Bare Acts

CHAPTER VIII OFFENCES, PENALTIES AND PROCEDURE


37. Meaning of applying geographical indications.—(1) A person shall be deemed to apply a
geographical indication to goods who—
(a) applies it to the goods themselves; or
(b) applies it to any package in or with which the goods are sold, or exposed for sale, or had in
possession for sale or for any purpose of trade or manufacture; or
(c) places, encloses or annexes any goods which are sold, or exposed for sale, or had in
possession for sale or for any purpose of trade or manufacture, in or with any package or other thing
to which a geographical indication has been applied; or
(d) uses a geographical indication in any manner reasonably likely to lead to the belief that the
goods in connection with which it is used are designated or described by that geographical indication;
or

1. Sub-section (3) omitted by Act 33 of 2021, s. 22 (w.e.f. 4-4-2021).
2. Subs. by s. 22, ibid., for “Appellate Board” (w.e.f. 4-4-2021).
16
(e) in relation to the goods uses a geographical indication in any sign, advertisement, invoice,
catalogue, business letter, business paper, price list or other commercial documents and goods are
delivered to a person in pursuance of a request or order made by reference to the geographical
indication as so used.
(2) A geographical indication shall be deemed to be applied to goods whether it is woven in,
impressed on, or otherwise worked into, or annexed or affixed to, the goods or to any package or other
thing.
1
[37A. Adjudication of penalties.— The Registrar may, by an order, authorise an officer referred to
in section 3, to be adjudicating officer for holding an inquiry and imposing penalty under the provisions of
this Act, in the manner as may be prescribed, after giving a reasonable opportunity of being heard.
37B. Appeal.—(1) Whoever aggrieved by an order of the adjudicating officer under section 37A may
prefer an appeal to the appellate authority, who shall be an officer at least one rank above the adjudicating
officer, within a period of sixty days from the date of receipt of the order, as the Central Government may
by notification authorise in this behalf.
(2) Every appeal under this section shall be preferred in such form and manner as may be prescribed.
(3) An appeal may be admitted after the expiry of the period of sixty days if the appellant satisfies the
appellate authority that he had sufficient cause for not preferring the appeal within that period.
(4) No appeal shall be disposed of unless the appellant has been given a reasonable opportunity of
being heard.
(5) The appellate authority referred to in sub-section (1) shall dispose of the appeal within sixty days
from the date of filing.
(6) Notwithstanding anything contained in this Act, if the person fails to comply with the order of the
adjudicating officer under section 37A or the order of the appellate authority under this section, as the
case may be, within ninety days of such order, he shall, in addition to the penalty, be punishable with fine
of one lakh rupees or imprisonment for a term which may extend to one year, or with both.]
38. Falsifying and falsely applying geographical indications.—(1) A person shall be deemed to
falsify a geographical indication who, either,—
(a) without the assent of the authorised user of the geographical indication makes that
geographical indication or deceptively similar geographical indication; or
(b) falsifies any genuine geographical indication, whether by alteration, addition, effacement or
otherwise.
(2) A person shall be deemed to falsely apply to goods a geographical indication who, without the
assent of the authorised user of the geographical indication,—
(a) applies such geographical indication or a deceptively similar geographical indication to goods
or any package containing goods;
(b) uses any package bearing a geographical indication which is identical with or deceptively
similar to the geographical indication of such authorised user, for the purpose of packing, filling or
wrapping therein any goods other than the genuine goods of the authorised user of the geographical
indication.
(3) Any geographical indication falsified as mentioned in sub-section (1) or falsely applied as
mentioned in sub-section (2), is in this Act referred to as a false geographical indication.
(4) In any prosecution for falsifying a geographical indication or falsely applying a geographical
indication to goods, the burden of proving the assent of proprietor shall lie on the accused.
39. Penalty for applying false geographical indications.—Any person who,—
(a) falsifies any geographical indication; or

1. Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-8-2024).
17
(b) falsely applies to goods any geographical indication; or
(c) makes, disposes of, or has in his possession, any die, block, machine, plate or other instrument
for the purpose of falsifying or of being used for falsifying, a geographical indication; or
(d) applies to any goods to which an indication of the country or place in which they were made
or produced or the name and the address of the manufacturer or person for whom the goods are
manufactured is required to be applied under section 71, a false indication of such country, place,
name or address; or
(e) tampers with, alters or effaces an indication of origin which has been applied to any goods to
which it is required to be applied under section 71; or
(f) causes any of the things above-mentioned in this section to be done,
shall, unless he proves that he acted, without intent to defraud, be punishable with imprisonment for a
term which shall not be less than six months but which may extend to three years and with fine which
shall not be less than fifty thousand rupees but which may extend to two lakh rupees:
Provided that the court may, for adequate and special reasons to be mentioned in the judgment,
impose a sentence of imprisonment for a term of less than six months or a fine of less than fifty thousand
rupees.
40. Penalty for selling goods to which false geographical indication is applied.—Any person who
sells, lets for hire or exposes for sale, or hires or has in his possession for sale, goods or things to which
any false geographical indication is applied or which, being required under section 71 to have applied to
them an indication of the country or place in which they were made or produced or the name and address
of the manufacturer, or person for whom the goods are manufactured or without the indications so
required, shall, unless he proves,—
(a) that, having taken all reasonable precautions against committing an offence against this
section, he had at the time of commission of the alleged offence no reason to suspect the genuineness
of the geographical indication or that any offence had been committed in respect of the goods; or
(b) that, on demand by or on behalf of the prosecutor, he gave all the information in his power
with respect to the person from whom he obtained such goods or things; or
(c) that otherwise he had acted innocently,
be punishable with imprisonment for a term which shall not be less than six months but which may extend
to three years and with fine which shall not be less than fifty thousand rupees but which may extend to
two lakh rupees:
Provided that the court may, for adequate and special reasons to be mentioned in the judgment,
impose a sentence of imprisonment for a term of less than six months or a fine of less than fifty thousand
rupees.
41. Enhanced penalty on second or subsequent conviction.—Whoever having already been
convicted of an offence under section 39 or section 40 is again convicted of any such offence shall be
punishable for the second and for every subsequent offence, with imprisonment for a term which shall not
be less than one year but which may extend to three years and with fine which shall not be less than one
lakh rupees but which may extend to two lakh rupees:
Provided that the court may, for adequate and special reason to be mentioned in the judgment, impose
a sentence of imprisonment for a term of less than one year or a fine of less than one lakh rupees:
Provided further that for the purposes of this section, no cognizance shall be taken of any conviction
made before the commencement of this Act.
42. Penalty for falsely representing a geographical indication as registered.—(1) No person shall
make any representation—
(a) with respect to a geographical indication, not being a registered geographical indication, to the
effect that it is a registered geographical indication; or
18
(b) to the effect that a registered geographical indication is registered in respect of any goods in
respect of which it is not in fact registered; or
(c) to the effect that registration of a geographical indication gives an exclusive right to the use
thereof in any circumstances in which having regard to limitation entered on the register, the
registration does not in fact give that right.
(2) If any person contravenes any of the provisions of sub-section (1), he shall be 1
[liable to penalty of
a sum equal to one-half per cent. of the total sales or turnover, as the case may be, in business or of the
gross receipts in profession as computed in the audited accounts of such person, or a sum equal to five
lakh rupees, whichever is less].
(3) For the purposes of this section the use in India in relation to a geographical indication of the
words “registered geographical indication” or any other expression, symbol or sign like “R.G.I.” referring
whether expressly or impliedly to registration, shall be deemed to import a reference to registration in the
register, except—
(a) where that word or other expression, symbol or sign is used in direct association with other
words delineated in characters at least as large as those in which that word or other expression,
symbol or sign is delineated and indicating that the reference to registration as a geographical
indication under the law of a country outside India being a country under the law of which the
registration referred to is in fact in force; or
(b) where that other expression, symbol or sign is of itself such as to indicate that the reference is
to such registration as is mentioned in clause (a); or
(c) where that word is used in relation to a geographical indication registered under the law of a
country outside India and in relation solely to goods to be exported to that country for use in that
country.
43. [Penalty for improperly describing a place of business as connected with the Geographical
Indications Registry.]— Omitted by The Jan Vishwas (amendment of Provisions) Act, 2023 (18 of 2023),
s. 2 and Schedule (w.e.f. 1-8-2024).
44. [Penalty for falsification of entries in the register.]—Omitted by s. 2 and Schedule, ibid. (w.e.f.
1-8-2024).
45. No offence in certain cases.—The provisions of sections 39, 40 and 41 shall in relation to a
registered geographical indication or authorised user of such geographical indication, be subject to the
rights created or recognised by this Act and no act or omission shall be deemed to be an offence under the
aforesaid sections if,—
(a) the alleged offence relates to a registered geographical indication and the act or omission is
permitted under this Act; and
(b) the alleged offence relates to a registered geographical indication and the act or omission is
permitted under any other law for the time being in force.
46. Forfeiture of goods.—(1) Where a person is convicted of an offence under section 39 or section
40 or section 41 or is acquitted of an offence under section 39 or section 40 on proof that he acted without
intend or defraud, or under section 40 on proof of the matters specified in clause (a) or clause (b) or clause
(c) of that section, the court convicting or acquitting him may direct the forfeiture to Government of all
goods and things by means of, or in relation to, which the offence has been committed, or but for such
proof as aforesaid would have been committed.
(2) When a forfeiture is directed on a conviction and an appeal lies against the conviction, an appeal
shall lie against the forfeiture also.
(3) When, a forfeiture is directed on acquittal and the goods or things to which the direction relates
are of value exceeding fifty rupees, an appeal against the forfeiture may be preferred, within thirty days

