Waiting for consumer justice
One welcomes the ringing tones of this week's statement by the Minister
of Consumer Affairs marking World Consumer Day, that consumer loss
and injury need speedy justice. However, this country awaits a more
pragmatic working out of actual measures and the putting into place
of dynamic institutions that will achieve this objective.
On the positive
side of things, the recent passing of the Consumer Affairs Authority
Act, as noted in the ministerial statement, needs to be acknowledged.
So too, the direction that all establishments coming under the Ministry
establish voluntary measures to resolve disputes of consumers. This,
though, is insufficient, if the grandiloquent aims of the ministerial
promise given this Saturday are to be realised. The Authority has
to sufficiently distinguish itself, in its working, from the other
high sounding but fairly inefficient monitoring institutions that
have been set up in this country. Its reach should be towards those
sections of society who are most vulnerable.
Consider this
simple problem. A middle class couple, after years of scrimping
and saving, collect enough money thinking that they would invest
in a small scooter in order that the daily grind to and fro in public
transport may be made easier. In response to a newspaper advertisement
by a reputed company with a plush showroom dealing in importation
and exportation of motorcycles, they approach the manager who is
also the proprietor, and enter into an agreement to buy a scooter.
In a fit of quite misplaced and nowadays - alarmingly naïve-
trust, they pay the entire amount for the item, totalling to about
fifty thousand rupees on the promise that they would be sold a scooter
once the shipment arrives.
A month passes
by, then two and more. The couple start feeling the first twinges
of alarm and approach the company proprietor, asking as to what
has happened to the promised sale. The latter responds by saying
that the shipments are being held up in the port but that they would
be soon released and the sale would come through. From this point,
the situation gets worse with almost a year passing but no realisation
of the sale. Meanwhile, other consumers in the same situation as
the couple are not as vulnerable.
Some resort
to thuggery, threatening to smash the showrooms of the company and
assault the manager. They get their sales through. Others are also
successful by 'pulling various strings', which has its own impact
as the manager is also a district leader of one of the major political
parties in the country. The couple however do not have any 'strings
to pull' and are terrified at the thought of resorting to thuggery.
Neither do they have the resources to retain lawyers to appear before
court and plead their case. There is no consumer organisation in
the country activist enough to take up their case despite a formidable
body of research papers written on consumer justice following a
succession of seminars held in Colombo's leading hotels.
Meanwhile,
a police complaint filed by them is disregarded. A letter that they
write to the head of the party, (of which the disreputable manager/proprietor
is a reputable member), is acknowledged and referred to the latter
but no further action is taken despite clear evidence of fraud.
There, the case rests. The cycle company, on the one hand, continues
its business as before, advertising flamboyantly and perhaps defrauding
more customers. The couple, on the other hand, have lost all their
savings and have learnt the bitterest of lessons not to trust unscrupulous
dealers.
Their plight
symbolises the fate of those who do not fit into the 'new' society
existent in Sri Lanka today, where people without conscience and
with power are the only people who thrive. It is these kinds of
problems that a true consumer forum should take steps to correct.
As to whether
the recently passed Consumer Affairs Act is of a wide enough nature
to provide redress for consumer problems such as these is however
problematic. The Act focuses primarily on regulation of trade and
the prohibition of anti-competitive practices. The Authority set
up under the Act has powers to determine standards and specifications
relating to goods and supply of services and can inquire into complaints
regarding the same. Where warranties or guarantees are found to
be breached by a trader, the Authority can order the payment of
compensation or the refund of the money spent.
It may also
enter into written agreements with manufacturers or traders in respect
of the maximum price, the standard and specification of goods and
any other conditions as to manufacture, transportation, etc. Where
goods are sold or services provided at an excessive price or subject
to market imperfections etc, remedies are provided for under the
Act.
In this regard,
the Director General (in consultation with the Authority) can refer
such matters to a Consumer Affairs Council established under the
law. Both the Council and the Authority are given considerable powers
of supervision and investigation with regard to the prohibitions
specified in the Act.
While this
is so, the substantive powers of comparative consumer protection
institutions set up in India are much wider. The reach of their
authority includes non fulfilment of specific consumer guarantees
as well as the regulation of trade and prohibition of anti competitive
practices. A carefully structured array of institutions work these
powers out. Thus, there are District Forums investigating consumer
complaints, mandated to consist of three members, a District Judge,
a person of eminence in the field of education, trade or commerce
and (ensuring gender equality), a lady social worker.
The State Commission
to which appeals from the District Forum lie, consists of a Judge
of the High Court and two other members. The National Commission
to which again appeal lies from the State Commission consists of
a Chairman who is a Judge of the Supreme Court and four other members.
There is meanwhile an overseeing Central Consumer Protection Council.
Rules under the Act passed in 1987 stipulate that members of the
National Commission be placed in a similar position as Supreme Court
judges regarding their conditions of employment and removal from
office.
The importance
accorded to these bodies was demonstrated when a scarce two years
following the enacting of the Act, activist groups petitioned the
Supreme Court of India, pointing out that the Central Government
had not established district forums and state commissions throughout
the length and breadth of India as contemplated. These were then
set up by direction of Court and remain excellent examples of the
extent to which strong consumer rights bodies can redress the grievances
of consumers.
As far as this
country is concerned, things are different. When Kahlil Gibran prophesied
more than eight decades ago, that woe is to the nation whose sage
is voiceless, whose champion is blind and whose advocate is a prattler,
it might have been the wisest words that this most visionary of
all philosophers could have uttered.
Instead of
manifestations of such courage by its sages, champions and advocates
which can confront - and indeed - overcome the most formidable of
problems that any country faces, what we have is supreme indifference.
And in the process, it is those who are most vulnerable who are
immediately penalised, whether in the area of consumer fairness
or simple justice. And in all the institutions that have been set
up ostensibly to correct injustices, we see only a continuing of
this same injustice.
We have yet
to see institutions and individuals who set an example in the manner
in which justice should be served, that is with patience, concern
and above all, infinite integrity. Whether the Consumer Affairs
Authority that is to be set up, will concern itself with the problems
of the common man and woman and serve justice in the manner in which
it ought to be served (obviously within the limitations of the powers
given to it under the Act), remains yet a question in abeyance. |