Explanation:

Protection of Women Against Sexual Harassment Act, 2013

• Background: The Supreme Court in a landmark judgement in the Vishakha and others v State of Rajasthan 1997 case gave ‘Vishakha guidelines’.

These guidelines formed the basis for the The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 ("Sexual Harassment Act"). 

Mechanism: The Act defines sexual harassment at the workplace and creates a mechanism for redressal of complaints.

• Every employer is required to constitute an Internal Complaints Committee at each office or branch with 10 or more employees. 
• The Complaints Committees have the powers of civil courts for gathering evidence.
• The Complaints Committees are required to provide for conciliation before initiating an inquiry if requested by the complainant.

Penal Provisions: Penalties have been prescribed for employers. Non-compliance with the provisions of the Act shall be punishable with a fine.

• Repeated violations may lead to higher penalties and cancellation of license or registration to conduct business.

Responsibility of Administration: The State Government will notify the District Officer in every district, who will constitute a Local Complaints Committee (LCC) so as to enable women in the unorganised sector or small establishments to work in an environment free of sexual harassment.

Hence both statements are correct.