Ministry of Economic Development has warned action will be taken against businesses publishing false advertisements and selling items at exorbitant prices.
Speaking at the daily press briefing held at National Emergency Operation Centre (NEOC), Registrar of Companies Mariyam Visam noted issuing false advertisements on products or services is an offense under the Consumer Protection Act, adding legal action can be taken against businesses committing the offense. Visam noted there have been complaints regarding some shops which have published advertisements on opening hours and not following it, while some businesses have also been falsely advertising the standard of their services. She warned legal action will be taken against such businesses.
Furthermore, Visam said there have been complaints of businesses selling certain items at unreasonable prices. She said the economic ministry has the authority to control the prices of items being sold at exorbitant prices, depending on the availability of the item and the economic situation of the country.
The registrar also noted actions of discrimination between customers in providing services, such as refusing to sell an item to a certain customer or refusing to provide a service to a certain customer without any legal grounds, which will be classified as offenses under the Consumer Protection Act. She added the ministry has the authority to revoke the permits issued to businesses breaching the act.
Businesses violating the Consumer Protection Act can be fined up to USD 6,480 for every breach of the act. The business can also be closed down up to 6 months upon multiple breaches.