of the Jan Vishwas (Amendment of Provisions) Bill, 2022. He
asked the Representatives of the respective Ministries/Departments to brief the Committee
396
on the relevant enactments administered by their department proposed to be amended,
about the reasons to bring the said amendments, foreseeable impact of the same and
whether proposed amendments shall have any retrospective effect on litigations pending
before the courts, if any.
3. Thereafter, the Chairperson invited the representatives of the Ministry of Electronics

and Information Technology to inform the Committee regarding proposed amendments by
their department in (i) The Aadhaar (Targeted Delivery of Financial and Other Subsidies,
Benefits and Services) Act, 2016 and (ii) The Information Technology Act, 2000.
4. The representatives of the Ministry of Electronics & Information Technology then

submitted that the Section 33, 44, 45, 67C, 68, 69B, 70B, 72, 72A of the Information
Technology Act, 2000 are being amended to reduce imprisonment or increase fines. The
officials also submitted that the imprisonment/fine imposed by Section 41 of the Act
mentioned at Sl No. 42 of the Schedule to the Bill is being replaced with increased penalty
for which the Committee sought detailed clarifications on the reasons of the proposed
amendment. The Committee also asked the officials to reexamine and give detailed
justification for the proposed amendments and accordingly furnish the written reply to the
queries raised by the Hon'ble Members.
(The Officials of Meity withdrew and then the Representatives of the Department of
Agriculture & Farmers Welfare were called before the Committee)
5. The Chairperson then asked the Representatives of the Department of Agriculture &
Farmers Welfare to provide briefing about the amendments proposed in the Agricultural
Produce (Grading and Marking Act), 1937 mentioned at Sl No 05 of the Schedule of the Bill.
The Officials of the Ministry submitted that the imprisonment clauses that exist in four
sections, namely 4, 5, 5A and 5B of the Act is being decriminalised by imposing increased
penalty. Members asked certain clarifications on the amendments proposed and Officials of
the Ministry clarified.
(The Officials of Department of Agriculture & Farmers Welfare then withdrew and the
Representatives of the Department of Food & Public Distribution deposed before the
Committee)
397
5. Thereafter, the Chairperson invited the representatives of the Department of Food &
Public Distribution of the Ministry of Consumer Affairs, Food & Public Distribution to brief on
the reasons for the proposed amendments in the Food Corporations Act, 1964 and the
Warehousing Corporation Act, 1962 mentioned at Sl. No. 16 & 17 of the Schedule to the Bill.
6. The representatives from the Ministries thereafter briefed the Committee on the the
proposed amendment for deletion of Section-41 from the Food Corporations Act, 1964 and
Section-38 from the Warehousing Corporation Act, 1962 alongwith justification.
7. The Chairperson thanked the Members of the Committee and the Officials of the
Ministries for appearing before them and explaining the rationale behind in the amendments
proposed in the Bill related to their Ministries.

******
398
MINUTES OF THE THIRD SITTING OF THE COMMITTEE
The third sitting of the Joint Committee was held on Tuesday, the 17th January, 2023
from 1100 hrs. to 1410 hrs. in Committee Room No 01, Extension to Parliament House
Annexe, New Delhi.
PRESENT
LOK SABHA
5. Shri Rajiv Ranjan Singh,Alias Lalan Singh
7. Shri Sanjay Seth
RAJYA SABHA

14. Shri Vivek K Tankha
SECRETARIAT

399
WITNESSES
1. The Ministry of Commerce & i. Ms. Manmeet K. Nanda, Joint
Industry Secretary
(Department of Promotion of ii. Ms. Supriya Devasthali, Director
Industry and Internal Trade)
2. The Ministry of Environment, i. Ms. Leena Nandan, Secretary
Forest and Climate Change ii. Shri Chandra Prakash Goyal, Director
General of Forests and Special
Secretary
3. The Ministry of Housing & Urban i. Shri Manoj Joshi, Secretary
Affairs ii. Shri Jaideep,OSD (UT) and ex officio
Joint Secretary
4. The Ministry of Law & Justice i. Shri K. R. Saji Kumar, Joint Secretary
& Legislative Counsel, Legislative
Department
ii. Ms. Sunita Anand, Joint Secretary &
Legal Advisor, Department of Legal
Affairs

Officials/Representatives of the Ministries to the third sitting of the Joint Committee
convened about the proposed amendments pertaining to the Acts enforced by their
Departments in the Schedule of the Jan Vishwas (Amendment of Provisions) Bill, 2022.
3. Thereafter, the Chairperson invited the Representatives of the Ministry of

Environment, Forest & Climate Change to brief the Committee on the relevant enactments
administered by their Ministry. The representatives of the Ministry explained the proposed
amendments under the Acts - The Indian Forest Act, 1927(Sl no 04 of the Schedule); The
Air (Prevention and Control of Pollution) Act of 1981 (Sl No 21 of the Schedule); The
Environment (Protection) Act, 1986 (Sl No 24 of the Schedule) and The Public Liability
400
Insurance Act, 1991 (S No 28 of the Schedule) through a power point presentation before
the Committee.
4. The officials of the Ministry of Environment, Forest & Climate Change submitted that
09 penal provisions under the Acts proposed to be amended are to be partially
decriminalised. The officials submitted that broad contours for continuing offences have
been made in the form of penalty, additional penalty and then criminal provision. The
Committee observed that the fine of Rupees Five Hundred imposed under the Sections 26 &
33 of the Indian Forest Act may be replaced with penalty and adjudicating mechanism may
be set up. In the Air (Prevention and Control of Pollution) Act, 1981, violations pertaining
Sections 22, 31A, 37, 38 and 39 are being proposed to be dealt with through imposition of
financial penalties replacing prosecution in the court of law.
5. The Committee then were briefed on the Environment Protection Act 1986 wherein
penal provision mentioned under the Act is proposed to be completely decriminalized by
substituting it with penalty and additional penalty. Members asked certain clarifications on
the amendments proposed by the Ministry and reasons for the same and Officials of the
Ministries clarified. With respect to The Public Liability Insurance Act 2002, the officials
informed that the provisions for substantial penalty are proposed be introduced for
contravention and non-compliance of the provisions in place of imprisonment along with the
insertion of provisions for utilization of Environment Relief Fund for restoration of public
property and environmental damage by utilization and provided justifications for the said
provisions to the Committee whereto the queries were raised on the amount of penalty
being prescribed.
(The Officials of MoEFCC withdrew and then the Representatives of the Ministry of
Housing & Urban Affairs deposed before the Committee)
6. Thereafter, the Chairperson invited the representatives of the Ministry of Housing and
Urban Affairs to inform the Committee regarding proposed amendments by their department
in the Metro Railways(Operation and Maintenance) Act, 2002 mentioned at Sl No 33 of the
Schedule to the Bill.
7. The representatives of the Ministry of Housing & Urban Affairs then submitted that
the imprisonment and fine provisions under Sections 59(2), 63, 69(4) and 70 are proposed
401
to be converted to penalty; imprisonment and fine under Section 80 is proposed to be
omitted and imprisonment tenure in Section 65 is proposed to be reduced. The Committee
observed that imprisonment provisions under the Section 59(2) of the Act may be retained
as the provisions deal with safety of the lives of the passengers. Members asked certain
clarifications on the amendments proposed by the Ministry and reasons for the same and
Officials of the Ministry clarified. The Chairperson also asked the officials to see
consequential effects of the provisions being amended and accordingly adjustments to the
proposed amendment may be made and furnished to the Committee.

