Consumer Welfare Fund

A consumer Welfare Fund has been formed as provided under section 12C of
Central Excise Act. Refund of customs duty or service tax, after it is sanctioned
by adjudicating authority, will be normally transferred to ‘Consumer Welfare
Funds’ and will not be refunded to assess. A Standing Committee consisting
of Secretary, Department of Consumer Affairs as Chairman has been formed.

Utilisation of Funds- The funds will be utilised for payment to:

(a) Any agency/organisation engaged in consumer welfare activities
for a period of three years, registered under any law, including village/
samiti level co-operatives of consumers, specially women, scheduled
castes and schedules tribe’s consumer associated.
(b) Any industry, engaged in viable and useful research activity in
formulation of standard mark of products of mass consumption.
(c) State Government.
(d) Consumer for reimbursement of legal expenses incurred by a
consumer. [section 12D of Central Excise Act].

Applications will be made to Committee in prescribed from ‘A1’. Committee

will make recommendation for grants to such Consumer Associations or
industries engaged in research activity in formulation of standard mark of
products of mass consumption. Funds can also be utilised for legal expenses
incurred by consumer in legal dispute.

VIREN SIR:COMPILATION:FEBRUARY 2022