Gujarat: Minor Offences To Be Decriminalised, Only Fines To Be Imposed

A move that is expected to boost business sentiment, the Jan Vishwas Bill will help control corruption and, instead of criminal action against industrial operators, monetary penalties will be collected

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Gujarat has finally taken a business-friendly decision. In a significant move, the state government has decided to give a go ahead to the Jan Vishwas Bill, aimed at providing relief to industries and the trading community.

This would entail removing outdated and complex provisions and to implement more favorable policies for trade and industry. To this effect, amendments have been made to about 12 pieces of legislature. Minor offences are being decriminalized, and in place only financial penalties will be imposed– something that will enhance investor confidence.

The Centre has already passed the Jan Vishwas (Amendment of Provisions) Bill in Parliament, which introduced such reforms. Subsequently, like other states, including Gujarat has now passed the Jan Vishwas Bill with the aim of enhancing ease of doing business. 

The old provisions that repeatedly harassed traders and industrial groups for minor violations will be removed. This is expected to help curb corruption by officials and reduce red tapeism and unnecessary difficulties for business operators.

A senior officer of the Legislative and Parliamentary Affairs Department told The Secretariat that imposing restrictions on legal action will accelerate restructuring of business processes. The fear of imprisonment for minor offences hinders trade, business ecosystem, and personal confidence. Therefore, the government has decided not to classify a large number of petty offences as criminal and instead impose monetary penalties. 

According to the government, this step will help avoid prolonged court cases for minor violations. Traders will no longer be branded as criminals. Instead, a favorable business environment will be created, which will increase investment and employment opportunities. This will save both time and money, while also reducing the burden of legal proceedings.

This law broadly follows the pattern of the Central Government’s Jan Vishwas Act,. The objective of the central law is to build trust between businesses and citizens, streamline legal processes, and ease the burden on the judiciary. However, strict punishment will still apply for serious offences, with no reduction in stringent penalties. The Gujarat Legislative Assembly has passed this Bill during the Monsoon Session, and it will soon take the form of law. Rules and regulations will be framed under this law.

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