*****
402
MINUTES OF THE FOURTH SITTING OF THE COMMITTEE
The fourth sitting of the Joint Committee was held on Tuesday, the 31 st January,
2023 from 1500 hrs. to 1715 hrs. in Committee Room No 02, Extension to Parliament House
Annexe, New Delhi.
PRESENT
LOK SABHA
2. Shri A. Raja
3. Shri Rajendra Agarwal
10. Shri Sougata Ray
11. Shri Sanjay Seth
RAJYA SABHA

403
SECRETARIAT

WITNESSES
1. The Ministry of Commerce & iii. Shri Anurag Jain, Secretary
Industry iv. Shri Rajeev Singh Thakur, Additional
(Department of Promotion of Secretary
Industry and Internal Trade) v. Ms. Shruti Singh, Joint Secretary
vi. Ms. Manmeet K. Nanda, Joint Secretary
vii. Ms. Supriya Devasthali, Director
2. The Ministry of Commerce i. Shri Sunil Barthwal, Secretary
(Department of Commerce) ii. Shri Sridhar Baku Addanki, Executive
Director, Tobacco Board
iii. Dr. K. G. Jagadeesha, CEO & Secretary,
Coffee Board
iv. Dr. M Angamuthu, Chairman, APEDA
v. Dr. K N Raghavan, Executive Director,
Rubber Board
vi. Shri D. Sathiyan, Secretary, Spices Board
3. The Ministry of Law & Justice i. Shri K. R. Saji Kumar, Joint Secretary &
Legislative Counsel, Legislative
Department
ii. Ms. Sunita Anand, Joint Secretary & Legal
Advisor, Department of Legal Affairs
2. At the outset, the Chairperson welcomed the Members of the Joint Committee on Jan
Vishwas (Amendment of Provisions) Bill 2022 and the representatives of Ministry of
Commerce and Industry and Ministry of Law and Justice.
404
3. The Chairperson made opening remarks about the Jan Vishwas (Amendment of
Provisions) Bill 2022 and sought to know the changes being made by the Department for
Promotion of Industry & Internal Trade and Department of Commerce in the Bill. The
Chairperson also drew the attention of the officials to Directions 55 of Directions by the
Speaker, Lok Sabha concerning the confidentiality of the Committee proceedings.
4. The Ministry officials from DPIIT made a Power Point Presentation on the followings
Acts and explained the existing provisions alongwith proposed amendments and also
reasons for amendments.
(i) Copyright Act, 1957 (Section 68 dealing with making false statement for deceiving or
influencing any authority or office is being omitted);
(ii) Patents Act, 1970 (Sections 120, 122 (sub-section (1) and (2)), 123 and 159 are
being amended; Section 121 proposed to be omitted; New Section 124 AL regarding
adjudication of penalty is proposed to be inserted;
(iii) Trade Marks Act, 1999 – Sections 107, 140 and 157 are proposed to be amended;
Sections 106, 108 and 109 are proposed to be omitted and a new Section 112 A is
proposed to be inserted.
(iv) Geographical Indications of Goods (Registration and Protection) Act, 1999 – 2

Sections (Sections 42 & 87) are proposed to be amended; Section 43 & 44 are
proposed to be omitted; and a new Section 37 A is proposed to be inserted.
(v) In the Boilers Act, 1923 – Amendment of section 22 seeks to insert a new clause (iv)
in Section 22 by omitting similar provision (clause (d)) in Section 24; Section 23 is
being substituted by a new Section 23 dealing with penalties for illegal use of boiler;
and in Section 24 dealing with other penalties, clauses (a), (b) and (d) are proposed
to be removed by inserting clause (a) & (b) in proposed new Section 23.
(vi) In the Industries (Development & Regulation) Act, 1951, section 24 (1), which has
provision for imprisonment and fine, is being replaced with enhanced fine; Section
24 A dealing with penalty for false statement is being omitted.
5. The officials of Department of Commerce then made a presentation regarding the

Rubber Act, 1947, the Tea Act 1953, the MPEDA Act, 1972 and the Spices Board Act, 1986.
Now
405
(i) In the Rubber Act 1947 Section 11, 13 and 26 are proposed to be amended which
dealt with punishment for contravention of provisions under the Act.
(ii) Under the Tea Act, 1953, the Sections 38, 39, 40, 41 & 42 are proposed to be
amended by omitting them which will facilitate ease of doing business and provide
fair benefits to all stakeholders.
(iii) Under the MPEDA Act, 1972, Sections 20 (3), 23, 24 and 25 are proposed to be
amended to replace imprisonment and fine with penalty. The proposed amendment
will reduce regulatory compliance burden on marine exporters and prevent fear of
undue harassment among stakeholders.
(iv) The Spices Board Act 1986 prescribed criminal penalties for offences under the Act
vide Section 27, 28, 29 and 30. Amendments have been proposed and Section 27,
29 and 30 to substitute punishment of imprisonment with civil penalty. Section 28
has been proposed for deletion to facilitate deregulation and trade.
Members sought clarifications on some of the provisions on some of the Acts and the
concerned Ministry officials clarified them.
6. At the end, the Chairperson thanked all the Members and officials who participated in
the discussions. The Committee authorized the Chairperson to finalise a Study Visit in
connection with the examination of Bill to consult the various stakeholders at a suitable date.
*******
406
MINUTES OF THE FIFTH SITTING OF THE COMMITTEE
The Committee sat on Monday, the 6th February, 2023 from 1500 hrs to 1720 hrs in
Committee Room ‘C’, Parliament House Annexe, New Delhi.
PRESENT
MEMBERS
LOK SABHA

3. Shri Sanjay Seth
RAJYA SABHA

SECRETARIAT
407
WITNESSES
Sl Ministry/Department Representatives
No
1. Ministry of Finance i. Shri Suchindra Misra – Additional
(Department of Financial Secretary
Services) ii. Shri Pankaj Sharma – Joint Secretary
2. Ministry of Finance i. Shri Rajeev Saksena – Joint Secretary

(Department of Economic Affairs) ii. Ms. Aparna Bhatia – Advisor
3. Ministry of Finance i. Shri Ritvik Pandey – Joint Secretary

(Department of Revenue) ii. Shri Amit Gunvant Bhole – Deputy
Secretary
4. Ministry of Commerce & Industry i. Ms. Manmeet K. Nanda - Joint

