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CS Professional · Banking and Insurance - Laws and Practice · Consumer Protection

A bank customer in Nagpur has a pending complaint before the District Commission. The Commission wishes to refer the parties to mediation. Under the Consumer Protection Act, 2019, which body is established by the State Government for this purpose?

The State Government establishes, by notification, a consumer mediation cell attached to each District Commission and State Commission in the State. It is not attached to the advisory Councils, nor limited to the State Commission alone.

  1. AA consumer mediation cell attached to each District Commission and State Commission of the StateCorrect
  2. BA mediation bench of the Central Consumer Protection Council
  3. CA single mediation cell attached only to the State Commission
  4. DA mediation cell attached to the State Consumer Protection Council

Explanation

Section 74(1) requires the State Government to establish a consumer mediation cell attached to each of the District Commissions and State Commissions of the State. The option with a single cell at State level is wrong since each Commission gets one. The Councils are advisory and have no mediation cells.

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