1. Subs. by Act 18 of 2023, s. 2 and Schedule, for certain words (w.e.f. 1-8-2024).
19
from the date of the direction, to the court to which in appealable cases appeal lie from sentences of the
court which directed the forfeiture.
(4) When a forfeiture is directed on a conviction, the court, before whom the person is convicted, may
order any forfeited articles to be destroyed or otherwise disposed of as the court thinks fit.
47. Exemption of certain persons employed in ordinary course of business.—Where a person
accused of an offence under section 39 proves,—
(a) that in the ordinary course of his business he is employed on behalf of other persons to apply
geographical indications, or as the case may be, to make dies, blocks, machines, plates, or other
instruments for making, or being used in making, geographical indications;
(b) that in the case which is the subject of the charge he was so employed, and was not interested
in the goods or other thing by way of profit or commission depend on the sale of such goods;
(c) that, having taken all reasonable precautions against committing the offence charged, he had,
at the time of the commission of the alleged offence, no reason to suspect the genuineness of the
geographical indication; and
(d) that, on demand made by or on behalf of the prosecutor, he gave all the information in his
power with respect to the persons on whose behalf the geographical indication was applied,
he shall be acquitted.
48. Procedure where invalidity of registration is pleaded by the accused.—(1) Where the offence
charged under section 39 or section 40 or section 41 is in relation to a registered geographical indication
and the accused pleads that the registration of the geographical indication is invalid, the following
procedure shall be followed:—
(a) if the court is satisfied that such defence is prima facie tenable, it shall not proceed with the
charge but shall adjourn the proceeding for three months from the date on which the plea of the
accused is recorded to enable the accused to file an application before the 1
[High Court] under this
Act, for the rectification of the register on the ground that the registration is invalid;
(b) if the accused proves to the court that he has made such application within the time so limited
or within such further time as the court may for sufficient cause allow, the further proceedings in the
prosecution shall stand stayed till the disposal of such application for rectification;
(c) if within a period of three months or within such extended time as may be allowed by the court
the accused fails to apply to the 1
[High Court] for rectification of the register, the court shall proceed
with the case as if the registration were valid.
(2) Where before the institution of a complaint of an offence referred to in sub-section (1), any
application for the rectification of the register concerning the geographical indication in question on the
ground of invalidity of the registration thereof has already been properly made to and is pending before
the 2
[Registrar or the High Court, as the case may be,] the court shall stay the further proceedings in the
prosecution pending the disposal of the application aforesaid and shall determine the charge against the
accused in conformity with the result of the application for rectification in so far as the complainant relies
upon the registration of his geographical indication.
49. Offences by companies.—(1) If the person committing an offence under this Act is a company,
the company as well as every person in charge of, and responsible to, the company for the conduct of its
business at the time of the commission of the offence shall be deemed to be guilty of the offence and shall
be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to any
punishment if he proves that the offence was committed without his knowledge or that he exercised all
due diligence to prevent the commission of such offence.