(Department for Promotion of Secretary
Industry & Internal Trade ) ii. Ms. Supriya Devasthali - Director
5. Ministry of Law & Justice i. Shri K.R. Saji Kumar – Joint Secretary
and Legislative Counsel, Legislative
Department
ii. Dr. Amit Tyagi – Deputy Legal Advisor,
Department of Legal Affairs
2. At the outset, the Chairperson welcomed the Members and Officials/Representatives

of the Ministries to the Sitting convened to have briefing about the proposed amendments
pertaining to the Acts enforced by respective Departments in the Schedule of the Jan
Vishwas (Amendment of Provisions) Bill, 2022. The Chairperson also informed about the
Confidentiality Clause of the proceedings and need to keep away from the Press until the
Report is presented to Houses.
3. Before the Officials started their briefing, the Members of the Committee expressed
their displeasure over the absence of Secretaries of all the three Departments who were
scheduled to appear before the Committee. The Members of the Committee expressed their
views that the final decision before the Committee need to be committed by the highest
ranking officials of the Ministries namely, the Secretary of the concerned department. The
408
Chairperson, while informing that the Secretaries had sought leave of absence a day prior to
the sitting, gave a direction to the Officials present of the concerned Ministries and DPIIT to
convey the unhappiness of the Committee to them and ensure that they appear before the
Committee in the future.
4. The Officials of Department of Financial Services made a power point presentation

regarding the following 5 Acts administered by them and the amendments proposed in the
Bill for decriminalization.
i. The Deposit Insurance and Credit Guarantee Corporation Act, 1961,

ii. The Payment and Settlement Systems Act, 2007,
iii. The Factoring Regulation Act, 2011,
iv. The National Housing Bank Act, 1987 and,
v. The National Bank for Agriculture and Rural Development Act, 1981.
In the DICGC Act, 1961, Section 47(2) is proposed to be amended to replace the
existing provisions for imposition of fine with penalty. Similarly, the consequential insertions
proposed to provide for the manner of levying and recovery of penalty.
5. In the Payment and Settlement System Act, 2007, Sections 26(3) and 26(6) are
proposed to be amended for minor procedural failure by replacing provision of imposition of
fine with penalty. It is also proposed to amend Section 30 as consequential amendment
providing for the manner of levying penalty by RBI.
6. The Officials then briefed about the Factoring Regulation Act, 2011 wherein
Section 21 is proposed to be amended by replacing the provision of imposition of fine with
penalty by RBI. Also, consequential insertions are being proposed in Section 22 to provide
for manner of levying and recovering of penalty by RBI.
7. Under the National Housing Bank Act, 1987, sub-section (2), (2B), (3) and (4) of
Section 49 are proposed to be omitted from that section by suitably inserting those in
Section 52, thereby, replacing the provision of imposition of fine with penalty by NHB and
RBI. Section 33(c) is also proposed to be inserted to debar or remove the Auditor in case of
failure to comply with any direction given by NHB and RBI.
8. The officials then explained the rationale behind amending Section 56(2) of the Act
where under it is proposed to replace imposition of fine with imposition of penalty by
409
NABARD. There are also consequential insertions proposed in Section 56 to provide for
manner of levying and recovery of penalty by NABARD.
(The Officials of DoFS withdrew and then the Representatives of the Department of
Economic Affairs (DoEA) deposed before the Committee)
9. The Officials of Department of Economic Affairs briefed the Committee about the
proposed omission of Section 27 in the Public Debt Act, 1944. One of the reasons provided
was no instance of invocation of Section 27 of Public Debt Act, 1944 so far.
10. Then the Committee were informed about the amendments proposed in Section 10
of the High Denomination Banknotes (Demonetization) Act, 1978. This Act provide to
eliminate possible use of the legal tender character of notes of Rs. 1000, Rs. 5000 and Rs.
10000 denominations issued by RBI for financing transactions which are harmful to national
economy. The Committee sought to know whether this amendment is really needed or the
entire Act can be repealed.
11. The Committee were then briefed about the proposed amendments in Section 30(1)
of the Government Securities Act, 2006 which propose to provide for replacing the existing
imprisonment and/or fine with fine only.
(The Officials of DoEA withdrew and then the Representatives of the Department of
Revenue were called before the Committee)
12. The Committee were then briefed by officials of Department of Revenue regarding
the proposed amendments in the Prevention of Money Laundering Act, 2002. It was
informed that these changes are consequential to decriminalization of certain offences in
respective enactments and since these offences are being decriminalized, they may be
deleted from the Schedule to the PMLA, 2002. The Committee made a general observation
that based on the suggestions made by Members, the modifications suggested in the
proposed amendments may be examined by the respective Departments and a statement
be prepared about their acceptance or otherwise with reasons for consideration of the
Committee during clause by clause consideration of the Bill.

******
410
MINUTES OF THE SIXTH SITTING OF THE COMMITTEE
The Committee sat on Tuesday, the 7th February, 2023 from 1500 hrs. to 1715 hrs in
Committee Room No.1, Extension to Parliament House Annexe, New Delhi.
PRESENT
MEMBERS
LOK SABHA

3. Shri Sanjay Seth
RAJYA SABHA

SECRETARIAT
411
WITNESSES
Sl Ministry/Department Representatives
No
1. Ministry of Health and iii. Shri Rajesh Bhushan – Secretary
Family Welfare iv. Shri G. Kamala Rao – CEO, FSSAI
(Department of Health & v. Dr. V.G. Somani – DCGI
Family Welfare) vi. Shri Sachin Mittal – Joint Secretary
vii. Shri Rajiv Wadhawan – Advisor
2. Ministry of Railways i. Ms. Jaya Varma Sinha - Member (Operation &
Business Development) & ex-officio Secretary
ii. Shri Jyoti Kumar Satija- DIG (Projects)
iii. Shri Ratnesh Kumar Jha - Executive Director
(Public Grievances)
iv. Shri Vipul Singhal - Director (Passenger
Marketing)
3. Ministry of Road, i. Smt. Alka Upadhyaya – Secretary
Transport & Highways ii. Shri Mahmood Ahmed – Additional Secretary
iii. Dr. Piyush Jain – Director, MVL
iv. Shri Shaaswat Jindal - Legal Consultant
4. Ministry of Commerce & i. Ms. Manmeet K. Nanda - Joint Secretary
Industry (DPIIT) ii. Ms. Supriya Devasthali - Director
5. Ministry of Law & i. Shri K.R. Saji Kumar – Joint Secretary and
Justice Legislative Counsel, (Legislative Department)
ii. Dr. Amit Tyagi – Deputy Legal Advisor
(Department of Legal Affairs)
2. At the outset, the Chairperson welcomed Members and the Officials/Representatives

(Amendment of Provisions) Bill, 2022.
3. The Chairperson asked the Representatives of Department of Health and Family

