The Legal Metrology Act of 2009 (“2009 Act”), which inter alia deals with regulation of trade and commerce in weights, measures, and numbers, has recently undergone significant changes courtesy of the Jan Vishwas (Amendment of Provisions) Act of 2023 (“Amendment Act”). The said Amendment Act, which came into force on 01.10.2023, introduces provisions for decriminalizing certain violations and revising penalty norms posited in Sections 25, 27, 28, 29, 31, 34, and 35 of the 2009 Act. The following tabulation of amendments to the 2009 Act, introduced by the Amendment Act are of particular significance:-
The aforementioned amendments evidently indicate the substitution of imprisonment provisions with monetary penalties, keeping in line with the objectives of the Amendment Act to decriminalize and rationalize offences under several acts including the 2009 Act. Furthermore, the Amendment Act also expands the scope of Section 48 of the 2009 Act to include Section 41 (“Penalty for giving false information or false return”) as a compoundable offence.
The Amendment Act aims at fostering ease of doing business and will, in the long run, also minimize the burden on courts, that have been saddled with criminal cases arising out of minor and otherwise rectifiable infractions. The flip side of these amendments is the fear of overmounting monetary liabilities, however, decriminalization of minor offences under the 2009 Act and the potential significant reduction in criminal cases will positively impact business entities and corporations, moving forward.
Author: Ms. Meghna Talwar, Partner.