Jan Vishwas (Amendment of Provisions) Act, 2026 receives assent; amends penalties for various acts reducing criminalization of minor offences

The Jan Vishwas (Amendment of Provisions) Act, 2026 has been passed by the Parliament of India and received the assent of the President on 7 April 2026. The Act will come into force on a date as notified by the Central Government, and different dates will be appointed for amendments relating to different enactments.

This Act removes criminal penalties for minor procedural lapses and replaces them with civil penalties or administrative mechanisms.

Key Penalty Amendments:

1. Under the Reserve Bank of India Act, 1934 –  

(a) Under Section 58B [“Penalties”], the heading is changed from “Penalties” to “Offences”.

(b) Section 58B(4AA) [“Failure to comply with any order made by the Company Law Board”] is omitted.

(c) Under Section 58G [“Power of Bank to impose fine”], in the marginal heading, the word “fine” is changed to “penalties”.

2. Under the Drugs and Cosmetics Act, 1940 –

(a) Under Section 27 [“Penalty for manufacture, sale, etc., of drugs in contravention of this Chapter”], violators are now liable to a penalty of 1 lakh rupees or three times the value of confiscated cosmetics, whichever is higher. [Imprisonment is removed for this offence]  

(b) Under Section 28A [“Penalty for not keeping documents, etc., and for non-disclosure of information”], violators are now liable to a penalty of 3 lakh rupees to 5 lakh rupees.

3.  Under the Indian Ports Act, 2025 –

(a) Under Sections 29 [“Offences in connection with safety of vessels, etc.”] minor offences can now be settled by paying a fine instead of prosecution.

4. Under the Merchant Shipping Act, 2025 –

(a) Under Sections 99(d) [“General liability against discipline”] minor offences can now be compounded by paying a fine, avoiding court prosecution.

5. Under the Pension Fund Regulatory and Development Authority Act, 2013 –

(a) Under Section 16(7) [“Power of Investigation”], it has replaced imprisonment with monetary penalties. Now violators are liable to penalty up to 25 crore rupees, plus 10 lakh rupees per day for continuing failure.

6. Under the Clinical Establishments (Registration and Regulation) Act, 2010 –

(a) Under Section 40 [“Penalty”] and 44 [“Contravention by companies”], it has replaced fines with penalties for first (10,000 rupees), second (50,000 rupees), and subsequent contraventions (5 lakh rupees).

Source: Ministry of Law and Justice