Welfare to brief about the reasons for the proposed amendments in the (i) The Drugs and
412
Cosmetics Act, 1940 (Sl No. 6 in the Schedule), (ii) The Food Safety and Standards Act,
2006 ( Sl No. 35 in the Schedule) and (iii) The Pharmacy Act, 1948 ( Sl No. 9 in the
Schedule) . The Officials of the Ministry made a power-point presentation giving reasons
behind the amendments in the Acts proposed in the Bill. The Committee observed that in
the Food Safety and Standards Act, 2006, the proposed amendments to Sections 59(i), 61
and 63 provide for removal of imprisonment clause and increase of fine and suggested that
since the said Sections deal with unsafe food, false information and carrying out a business
without licence and can harm larger public, the provision for imprisonment may be retained;
the term of ‘imprisonment’ may be reduced to three months in Sections 59 (i) and 63.
4. Similarly, in the Pharmacy Act, 1948, the proposed amendments in Section 26 A(3),
Section 41(1) and Section 42(2) provide for removal of imprisonment clauses and increase
in fine and also compounding of the fine. The Committee noted that these Sections deal
with willfully obstructing an Inspector in the exercise of powers under the Pharmacy Act,
1948, penalty for false claim as registered and dispensing by unregistered persons, and
therefore, these are all serious issues which can impact a larger public and suggested that
the imprisonment clauses may be retained upto three months instead of six months so as to
ensure effective deterrent in place.
(The Officials of MoHFW withdrew and then the Representatives of the Ministry of
Railways were called before the Committee)
5. The Committee then were briefed by the Officials of the Ministry of Railways about
the proposed amendment in Section 144(2) of the Railway Act, 1989 mentioned at S. No. 27
in the Schedule to the Bill. The proposed amendment relates to begging in any railway
carriage or any part of the Railway for which at present the punishment is of imprisonment
or fines. It is now being proposed to do away with this punishment provision. The Committee
agreed with the reasoning provided by the Officials of Ministry of Railways but observed that
there are penalties for offences like presence in platform without valid platform ticket,
unauthorized travelling in train, indecent behavior due to inebriated state, etc. which attract
imprisonment and court interventions and cases drag for several years, which need to be
decriminalized. Therefore, the Committee observed that the Ministry should revisit other
penal provisions in the Railways Act, 1989 and decriminalize as many provisions for
offences of minor nature as has been done by other Ministries, which have examined many
413
of the provisions and brought amendments to make and facilitate ease of living and ease of
doing business.
(The Officials of Ministry of Railways withdrew and then the Representatives of the
Ministry of Road, Transport and Highway deposed before the Committee)
6. The Committee were then briefed by the Officials of Ministry of Road, Transport and
Highways on the proposed amendments in the Motor Vehicle Act, 1988 as mentioned at S.
No. 26 in the Schedule to the Bill. The proposed amendments pertain to decriminalization of
minor offences and relate to Section 192(a), Section 200(1) and Section 215. It was
elaborated that Section 192 (a), relating to using vehicle without permit which attracts
imprisonment of one year, has been proposed to be modified to imprisonment 'and/or' fine
as it is treated to be an anomaly and not a major offence. The Section 200(1) refers to
composition of certain offences and Section 177(a), 192B(3) and Section 201 have been
included under this Section for compounding of offences. These Offences are very minor in
nature and hence will be dealt with administrative authority. The Third amendment relates
to Section 215 which provides for constitution of District Road Safety Committee and where
the State Governments have not constituted these Committees, then the Central
Government shall constitute these Committees on prescribed terms and conditions and shall
consist of a Chairperson and such other Members of the Central Government as considered
necessary. The Committee pointed out that the amendment proposed in the Bill has only
one provision and the power point presentation of the Ministry provides for two provisions
and suggested that the Ministry should do necessary action to rectify the anomaly.
7. The Committee made a general observation that all the Ministries should examine the
suggestions made by the Committee and come out with their considered responses during
the clause by clause examination of the Bill.

******
414
MINUTES OF THE SEVENTH SITTING OF THE COMMITTEE
The Committee sat on Thursday, the 9th February, 2023 from 1500 hrs. to 1915 hrs.
in Committee Room ‘D’, Parliament House Annexe, New Delhi.
PRESENT
MEMBERS
LOK SABHA

3. Shri Sanjay Seth
RAJYA SABHA

SECRETARIAT

415
WITNESSES
Sl No Ministry/Department Representatives
1. Ministry of Information & i. Sh. Apurva Chandra – Secretary
Broadcasting ii. Ms. Neerja Sekhar – Addl. Secretary
iii. Sh. Vikram Sahay – Joint Secretary
iv. Sh. Sanjiv Shankar – Joint Secretary
v. Sh. Prithul Kumar – Joint Secretary
2. Ministry of Statistics and i. Dr. G.P. Samanta – Secretary (S&PI) &

Programme Implementation Chief Statistician of India
ii. Dr. Bivas Chaudhuri – Addl. Director
General
iii. Sh. Ghan Shayam – Addl. Director
General
iv. Sh. Tanweer Qamar Mohammad – Joint
Secretary
v. Sh. Parveen Shukla – Dy. Director
General
vi. Shri C.K. Jha – Dy. Director General
3. Ministry of Communications i. Shri Vineet Pandey – Secretary

(Department of Posts) ii. Shri Jagannath Srinivasan – DDG (PO)
iii. Ms. Aparajita Mridha – ASP
4. Ministry of Consumer Affairs, i. Shri Rohit Kumar Singh – Secretary

Food & Public Distribution ii. Ms. Nidhi Khare – Addl. Secretary
(Department of Consumer iii. Shri Anupam Mishra – Joint Secretary
Affairs)
5. Ministry of Defence i. Smt. Nivedita Shukla Verma – Spl.
(Department of Defence) Secretary
ii. Shri Rakesh Mittal – Joint Secretary
iii. Smt. Sharmishta Maitra – Director
iv. Shri Ajay Kumar Sharma – DGDE
v. Smt. Sonam Yangdol – Addl. DG
416
(Cantts)
vi. Shri Daman Singh – DDG (Cantts)
6. Ministry of Ports, Shipping & i. Shri Sudhansh Pant – Secretary

Waterways ii. Shri Rajesh Kumar Sinha – Addl. Secy
(PS&W)
iii. Shri Sanjay Bariar – ADG (DG Shipping)
iv. Shri Mandeep Singh Randhava –
Director
7. Ministry of Commerce & i. Ms. Manmeet K. Nanda - Joint

Industry (DPIIT) Secretary
ii. Ms. Supriya Devasthali - Director
8. Ministry of Law & Justice i. Shri K.R. Saji Kumar – Joint Secretary
and Legislative Counsel, Legislative
Department
ii. Dr. Amit Tyagi – Deputy Legal Advisor,

(Amendment of Provisions) Bill, 2022. A general comment was made by the Committee for
all the Ministries to examine the suggestions made as per the deliberations of the
Committee thereto to Amendments proposed under the respective Acts being administered
by the respective Ministries/Departments and submit a statement of their responses during
the clause by clause consideration of the Bill.
3. The Chairperson asked the Representatives of Ministry of Information and

Broadcasting to provide a briefing about the reasons for the proposed amendments in the (i)
The Press and Registration of Books Act, 1867, (ii) The Cinematography Act, 1952 and (iii)
the Cable Television Networks (Regulation) Act, 1995 mentioned at Sl. Nos. 01, 11 & 29 of
the schedule to the Bill.
417
4. The Representatives of the Ministry explained the proposed changes in the Press
and Registration of Books, Act, 1867 wherein Section 12, 13, 14, 15A, 16, 16A, 16B, 17 and
19L are being amended and there are consequential changes in 8C(1), 8C(2) and 19K.
Then the Cinematography Act, 1952 was taken up and the proposed amendments in
Section 7(1)(a)(i), 7(1)(a)(ii), 7(1)(a)(iia), 7(1)(b), 7(1)(c) and provisions in Section 7(1)
alongwith new provisions in sub-section (4) in Section 7, sub-section (2) of Section 8 and
Section 14. Then the Representatives of the Ministry explained the amendments proposed
in Section 16(1), Section 16(2), Section 16(3), Section 17 and Section 18 and insertion of
new provisions in Section 22(2) of the Cable Television Networks (Regulation) Act, 1995.
Members asked certain clarifications on the amendments proposed by the Ministry and
reasons for the same and Officials of the Ministries clarified.
5. The Chairperson then asked the Representatives of Ministry of Statistics &

