In a bid to curb malpractices undertaken by social media influencers, the Consumer Affairs Ministry on January 20 released endorsement guidelines stating that a fine of Rs 10 lakh will be slapped on the offenders, which can go up to Rs 50 lakh for repeated offenders.
As per the fresh guidelines, the influencer can also be barred from endorsing products in case of repeated non-compliance with the guidelines.
According to a report by IANS, the influencers will be facing dire consequences if they do not disclose to their followers if they have been paid for the promotion of the product they are showcasing on their social media handles. The Ministry also said that before endorsing, the product and service must have been actually used or experienced by the endorser. In case of default, the consumers can seek legal action, the Ministry further noted.
According to the new guidelines, virtual influencers, computer-generated avatars, who behave in a similar manner as an influencer will also fall under the ambit of these guidelines.
The advertisements must contain truthful and honest representation, and should not mislead consumers by exaggerating the accuracy, scientific, validity, or practical usefulness or capability of performance of the product, the ministry said.
The new guidelines call for a Rs 10 lakh fine for offenders and for repeated offenders the fine can go up to Rs 50 lakh.
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