New Delhi: Celebrity brand ambassadors may face punitive action if the Centre accepts the report of a Parliamentary Committee on changes in the Consumer Protection Act.
Sources said the Parliamentary Committee on Food, Consumer Affairs and Public Distribution, chaired by Telugu Desam Party (TDP) leader JC Divakar Reddy unanimously adopted the report on Monday.
The committee recommended that stringent provisions should be made in the amended Act to tackle misleading advertisements and fixing liability on celebrities.
Under the proposed guidelines the brand ambassadors have to verify before branding a product otherwise they could face a legal action if the claims turn out to be false or misleading. They could also face a jail term of five years and a fine of Rs 50 lakh.
The report may come as a boon for the flat owners of the Amrapali Saphhire housing project in Noida near Delhi, who are protesting against the builder over incomplete work. Indian cricket captain MS Dhoni is the brand ambassador of the Amrapali Group, a realty major.
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