Programme Implementation to provide a briefing about the reasons for the proposed
amendments in The Collection of Statistics Act, 2008, mentioned at Sl. No. 39 of the
Schedule to the Bill. The Officials of the Ministry submitted that Sections 16, 17, 18, 19, 20,
21 and 22 are proposed to be omitted. Section 15 (1) and Section 15(2) are being amended
to increase the fine.
6. The Chairperson then asked the Representatives of the Department of Posts of the
Ministry of Communication to provide a briefing about the reasons for the proposed
amendments in The Indian Post Office Act, 1898 mentioned at Sl. No. 02 of the Schedule to
the Bill. The Officials of the Ministry submitted that Section 49 to 72 (23 Sections) are
proposed to be omitted in the Bill due to being outdated and are not relevant any more and
other extant rules, laws and provisions can be applied to serve the same purpose.
(The Officials withdrew and then the next set of Representatives of the
Ministries/Departments namely Department of Consumer Affairs, Department of
Defence and Ministry of Shipping, Ports and Waterways were called before the
Committee)
7. The Chairperson then asked the Representatives of Department of Consumer Affairs

to provide a briefing about the reasons for the proposed amendments in the Legal Metrology
Act, 2009, mentioned at Sl. No. 40 of the Schedule to the Bill. The Representatives of the
Department submitted that Section 25 to 47 of LM Act, 2009 provides for various penalties
418
by way of levy of fine in case of first offence and either imprisonment or fine or both in case
of second and subsequent offence. The amendment of eight Sections namely Section 25,
27, 28, 29, 31, 34, 35 and 48 has been proposed in the Bill to decriminalize certain minor
offences.
8. The Chairperson then asked the Representatives of Department of Defence to

provide a briefing about the reasons for the proposed amendments in the Cantonments Act,
2006, mentioned at Sl. No. 37 of the Schedule to the Bill. The Representatives of the
ministry informed that Section 156, 185, 285, 286, 287, 289, 300, 314, 331, 332 and
Schedule IV are proposed for amendments. The Officials made a power point presentation
explaining the existing and proposed amendments alongwith justification. Regarding
Section 156, 285, 286, 287(1), 289(5), 301, the Committee sought a more detailed response
for the justification on the amendments. The Committee advised the Officials to examine
the applicability of other Acts in this Section and take a final decision when they appear
before the Committee when it takes up Clause by Clause consideration of the Bill.
9. The Chairperson then asked the Representatives of Ministry of Ports, Shipping &
Waterways to provide a briefing about the reasons for the proposed amendments in the
Merchant Shipping Act, 1958, mentioned at Sl. No. 14 of the Schedule to the Bill. The
Representatives of the Ministry informed the Committee that under Section 436(2) of the
Merchant Shipping Act, 1958, there is an entire table which provides for penalties and fines
for offences committed under this Act. In the proposed amendments, the guiding principle is
to decriminalize minor offences and reduce the punishment from imprisonment and/or fine
or both to penalty. A new provision for compounding of contravention and imposition of
penalty by executive authority is being proposed. Members sought clarifications and officials
gave replies to the same.
******
419
MINUTES OF THE EIGHTH SITTING OF THE COMMITTEE
The eighth sitting of the Joint Committee was held on Thursday, the 16 th February,
2023 from 1100 hrs. to 1430 hrs. in Committee Room No G074, Parliament Library Building,
New Delhi.
PRESENT
MEMBERS
LOK SABHA

RAJYA SABHA

9. Shri Vivek K Tankha
11. Dr. Radha Mohan Das Agrawal
SECRETARIAT
1. Shri H Ram Prakash - Director

420
WITNESSES
1. Ministry Of Commerce i. Shri Anurag Jain, Secretary
& Industry (Department ii. Shri R. S. Thakur, Additional Secretary
For Promotion Of iii. Ms. Shruti Singh, Joint Secretary
Industry & Internal iv. Ms. Manmeet Nanda, Joint Secretary
Trade) v. Ms. Supriya Devasthali, Director
2. Ministry Of Commerce & i. Shri Rajesh Agrawal, Addl. Secretary

Industry ii. Dr. K.N. Raghavan, Executive Director,
(Deptt. Of Commerce) Rubber Board
iii. Shri D. Sathiyan, Secretary, Spices Board
iv. Shri K.S. Pradeep, Secretary, MPEDA
v. Shri Saurav Pahari, Deputy Chairman, Tea
Board
vi. Shri Neeraj Gaba, Director,
vii. Shri Praveen Kumar, Director
3. Ministry of Consumer i. Ms. Nidhi Khare, Addl. Secretary
Affairs, Food and Public ii. Shri Anupam Mishra, Joint Secretary
Distribution iii. Shri N. Natarajan, Director
(Deptt. Of Consumer
Affairs)
4. Ministry Of Communications i. Shri Vineet Pandey, Secretary
(Deptt. Of Posts) ii. Shri Jagannath Srinivasan, DDG(PO)
5. Ministry Of Finance i. Shri Ajay Seth, Secretary
(Department Of Economic ii. Shri Ashish Vachhani,
Affairs) Addl.Secretary(Budget)
iii. Shri Rajev Saksena, Joint
Secretary(Investment)
iv. Ms. Aparna Bhatia, Advisor (BP&CT)
6. Ministry Of Finance i. Shri Suchindra Misra,
(Department Of Financial Additional Secretary
Services) ii. Shri Pankaj Sharma, Joint Secretary
421
iii. Ms. Sushma Kindo, Joint Director
iv. Shri Raghav Bhatt, Deputy Director
v. Shri Shubhranshu Shekhar, OSD
7. Ministry Of Railways i. Ms. Jaya Varma Sinha, Member

(Operation & Business Development) & ex-
Officio Secretary, Railway Board
ii. Shri Ratnesh Kumar Jha, Executive
Director (Public Grievances), Railway
Board
iii. Shri Vipul Singhal, Director (Passenger
Marketing), Railway Board
8. Ministry of Food & Public i. Shri Sanjeev Chopra, Secretary
Distribution ii. Shri Ashok K.K. Meena, CMD
iii. Shri Subodh Kumar Singh, Addl. Secretary
iv. Shri Amit Kumar Singh, MD
9. Ministry Of Health And i. Shri Rajesh Bhushan, Secretary
Family Welfare (Department ii. Shri G. Kamala Vardhana Rao, CEO,
Of Health & Family Welfare) FSSAI
iii. Dr. V.G. Somani, DCGI
iv. Shri Sachin MIttal, Joint Secretary
v. Shri Rajiv Wadhawan, Advisor
10.Ministry of Law & Justice i. Ms. Sunita Anand, Joint Secretary & Legal
Advisor (Department Of Legal Affairs)
ii. Shri. K. R. Saji Kumar, Joint Secretary and
Legislative Counsel, (Legislative
Department)
iii. Shri Vinay Kumar Mishra, Deputy
Legislative Counsel, (Legislative
Department)

Officials/Representatives of the Ministries to the eighth sitting of the Joint Committee
422
convened for Clause by Clause consideration of the Jan Vishwas (Amendment of
Provisions) Bill, 2022.
3. Thereafter, the Chairperson invited the Representatives of the Department for

Promotion of Industry and Internal Trade to brief the Committee on the revisions made as
per the deliberations held during the sittings of the Committee in the amendments proposed
to the Acts mentioned at Sl No 03, 13, 31, 10, 18 and 30 in the Schedule to the Bill. The
representatives of the Ministry submitted that all the suggestions made by the Committee
have been accepted by their Department and accordingly incorporated except for the
suggestion made regarding applicability of the amendments to the cases pending before the
courts with retrospective effect.
(The Officials of DPIIT then withdrew and then the Representatives of the Department
of Posts were called before the Committee)
4. The officials of the Department of Posts of the Ministry of Communications submitted

that in order to decriminalise, sections 49 to 72 of the Indian Post Office Act, 1898 are
proposed to be omitted under the Bill and the Committee have accepted the same. No
further amendments have been proposed to the proposed amendments under the Bill.
(The Officials of Department of Posts (DoP) withdrew and then the Representatives of
the Department of Economic Affairs were invited before the Committee)
5. Thereafter, the representatives of the Department of Economic Affairs informed the