1. Subs. by Act 33 of 2021, s. 22, for “Appellate Board” (w.e.f. 4-4-2021).
2. Subs. by s. 22, ibid., for “tribunal” (w.e.f. 4-4-2021).
20
(2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been
committed by a company and it is proved that the offence has been committed with the consent or
connivance of, or that the commission of the offence is attributable to any neglect on the part of, any
director, manager, secretary or other officer of the company, such director, manager, secretary or other
officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and
punished accordingly.
Explanation.—For the purposes of this section,—
(a) “company” means any body corporate and includes a firm or other association of individuals;
and
(b) “director”, in relation to a firm, means a partner in the firm.
50. Cognizance of certain offences and the powers of police officer for search and seizure.—(1)
No court shall take cognizance of an offence under section 42 or section 43 or section 44 except on
complaint in writing made by the Registrar or any officer authorised by him in writing:
Provided that in relation to clause (b) of sub-section (1) of section 42, a court shall take a cognizance
of an offence on the basis of a certificate issued by the Registrar to the effect that a registered
geographical indication has been represented as registered in respect of any goods in respect of which it is
not in fact registered.
(2) No court inferior to that of a Metropolitan Magistrate or Judicial Magistrate of the first class shall
try an offence under this Act.
(3) The offences under section 39 or section 40 or section 41 shall be cognizable.
(4) Any police officer not below the rank of deputy superintendent of police or equivalent, may, if he
satisfied that any of the offences referred to in sub-section (3) has been, is being, or is likely to be,
committed, search and seize without warrant the goods, die, block, machine, plate, other instruments or
things involved in committing the offence, wherever found, and all the articles so seized shall, as soon as
practicable, be produced before the Judicial Magistrate of the first class or Metropolitan Magistrate, as the
case may be:
Provided that the police officer, before making any search and seizure, shall obtain the opinion of the
Registrar on the facts involved in the offence relating to geographical indication and shall abide by the
opinion so obtained.
(5) Any person having an interest in any article seized under sub-section (4), may, within fifteen days
of such seizure, make an application to the Judicial Magistrate of the first class or Metropolitan
Magistrate, as the case may be, for such article being restored to him and the Magistrate, after hearing the
application and the prosecution, shall make such order on the application as he may deem fit.
51. Costs of defence of prosecution.—In any prosecution under this Act, the court may order such
costs to be paid by the accused to the complainant, or by the complainant to the accused, as the court
deemed reasonable having regard to all the circumstances of the case and the conduct of the parties and
the costs so awarded shall be recoverable as if they were a fine.
52. Limitation of prosecution.—No prosecution for an offence under this Act shall be commenced
after the expiration of three years next after the commission of the offence charged or two years after the
discovery thereof by the prosecutor, whichever expiration first happens.
53. Information as to commission of offence.—An officer of the Government whose duty it is to
take part in the enforcement of the provisions of this Chapter shall not be compelled in any court to say
whence he got any information as to the commission of any offence against this Act.
54. Punishment for abetement in India of acts done out of India.—If any person, being within
India, abets the commission, without India, of any act which, if committed in India, would, under this Act,
be an offence, he may be tried for such abetement in any place in India in which he may be found, and be
punished therefor with the punishment to which he would be liable if he had himself committed in that
place the act which he abetted. 

Back