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Context: The Centre banned direct selling companies from promoting pyramid and money circulation schemes as it notified new rules under Consumer Protection (Direct Selling) Rules, 2021 for the direct selling industry.
Key highlights of Consumer Protection (Direct Selling) Rules, 2021
Guidelines for the Entities
Redressal Mechanism: Every direct selling entity has to establish a grievance redressal mechanism and display the relevant information on its website.
Role of Redressal Officer
Nodal Officer: The entity shall appoint a nodal officer who will be responsible for ensuring compliance with the provisions of the Act and the rules made there under.
Information regarding a Seller
Liability: The entity which explicitly or implicitly vouches for the authenticity of the goods or services sold, shall bear the liability in any action related to the authenticity of such goods or services.
By: Shubham Tiwari ProfileResourcesReport error
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