Committee that as per the suggestions of the Committee, the amendment to Section 3 (1)
of the Government Securities Act 2006, has been accepted to modify the fine with penalties
and accordingly make consequential changes. For the High Denomination Banknotes
(Demonetization) Act, 1944, the Ministry officials said they had accepted the suggestions of
the Committee and that the Act may be repealed. The Committee asked the representative
of Ministry of Law & Justice to provide a draft for the same for consideration and adoption of
the Bill.
(The Officials of DEA withdrew and then the Representatives of the Department of
Commerce deposed before the Committee)
423
6. The representatives of the Department of Commerce then presented their statement
on the revisions made as per the suggestions made by the Committee. The officials
submitted that mechanism for adjudication & appeal has been included wherever
fines/imprisonment has been replaced with penalties. The Officials informed that the Ministry
has accepted all the suggestions of the Committee and has made necessary changes in the
Act and showed them in their powerpoint presentation. The Committee observed that
separate sections for adjudication and appellate mechanism may be made while considering
the amendments proposed under the Marine Products Export Development Authority Act,
1972. The Committee raised queries over the revision being made to amendments and the
officials accordingly clarified. The officials of Ministry of Law and Justice were asked to
provide the revised draft as per the Committee deliberations for consideration and adoption
of the Bill. Clause by Clause amendments proposed by Member Adv. Dean Kuriakose in
relation to Section 11, sub section (3); Section 13, sub section (3) and Section 26, sub
section (1) of the Rubber Act, 1947 and Section 38 to 42 of the Tea Act, 1953 were
considered by the Committee and not accepted.
(The Officials withdrew and then the Representatives of the Ministry of Railways
were called before the Committee)
7. The representatives of the Ministry of Railways were called upon to explain their
position on the suggestions made by the Committee. The officials informed the Committee
that they are modifying provisions in relation to begging inside Railway carriage or premises
and will review other provisions of the Act. The Committee observed that there is more
scope for decriminalising the provisions in the Railway Act and asked the Ministry to explore
and identify other provisions wherever decriminalization can be carried out.
(The Officials of Railways withdrew and then the Representatives of Department of

Consumer Affairs were called before the Committee)
8. The officials of the Department of Consumer Affairs submitted to the Committee that
in relation to Section 25 of the Legal Metrology Act, 2009, the amount of fine for the first
offence, second offence, and for the third and subsequent offence, has been revised as per
the suggestions of the Committee to Rupees one lakh, two lakh and upto five lakh
424
respectively. Rest of the suggestions of the Committee were also accepted by the Ministry
and revisions were made accordingly and shown in the powerpoint presentation.
(The Officials of DoCA withdrew and then the Representatives of the Department of
Health & Family Welfare appeared before the Committee)
9. Thereafter, the Chairperson invited the representatives of the Ministry of Health &
Family Welfare to brief the Committee regarding the views of the Ministry on suggestions of
the Committee for the Acts mentioned at Sl No 6, 9 and 35 of the Schedule to the Bill. The
Officials of the Ministry stated that the suggestions of the Committee regarding Section 29
and 30 (2) under the Drugs and Cosmetics Act, 1940; Section 59 (i), 61 and 63 under the
Food Safety and Standards Act, 2006; and Section 26 A, 41 and 42 under the Pharmacy
Act, 1948 have been accepted and necessary changes made in the provisions were shown
to the Committee in their presentation. Clause by clause amendments proposed by Member
Adv. Dean Kuriakose for Section 30, sub section (2) and Section 32 B sub section (1) were
discussed by the Committee and not accepted.
(The Officials of MoHFW withdrew and then the Representatives of the Department of
Financial Services were called before the Committee)
10. The representatives of the Department of Financial Services were called upon to
explain the their position on the suggestions made by the Committee in the proposed
amendments in the Bill relating to the Ministry. The officials informed that in the 4 Acts being
administered by the respective department, they have accepted all the suggestions of the
Committee and revision in accordance have been made and submitted to the Committee.
The Committee observed lack of clarity over the issuance of notice in the context of Section
47 (4) of the Deposit Insurance and Credit Guarantee Corporation Act, 1961 and sought
clarification with the Legislative Department of the Ministry of Law & Justice. The Committee
also asked the ministry officials to revisit the connotation of principal civil court as mentioned
in sub-section (3) of Section 56 of the National Bank for Agriculture and Rural Development
Act, 1981, so as to bring harmony in interpretation and designation.
(The Officials of DoFS withdrew and then the Department of Food and Public
Distribution were called before the Committee)
425
11. The officials of the Department of Food and Public Distribution submitted that
amendments proposed as per the suggestions of the Committee to the Amendments
proposed to the Acts under the Bill mentioned in Sl No 06, 09 and 35 of the Schedule were
accepted by the Committee.
12. The Chairperson directed that the amendments agreed to by the Committee may be
incorporated in the Bill alongwith consequential amendments, wherever necessary. The
Chairperson then thanked the Members of the Committee and the Officials of the Ministries
for appearing before them.
******
426
MINUTES OF THE NINTH SITTING OF THE COMMITTEE
The Committee sat on Friday, the 17th February, 2023 from 1100 hrs. to 1345 hrs. in
Main Committee Room, Parliament House Annexe, New Delhi.
PRESENT
MEMBERS
LOK SABHA

RAJYA SABHA

SECRETARIAT
427
WITNESSES
1. Ministry of Information & i. Sh. Apurva Chandra –
Broadcasting Secretary
ii. Ms. Neerja Sekhar – Addl.
Secretary
iii. Sh. Vikram Sahay – Joint
Secretary
iv. Sh. Sanjiv Shankar – Joint
Secretary
2. Ministry of Defence i. Smt. Nivedita Shukla Verma –

(Department of Defence) Spl. Secretary
ii. Shri Rakesh Mittal – Joint
Secretary
iii. Smt. Sharmishta Maitra – Director
iv. Shri Ajay Kumar Sharma – DGDE
v. Smt. Sonam Yangdol – Addl. DG
(Cantts)
vi. Maj. Gen. R.S. Rawal – ADG
(LWE)
3. Ministry of Ports, Shipping & i. Shri Sudhansh Pant – Secretary

Waterways ii. Shri Rajesh Kumar Sinha – Addl.
Secy (PS&W)
iii. Shri Mandeep Singh Randhava –
Director
428
4. Ministry of Statistics and i. Dr. G.P. Samanta – Secretary
Programme Implementation (S&PI) & Chief Statistician of
India
ii. Sh. Ghan Shayam – Addl. Director
General
iii. Sh. Parveen Shukla – Dy. Director
General
5. Ministry of Environment, i. Ms. Leena Nandan – Secretary

Forest and Climate Change ii. Shri Chandra Prakash Goyal –
DGF & SS
iii. Shri Bivash Ranjan – ADGF
iv. Shri Naresh Pal Gangwar – Addl.
Secretary
v. Shri R. Raghu Prasad – IG of
Forests
6. Ministry of Electronics & i. Shri Alkesh Kumar Sharma –

