Nangia Andersen LLP Partner Sandeep Jhunjhunwala said the proposed rules like appointment of a chief compliance officer, a nodal contact person and a resident grievance officer may go a long way in protecting consumer interests, but could create a ‘massive’ compliance burden on corporations, especially those operating from outside India.

‘Currently, the rules neither provide any threshold for applicability nor any timelines or validity for DPIIT (Department for Promotion of Industry and Internal Trade) registration, becoming onerous for emerging companies,’ he said.