• The Parliament passed a Bill which seeks to promote ease of business by decriminalising minor offences through amendments in 183 provisions of 42 Acts.

• The Jan Vishwas (Amendment of Provisions) Bill, 2023 was passed by Rajya Sabha by a voice vote.

• Lok Sabha had cleared the legislation on July 27.

• The Bill converts several fines to penalties, meaning that court prosecution is not necessary to administer punishments.

Why this Bill was introduced?

• The Jan Vishwas (Amendment of Provisions) Bill, 2022 was introduced in Lok Sabha on December 22, 2022. Subsequently, it was referred to the Joint Committee of the Parliament.

• The committee report was presented in Lok Sabha on March 20 this year.

• While introducing the Bill in Rajya Sabha, Minister of Commerce and Industry Piyush Goyal noted that in the last nine years, 1,500 laws have been repealed, adding some of these laws originated from the British period.

• The minister said around 40,000 provisions and procedures which had the possibility of creating problems for people were either simplified or removed over the last nine years.

• More than 3,600 provisions have been decriminalised by the government.

• Goyal said this Bill will promote the ease of doing business by decriminalising a number of offences.

• He said that a working group has been formed to take the initiative forward.

• The working group comprises representatives from industry associations, business chambers, legal professionals, legal experts and officials of seven ministries.

• Besides, it has representatives of the National Housing Bank (NHB), National Bank of Agriculture and Rural Development (NABARD) and the Central Pollution Control Board.

• He noted that the Bill is not the end but the start of a process to bring in changes to enhance the ease of doing business.

Highlights of the Bill:

Through The Jan Vishwas (Amendment of Provisions) Bill, 2023, a total of 183 provisions are being proposed to be decriminalised in 42 Central Acts administered by 19 ministries/departments. 

Decriminalisation is proposed to be achieved in the following manner:

i) Both imprisonment and/or fine are proposed to be removed in some provisions.

ii) Imprisonment is proposed to be removed and fine retained in a few provisions.

iii) Imprisonment is proposed to be removed and fine enhanced in a few provisions.

iv) Imprisonment and fine are proposed to be converted to penalty in some provisions.

v) Compounding of offences is proposed to be introduced in a few provisions.

For effective implementation of the above, the bill proposes measures such as:

i) Pragmatic revision of fines and penalties commensurate to the offence committed.

ii) Establishment of adjudicating officers.

iii) Establishment of appellate authorities.

iv) Periodic increase in quantum of fine and penalties.

The expected outcomes are:

i) The amendment Bill will contribute to rationalising criminal provisions and ensuring that citizens, businesses and the government departments operate without fear of imprisonment for minor, technical or procedural defaults.

ii) The nature of penal consequence of an offence committed should be commensurate with the seriousness of the offence. This Bill establishes a balance between the severity of the offence/violation committed and the gravity of the prescribed punishment. The proposed amendments ensure the adherence to law by businesses and citizens, without losing the rigor of the law.

iii) The criminal consequences prescribed for technical/procedural lapses and minor defaults, clog the justice delivery system and puts adjudication of serious offences on the back burner. Some of the amendments proposed in the Bill are to introduce suitable administrative adjudication mechanisms, wherever applicable and feasible. This would go a long way in reducing undue pressure on the justice system, reduce the pendency of cases and help in a more efficient and effective justice dispensation.

iv) Decriminalisation of provisions which affect citizens and certain categories of government employees will help them live without the fear of imprisonment for minor violations.

v) The enactment of this legislation would be a landmark in the journey of rationalising laws, eliminating barriers and bolstering growth of businesses. This legislation would serve as a guiding principle for future amendments in various laws. Consolidated amendments in various laws with a common objective will save time and cost for both government and businesses alike.

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