Information Technology Secretary
ii. Shri Amit Agrawal – Addl.
Secretary
iii. Ms. Vidushi Chaturvedi – DDG
iv. Shri Atul Kumar Chaudhary – DDG
v. Shri Rakesh Maheshwari –
Scientist ‘G’ & GC
7. Ministry of Housing and Shri Jaideep – JS & OSD

Urban Affairs
8. Ministry of Finance Shri Sanjay Malhotra - Secretary

(Department of Revenue)
9. Ministry of Agriculture & i. Shri Manoj Ahuja - Secretary

Farmers Welfare ii. Dr. Vijaya Lakshmi Nadendla -
(Department of Agriculture & Joint Secretary
Farmers Welfare)
429
10. Ministry of Road Transport i. Shri Mahmood Ahmed – Addl.
& Highways Secretary
ii. Dr. Piyush Jain - Director
iii. Shri Shaashwat Jindal – Legal
Consultant
11. Ministry of Commerce & i. Ms. Manmeet K. Nanda - Joint

Industry (DPIIT) Secretary
ii. Ms. Supriya Devasthali - Director
12. Ministry of Law & Justice i. Ms. Sunita Anand – Joint

Secretary and Legal Advisor,
ii. Shri K.R. Saji Kumar – Joint
Secretary and Legislative Counsel,
(Legislative Department)

of the Ministries to the Sitting convened to have Clause by Clause reading of the Jan
Vishwas (Amendment of Provisions) Bill, 2022.
3. The Chairperson asked the Representatives of the Ministry of Agriculture and

Farmers Welfare to provide their views on the suggestions made by the Committee and
informed about its acceptance or otherwise. The Representatives of the Ministry informed
that the suggestions given by the Committee with respect to Section 5, 5(D) and 5(E) have
been accepted and changes have been made in the provisions. The Committee accepted
the Ministry’s view and advised the Legislative Department to make appropriate changes in
the revised Bill.
(The Officials of Department of Agriculture and Farmers Welfare withdrew and then
the representatives of Department of Revenue(DoR) were called before the
Committee)
4. Then, the Representatives of Department of Revenue submitted their view point

regarding the amendments proposed in the Bill to the Committee. The Secretary,
430
Department of Revenue stated that all the amendments that have been proposed in the Bill
relating to the Money Laundering Act are of consequential changes due to many of the
provisions in some of the Acts becoming decriminalized. The proceeds of any crime is the
starting point for the Money Laundering Act to come into force. Therefore, the Ministry has
brought those amendments in the Bill to be consonance with the other amendments in other
Acts brought by different Ministries. The Committee acknowledged the view point of the
Ministry regarding the Bill.
(The Officials of DoR withdrew and the officials of Ministry of Ports, Shipping and
Waterways (MoPSW) were called before the Committee)
5. Then, the Secretary of Ministry of Ports, Shipping and Waterways was called to
explain the decision of the Ministry towards the suggestions made by the Committee during
the briefing held regarding the amendments proposed by the Bill in the Merchant Shipping
Act, 1958. The Representatives submitted that the amendments to 108E(a) and 108E(b)
under Section 344G are not being pursued as proposed in the Bill and instead the
provisions shall be retained in the Act as per the suggestion of the Committee. The rest of
the amendments proposed have already been explained and the Committee had accepted
the same.
(The Officials of MoPSW withdrew and the representatives of Ministry of Housing and
Urban Affairs (MoHUA) deposed before the Committee)
6. The Committee then, called upon the Representatives of the Ministry of Housing and
Urban Affairs to give the views of the Ministry to the suggestions made by the Committee on
the amendments proposed in the Metro Railways (Operation and Maintenance) Act, 2002.
The Representatives submitted that the suggestions made in Section 59(2), 63, 65 and the
consequential changes in the Act have been accepted and the necessary changes have
been made in the provisions. The Committee sought certain clarifications on Section 63 and
the Representatives clarified the same.
(The Officials of MoHUA withdrew and then the officials Ministry of Statistics and
Programme Implementation were invited before the Committee)
7. Then, the Committee invited the Representatives of Ministry of Statistics and

Programme Implementation to submit their response to the suggestions made by the
431
Committee to the amendments proposed in the Collection of Statistics Act, 2008. The
Officials of the Ministry submitted that the Committee gave suggestions in Section 15(1) and
15(2). The word ‘punishable’ was to be substituted with ‘liable’ and ‘fine’ with ‘penalty’. The
amount of penalty may also be enhanced. Similarly, in suggestion to Section 15(2), the
Committee suggested to replace the word ‘conviction’ with ‘imposition’ and ‘punishable’ with
‘liable’. The Officials informed that the Ministry has accepted all the suggestions and has
made necessary changes in the Act submitted to the Committee.
(The Officials of MoSPI withdrew and the representatives of Ministry of Information

and Broadcasting (MoIB) were called before the Committee)
8. The Committee, then called upon the Representatives of Ministry of Information and
Broadcasting to explain their position on the suggestions made by the Committee in the
proposed amendments in the Bill. The Representatives of the Ministry informed that in the
Cable Television Networks (Regulation) Act, 1995, they have accepted all the suggestions
made by the Committee to Section 16, 16(2) and 22(2)(db) and accordingly, the provisions
of the Bill after revision were shared with the Committee. The Representatives of the
Ministry informed that the Committee had suggested certain changes to Section 15 of the
Cinematograph Act, , 1952 to which the Ministry has no objection and accordingly the
revised provisions were shared with the Committee.
Then the Representatives explained the acceptance of the suggestions of the

Committee made in the Press and Registration of Books Act, 1867 in Section 19(K) and
where the words ‘punishable with’ be substituted with ‘liable for’ in the Bill and the revised
formulation was shown to the Committee. Further, clause by clause amendments in relation
to Section 8 C of the Press and Registration of Books Act, 1867 as proposed by Member
Adv. Dean Kuriakose was considered by the Committee and not accepted.
(The Officials of MoIB withdrew and the representatives of Ministry of Defence

were called before the Committee)
9. The Representatives of the Ministry of Defence were invited to explain their view
point about the suggestions of the Committee on various amendments to the Cantonments
Act, 2006. The Officials informed that the suggestions made by the Committee with respect
to Section 156, 285, 286, 287, 289(5) and 332(1) have been examined in consultation with
Army HQ and it is proposed to retain the existing provisions and the amendments in the Bill
432
may not be followed up. The consequential changes to Schedule IV will also get partially
modified due to the changed view of the Ministry. The Committee sought certain
clarifications from the Officials of the Ministry and the same were provided.
(The Officials of Ministry of Defence withdrew and then the Ministry of Electronics
and Information Technology were invited before the Committee)
10. Then, the Committee called upon the Representatives of the Ministry of Electronics
and Information Technology to explain the Ministry’s standpoint on the amendments in the
IT Act, 2000 and Aadhaar Act, 2016. The Officials of the Ministry stated that the
suggestions of the Committee regarding Section 2(1), 45, 46 and 72A have been accepted
and necessary changes made in the provisions were shown to the Committee. However,
the suggestion of the Committee regarding Section 72 to retain the imprisonment and fine
provision was not accepted by the Ministry wherein they justified that the proposed
amendments will be effective deterrent and are in alignment with the draft Digital Personal
Data Protection Bill being proposed by the Ministry. The Committee took the Ministry’s view
point into consideration. Then, the Representatives also suggested that the suggestion
made by the Committee to decriminalize the provisions for imprisonment in the amendments
proposed in the Aadhaar Act, 2016 are accepted and they will be suitably incorporated in
the Digital Personal Data Protection Bill.
(The Officials of Meity withdrew and the representatives of Ministry of Environment,

