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Business News/ Industry / Govt tells broadcasters not to air ads that violate ASCI code
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Govt tells broadcasters not to air ads that violate ASCI code

The ministry has compiled a list of over 40 advertisements that made false claims and violated codes

Earlier this week, ASCI issued stringent guidelines on advertisements for fairness creams.Premium
Earlier this week, ASCI issued stringent guidelines on advertisements for fairness creams.

New Delhi: Broadcasters cannot air advertisements that violate the code set by Advertising Standards Council of India (ASCI), the information and broadcasting ministry has said in an advisory.

The ministry has compiled a list of over 40 advertisements that made false claims and violated the provision of code for self-regulation as well as provisions under Drug and Magic Remedies (Objectionable Advertisements) Act, 1954.

These include products from telemarketing and teleshopping companies that guarantee remedies for being overweight, baldness, wrinkles, joint pains and other health problems as well as those that offer consumers magical solutions to their financial problems.

The ministry named the companies and the products whose commercials cannot be telecast. It has asked broadcasters not to carry them on their channels and ensure strict compliance of the advertising code in the Cable Television Networks (Regulation) Act, 1995.

“We found that some advertisers on television channels, especially teleshopping networks, were not complying with ASCI’s decisions," said Partha Rakshit, chairman, ASCI. “We submitted the list to the inter-ministerial committee (IMC) of the ministry for its consideration. Based on that, the committee observed that any violation of ASCI code also violates the advertising code enshrined in the Cable TV Act and its rules. In short, it has directed that advertisements found to violate the ASCI code cannot be carried on TV channels."

ASCI is a voluntary, self-regulatory organization of the advertising industry. ASCI and its consumer complaints council deal with complaints received from consumers and industry against advertisements that are considered as false, misleading, indecent or unfair to competition.

Broadcasters carrying these ads have been under the purview of the ministry and liable for action if they do not comply with the advisory. “Broadcasters are required to follow the advisory. In case of non compliance MIB could take action against the channel," said Shweta Purandare, ASCI’s secretary general. While the current advisory is aimed at broadcasters, ASCI is working with different ministries to track similar ads in other media, she said.

The government’s move could lead to loss of revenue for entertainment and news channels. according to a managing editor of a Hindi news channel, who spoke on condition of anonymity. The commercial time sold to teleshopping firms are worth between 50,000 and 80,000 for 20 to 25 minutes slots, he said.

“In a year, a channel could lose upto 3 crore to 6 crore depending on its viewership numbers which determine the ad rates," he said. The peak time for airing such ads is between 12 midnight and 2 am, he added.

The News Broadcasters Association (NBA), a group of news channels, said TV stations will comply with the advisory as they sign an agreement to follow the advertising and programming code prescribed in the Cable Television Networks (Regulation) Act when they get their permits.

“We are committed to following the directives that ASCI issues from time to time," said K.V.L. Narayan Rao, president, NBA. Rao is the executive vice-chairperson of the news broadcaster NDTV Ltd.

Television shopping is a $500 million business in India, growing over 50% a year. However, some fly by night operators offering fake products and making false promises have spoiled the market.

“The first generation of the teleshopping industry for a long time has been known for magical remedies. With this move of the government, that will go away and pave the way for next generation teleshopping," said founder and chief executive Manu Agarwal at teleshopping platform Naaptol. Agarwal claimed his firm does not promote such products. However, he said that ASCI had limited powers. “Although it can recommend changes to an advertisement, it is not a enforcing body," he said.

Earlier this week, ASCI issued stringent guidelines on advertisements for fairness creams, barring companies from depicting dark-skinned people as inferior to their fairer counterparts and not to depict them as unhappy, unattractive or depressed.

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Published: 22 Aug 2014, 11:52 PM IST
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