Section 23: Designation of any statutory authority or body to function as Central Authority

Consumer Protection Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 2019

Legal Commentary & Landmark Judgments: Section 23

Section 23 authorizes the Central Government to designate, by notification, any existing statutory authority or body to exercise the powers and perform the functions of the Central Consumer Protection Authority. It provides statutory flexibility to ensure continuous regulatory oversight during institutional transitions or where specialized statutory bodies already possess the necessary regulatory infrastructure.

  • Executive Designation Power: Empowers the Central Government to issue an official gazette notification designating an existing statutory body to discharge CCPA functions under Section 10.
  • Transitional Administrative Bridge: Prevents enforcement paralysis during periods when the CCPA's permanent commissioners, Director-General, or investigation wing are being constituted.
  • Substantive Identity of Powers and Limitations: The designated statutory authority steps into the shoes of the CCPA, exercising identical powers under Sections 20, 21, and 22, while remaining subject to the same statutory constraints, hearing provisos, and appellate oversight before the NCDRC.
Key Landmark Precedents:
  • State of U.P. v. Greater Noida Industrial Development Authority (2011) 6 SCC 374: The Supreme Court held that statutory delegation and designation powers must be exercised strictly within the terms of the enabling provision, without altering the substantive character of the regulatory framework.
  • G.V.K. Industries Ltd. v. Income Tax Officer (2011) 4 SCC 36: Affirmed that when Parliament authorizes the executive to designate an existing statutory authority, the designated body is bound strictly by the statutory standards laid down in the parent act.
Courtroom Practice & Strategic Litigation Guidance:

Whenever an enforcement notice or recall order is issued by an external statutory authority purporting to exercise CCPA powers, verify the existence, scope, and validity of the Central Government notification under Section 23. If the designating notification has lapsed or if the body acts outside the specific functions notified by the Central Government, challenge the action as ultra vires for want of statutory competence.