Actors/Actresses May Go to Jail for Misleading Ads

House Panel Moots 5-Year Term, Rs 50L Fine

In a bid to make celebrity endorsers accountable for misleading advertisement or endorsements, a parliamentary committee has recommended maximum of five years in jail and Rs 50 lakh fine. If the proposed recommendations are incorporated in the consumer protection bill, brand ambassadors will have to be more careful when signing a contract with private players.

Sources told TOI that in making its recommendations, which will be submitted to Parliament soon, the panel went beyond the view of ministry that the punishment be pegged at three years, adding another two years to the jail term and a steep financial penalty .

While the proposals are not binding either fully or partly , they reflect the gathering consensus that celebrity endorsers should be liable for what they peddle for a fee. Several celebriti es are under fire for their association with brands whose promises have either fallen short or have mislead the consumer.

"Since they promote the sale of a product making false claims, there was a strong view that such persons must be made to pay along with the manufacturer or promoter of a product or service," said a government official. The panel headed by Telugu Desam Party MP J C Divakar Reddy has recommended higher penalty for repeat offenders.

Sources said, as per the recommendation, for the first-time offence, the penalty would be Rs 10 lakh fine or imprisonment up to two years or both. The second offence would lead to a fine of Rs 50 lakh and imprisonment for five years. There is also a proposal to increase the penalty for subsequent offences, which can be linked to the sale volumes of such products or services. The recommendations have been proposed keeping in mind that the consumers blindly believe endorsements by celebrities, which include some national awardees.

Sources said that the committee has also recommended stringent penalties for food adulteration or for any "extraneous" ingredient found in food items.

Since consuming such items pose threat to life and health of public, the panel has recommended rigorous imprisonment of two years with Rs 10 lakh fine and suspension of licence for two years, in case of first offence. For subsequent offence the jail term may be five years and Rs 50 lakh fine.