The Ministry of Consumer Affairs satisfies FACUA's demand and will take over powers to fine massive frauds

The association had been calling for this change in the general law for the defence of consumers and users since 2015.

The Ministry of Consumer Affairs satisfies FACUA's demand and will take over powers to fine massive frauds

The Ministry of Consumer Affairs will assume powers to fine companies that perpetrate massive fraud when it affects consumers in several autonomous communities. Minister Alberto Garzón will thus satisfy a demand that FACUA-Consumers in Action has been making since 2015 and that was presented to the Minister at the beginning of the legislature as one of the priorities considered necessary to be carried out through a reform of the General Law for the Defence of Consumers and Users.

This Tuesday, the Spanish Cabinet will initiate the reform of the aforementioned law, so that the Ministry responsible for consumer protection will share sanctioning powers with the autonomous communities. The intention of the Ministry of Consumer Affairs is that in cases of massive fraud, it will be able to initiate sanctioning proceedings and apply fines proportional to the severity of the offences, the number of consumers affected and the illicit profit obtained by the companies. FACUA hopes that the text of the article of the legal reform will clearly guarantee these powers without conditions or ambiguities.

The autonomous communities will continue to have the disciplinary powers they assumed with the enactment of the first version of the General Law for the Defence of Consumers and Users in 1984. If a regional consumer authority decides to take action in the event of fraud affecting consumers in different regions, it will be able to continue fining according to the number of consumers affected in its territory. As for the Ministry, it will take into account in its disciplinary actions whether one or more regions have also initiated proceedings, so that it will adjust the amount of the fine to apply it according to the number of people affected in the territories where the regional authorities in favour of the state body.

As a result of FACUA's demands, Unidas Podemos has been including this initiative in different manifestos since 2015.