Forests and Climate Change deposed before the Committee)
11. The Committee then invited the Representatives of the Ministry of Environment,
Forests and Climate Change to give their explanation regarding the suggestions of the
Committee. The Officials of the Ministry stated that the suggestions of the Committee
regarding the Air Act, 1981 with respect to Section 21 and 39 A have been accepted.
Similarly, with respect to Environment Protection Act, 1986, the suggestions towards
Section 15 have been accepted by the Ministry. Further, the suggestions of the Committee
about the amendments to Indian Forest Act, 1927 with respect to Section 26 and 33 have
been accepted. Finally, in the Public Liability Insurance Act, 1991, the suggestion of the
Committee to Section 15 has been accepted. The revised formulation after the acceptance
of the views of the Committee were shown to the Committee in its presentation.
433
(The Officials of MoEFCC withdrew and then the Ministry of Road Transport &
Highway were called before the Committee)
12. The Committee then called upon the Representative of the Ministry of Road
Transport & Highways to given their view point on the suggestions made by the Committee
to the amendments proposed to the Motor Vehicles Act, 1988 in the Bill. The
Representatives of the Ministry stated that the suggestions of the Committee to Section 200
and 215 of the Motor Vehicles Act, 1988 have been accepted by the Ministry and suitable
revision in the language in the Bill were shown to the Committee in the power point
presentation.
13. The Committee then considered Clauses 1 to 4, Enacting Formula and Long Title of
the Bill. The Committee agreed that in the Long Title, the words "minor offences" be
replaced with the words "certain offences" and also the year "2022" and year of Republic in
Enacting Formula be amended due to change in the year of Republic and Calendar year.
The Chairperson directed the Officials of the Legislative Department of the Ministry of Law
and Justice to suitably incorporate all the amendments that have been adopted in the
Clause by Clause reading of the Bill and provide the Draft revised Bill to the Secretariat by
23 February, 2023.
******
434
MINUTES OF THE TENTH SITTING OF THE COMMITTEE
The Committee sat on Monday, the 13th March, 2023 from 1500 hrs. to 1530 hrs. in
Main Committee Room, Parliament House Annexe, New Delhi.
PRESENT
MEMBERS
LOK SABHA

4. Shri Sanjay Seth
RAJYA SABHA

SECRETARIAT

435
WITNESSES
1. Ministry of Commerce & Industry i. Ms. Manmeet K. Nanda - Joint Secretary
(DPIIT) ii. Ms. Supriya Devasthali - Director
2. Ministry of Law & Justice i. Shri K.R. Saji Kumar – Joint Secretary and
Legislative Counsel, Legislative Department
2. At the outset, Hon'ble Chairperson extended a warm welcome to all the Members to
the tenth sitting of the Committee convened for the consideration and adoption of the Draft
Report of the Committee. The Committee considered the Draft Report in its entirety and
adopted the same. The Chairman also informed that if any Member wants to submit a
Dissent note, the same may be submitted by 05.00 pm on March 14, 2023 and the same will
be examined according to procedure and will be decided on merits.
3. The Committee also authorized the Chairperson to present the Report in the House
and finalize an alternate Member from Lok Sabha to present the Report in the Lok Sabha.
The Committee also finalized the names of the Member from Rajya Sabha to lay the Report
on the table of Rajya Sabha and the alternate Member to lay the Report. It was also decided
that the proceedings of the sittings of the Committee may be placed in the Parliament
Library after the Report has been presented to Parliament, for reference of the Members of
Parliament.
4. The Committee also appreciated the officials of the Secretariat, Department for
Promotion of Industry and Internal Trade and Legislative Department of Ministry of Law and
Justice.
******
436

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LOK SABHA

REPORT OF THE JOINT COMMITTEE ON

SEVENTEENTH LOK SABHA

LOK SABHA SECRETARIAT

REPORT OF THE JOINT COMMITTEE ON

(SEVENTEENTH LOK SABHA)

LOK SABHA SECRETARIAT

PART CONTENT PAGE No.

Composition of the Committee ii-iv

Chapter I Objectives, Necessity and Scope of the Jan Vishwas 1-11

Chapter II Examination of the Bill by the Joint Committee 12-251

Chapter III Clause by Clause consideration of the Jan Vishwas 252-362

I. Motion in Lok Sabha for reference of the Bill to the 363-364

III. Details of the sittings of the Joint Committee on the 366-370

IV. List of Official witnesses who tendered oral evidence 371-375

V. Notes and Minutes of Dissent 376-391

VI. Minutes of the sittings 392-436

BILL AS REPORTED BY THE JOINT COMMITTEE 1-57

THE JAN VISHWAS (AMENDMENT OF PROVISIONS) BILL, 2022

SHRI P.P. CHAUDHARY – HON'BLE CHAIRPERSON

2. Dr. Sanjay Jaiswal

22. Shri Ghanshyam Tiwari

1. Shri Vinay Kumar Mohan - Joint Secretary

I, the Chairperson of the the Joint Committee on the Jan Vishwas

2. The Jan Vishwas (Amendment of Provisions) Bill, 2022 was introduced in

6. The Committee, in their tenth sitting held on 13 March, 2023, considered

7. The Committee wish to express their thanks to the representatives of the

8. The Committee take this opportunity to express their deep appreciation

Dated: 13 March 2023

Objectives, Necessity and Scope

1. Objectives of the Jan Vishwas (Amendment of Provisions) Bill, 2022

1.3. Decriminalising certain offences: Under the Jan Vishwas (Amendment of

1.6. Appointing Adjudicating Officers: As per the Jan Vishwas (Amendment of

1 Imprisonment and/or Fine removed 55 (21)

Imprisonment and fine removed 42

2 Imprisonment and/or Fine converted to Penalty 89 (22)

Imprisonment and fine converted to Penalty 69

Imprisonment converted to Penalty 2

Fine converted to Penalty 18

3 Imprisonment removed and Fine retained 14 (6)

4 Imprisonment removed and Fine enhanced 18 (5)

5 Introduced Compounding of Offences 6 (3)

Total Provisions to be decriminalized 182

Consequential and other amendments in the Bill

2. Necessity for the Jan Vishwas (Amendment of Provisions) Bill, 2022

 The Amendment Bill envisages a thrust to businesses by eradicating the fear of

 The regulatory burden often poses substantial deterrents for investors.

SEAMLESS TRANSFORMATION FROM EXISTING PROVISIONS TO THE

(ii) Simplification of procedures related to applications, renewals, inspections, filing

(iii) Digitization of government processes by creating online interaces.

(iv) Decriminalisation of minor, technical or procedural defaults.

4. Acts under consideration

1. The Press and Registration of Books Act, 1867

PROCEDURE ADOPTED BY THE COMMITTEE IN EXAMINATION OF THE BILL

Expounding further on the matter the Ministry submitted as under:

2.4. It was further submitted that

Sl. Date & Day Agenda

[Serial No. 1 of the Jan Vishwas (Amendment of Provisions) Bill, 2022)]