Jan Vishwas (Amendment of Provisions) Bill, 2025

The Jan Vishwas (Amendment of Provisions) Bill, 2025 was introduced in the Lok Sabha to amend various provisions across several central acts with the goal of decriminalizing offences and promoting trust-based governance. This bill is a continuation of reforms initiated under the Jan Vishwas Act, 2023, aimed at simplifying compliance processes and making it easier to live and do business in India.

Why in the News?

• The Jan Vishwas Bill, 2025 builds upon the Jan Vishwas Act, 2023, which already decriminalized 183 provisions across 42 Central Acts administered by 19 ministries.

• The 2025 Bill expands this initiative to 16 additional Acts under the purview of 10 ministries.

• The goal is to replace punitive, rigid compliance systems with rationalized, trust-based frameworks, reducing judicial burdens and creating a more enabling environment for businesses and citizens.

Key Features of the Bill

1. First-Time Contraventions:

   • For 76 offences under 10 Acts, the Bill proposes advisories or warnings for first-time violations, replacing immediate punishments or penalties.

2. Decriminalization of Minor Offences:

   • The Bill removes imprisonment clauses for minor or technical defaults in various acts like the Tea Act (1953) and Legal Metrology Act (2009).

   • These offences will now only attract monetary fines or warnings instead of jail terms.

3. Rationalization of Penalties:

   • Penalties are rationalized to be more proportionate to the offence and incremental for repeat violations. This ensures a fairer, more just system.

4. Adjudication Mechanism:

   • The Bill introduces an administrative adjudication mechanism, where designated officers can impose penalties, speeding up the resolution of cases and reducing judicial workload.

5. Automatic Revision of Fines:

   • Fines and penalties will automatically increase by 10% every three years, ensuring they remain relevant and effective without requiring frequent legislative amendments.

What Are Process Reforms?

• Process reforms are targeted changes to specific rules or procedures that improve operational efficiency in a given system.

  • Example: Changing how certain documentation is handled or simplifying compliance procedures.

• Unlike structural reforms (e.g., GST, IBC), which transform the entire framework, process reforms are more micro-level adjustments that improve the functioning of existing systems.

Significance of Process Reforms

1. Sustaining Economic Growth:

   • India’s status as the fastest-growing economy requires constant reforms to maintain momentum. Process reforms keep the wheels of progress turning while major structural changes are underway.

2. Ease of Doing Business, Living, and Science:

   • These reforms make it easier for citizens, businesses, and researchers by simplifying bureaucratic processes and reducing day-to-day inefficiencies.

   • Example: New procurement rules for scientific institutions make research activities more efficient.

3. Unblocking Bottlenecks and Delays:

   • Legacy inefficiencies, outdated rules, and slow service delivery often hinder progress. Process reforms aim to remove these barriers, enabling smoother interactions between citizens, businesses, and the government.

4. Enhancing Sectoral Competitiveness:

   • Reforms like the liberalization of telecom rules for Other Service Providers (OSPs) spurred growth in the IT and BPO sectors.

   • Encourages innovation, making sectors more competitive.

5. Reducing Corruption and Rent-Seeking:

   • By eliminating unnecessary steps, process reforms reduce corruption, making systems more transparent and less prone to arbitrary enforcement.

6. Institutionalizing Problem-Solving:

   • Continuous reforms foster a problem-solving mindset within government institutions, making them more responsive and agile.

Case Studies of Successful Process Reforms

1. Direct Benefit Transfer (DBT):

   • Digitization of welfare payments directly to beneficiaries reduced leakages and duplication, saving resources and improving delivery.

2. Voluntary Company Liquidation:

   • Streamlining processes has made voluntary liquidation quicker, reducing the timeline from 4 years to months.

3. Rationalization of Autonomous Bodies:

   • Merging or closing outdated bodies like the All India Handloom Board has created a more efficient administrative structure.

4. Government eMarketplace (GeM) Portal:

   • Increased transparency and reduced procurement costs by 15-20% through an online platform for government procurement.

5. Legal Metrology Amendments:

   • The Jan Vishwas Act of 2023 helped decriminalize minor violations in legal metrology, reducing harassment and rent-seeking.

Conclusion

The Jan Vishwas (Amendment of Provisions) Bill, 2025 is part of India’s ongoing reform agenda aimed at transforming governance to be more efficient, transparent, and citizen-centric. By focusing on decriminalization and rationalizing penalties, the Bill removes unnecessary barriers and makes compliance simpler for businesses and citizens alike. It also enhances India’s Ease of Doing Business and provides a much-needed boost to economic growth, positioning India as a dynamic, innovation-driven economy.