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GRAFFITI #1
Relief to Employers: ESIC Announces One-Time Amnesty Scheme for Dispute Settlement
The Employees’ State Insurance Corporation (ESIC) has rolled out the Amnesty Scheme 2025, a one-time initiative to resolve long-pending litigation and encourage compliance under the Employees’ State Insurance (ESI) Act, 1948. Approved at ESIC’s 196th meeting held in Shimla, the scheme will remain in force from October 1, 2025 to September 30, 2026, and aims to reduce litigation, promote compliance, and support the government’s ease of doing business initiative. It allows both closed and running units to settle coverage, contribution, and damages disputes by paying dues and interest without facing penalties.
The key highlights of the scheme are as under:
- Employers can settle contribution-related cases by paying both employer and employee shares along with interest. Missing records can be substituted by EPFO/Income Tax documents; if unavailable, 30% of the assessed amount must be paid.
- For damages disputes, cases will be withdrawn on payment of 10% of the determined damages where contribution and interest have already been paid. If ESIC has appealed in higher courts, damages as fixed by the lower courts will be accepted and cases withdrawn.
- Prosecution cases under Sections 85 and 85A against employers may be withdrawn if contributions and interest are paid based on records or alternative documents like EPFO/IT filings. Where no records exist, dues will be assessed on declared wages, SSO survey reports, or minimum wages. No damages will be imposed.
- The scheme also covers old cases under Sections 85(a) and 85(g) pending for over 15 years with dues up to ₹25,000.
Regional and Sub-Regional ESIC officers have been empowered to approve withdrawals and settlements. A field-level committee comprising legal, finance, and panel advocates will oversee the cases, which must be settled within six months of application.
The Amnesty Scheme 2025 is available at https://esic.gov.in/attachments/newseventfile/The_New_Amnesty_Scheme_2025_1754459013.pdf
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GRAFFITI #2
New Banking Nomination Rules from November 1: Multiple Nominees Allowed
The Banking Laws (Amendment) Act, 2025 was notified on 15th April 2025 and contains amendments of five legislation – Reserve Bank of India Act, 1934, Banking Regulation Act, 1949, State Bank of India Act, 1955 and Banking Companies (Acquisition and Transfer of Undertaking) Act, 1970 and 1980. Pursuant to which, Sections 10,11,12 and 13 of the Banking Laws (Amendment) Act 2025 shall come into force from 1st November 2025. These provisions relate to the nomination in relation to the deposit accounts, articles kept in the custody and the content of the safety lockers. The key provisions are as under:
- Customers now have the option to appoint up to four nominees for their bank deposit accounts.
- For deposit accounts, the nomination can be structured either simultaneously (i.e., all nominees designated at once in specified proportions) or successively (i.e., a sequential priority list of nominees).
- For other bank-held items such as safe-custody articles or locker hire, the nomination can be made in a successive order only (i.e., priority list) and not simultaneously.
- In the case of successive nomination, when an account holder dies, the nominee highest in the order (i.e., first listed) gets priority over the others.
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GRAFFITI #3
India’s Attempt to Enter into the Age of AI Governance
India is taking definitive steps toward a comprehensive AI and digital governance framework initially through the Draft Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2025 (“Intermediary Rules”). With the objective to build upon AI regulatory framework for India, the Ministry of Electronics and Information Technology has released the draft Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Amendment Rules, 2025 (“Draft Amendment Rules”). The Draft Amendment Rules expand the scope of regulation to synthetically generated information, due diligence requirements of intermediaries and also obligations of social media intermediaries while displaying, uploading, or publishing synthetically generated information.
The Draft Notification for amendments, along with an Explanatory Note of the amendments is available at:https://www.meity.gov.in/documents/act-and-policies/amendments-to-the-information-technology-intermediary-guidelines-and-digital-media-ethics-code-rules-2021-it-rules-2021-IjN4QjMtQWa?pageTitle=Amendments-to-the-Information-Technology-(Intermediary-Guidelines-and-Digital-Media-Ethics-Code)-Rules,-2021-(IT-Rules,-2021)
The feedback/comments on the Draft Amendment Rules in a rule wise manner may be submitted by email to itrules.consultation@meity.gov.in in MS Word or PDF format by 13th November, 2025.
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GRAFFITI #4
Government of India invites public feedback on three sets of Draft National Sports Governance Rules
The Ministry of Youth Affairs & Sports has invited public feedback on three sets of draft rules framed under the National Sports Governance Act, 2025 (“Act”) namely, the Draft Rules for National Sports Bodies, National Sports Board, and National Sports Tribunal. These Rules have been formulated to facilitate the implementation of the Act.
The Act, which received Presidential assent on 18 August 2025, aims to strengthen transparency, fairness, and accountability in sports governance, protect athletes’ interests, and build a robust sports ecosystem in India. The draft rules outline governance structures, election and disqualification criteria for sports bodies, procedures for appointments and functioning of the National Sports Board, and the framework for dispute resolution through the National Sports Tribunal.
Stakeholders and the public can submit their comments by 14 November 2025 via post or email to the Ministry.
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GRAFFITI #5
Department of Consumer Affairs aligns packaging norms for medical devices with Legal Metrology Framework
The Central Government has notified the Legal Metrology (Packaged Commodities) Amendment Rules, 2025, amending the Legal Metrology (Packaged Commodities) Rules, 2011. The amendment primarily addresses packages containing medical devices, aligning packaging and labelling requirements under the Legal Metrology framework with the Medical Devices Rules, 2017. The amendments under the Legal Metrology (Packaged Commodities) Amendment Rules, 2025 include:
- Rule 2(h) – Principal Display Panel
A proviso has been inserted clarifying that for packages containing medical devices, all statutory declarations must be made in accordance with the Medical Devices Rules, 2017.
- Rule 7(2) and Rule 7(3) – Principal Display Panel: area, size and lettering requirements
A proviso has been introduced clarifying that the height and width of numerals and letters for declarations on medical device packages shall be governed by the standards prescribed under the Medical Devices Rules, 2017.
- Rule 33 – Power to Relax
A subrule has been inserted providing that the relaxations available under Rule 33 shall not apply in cases where the Medical Devices Rules, 2017 are applicable.
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GRAFFITI #6
Draft Legal Metrology Amendment requires Country of Origin filter for E-Commerce Platforms
The Department of Consumer Affairs has issued the Draft Legal Metrology (Packaged Commodities) (Second Amendment) Rules, 2025 for stakeholder comments. The draft amendment proposes to insert a proviso under Rule 6(10) of the Legal Metrology (Packaged Commodities) Rules, 2011, mandating that every e-commerce entity selling imported products must provide a searchable and sortable filter displaying the country of origin on their product listings. This measure aims to enhance consumer awareness and promote greater transparency in the online sale of imported goods.
Stakeholders are invited to submit comments by 22 November 2025 to the Department of Consumer Affairs, via email at dirwm-ca@nic.in , ashutosh.agarwal13@nic.in , mk.naik72@gov.in .
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GRAFFITI #7
Karnataka Government Approves Menstrual Leave Policy for Women Employees
The Government of Karnataka, in its 62nd Law Commission Report dated 23rd January 2025, introduced The Karnataka Menstrual Leave and Hygiene Bill 2025 (“Bill”) with the aim of ensuring flexibility to women employees by providing leave to menstrual days for employees of both private and public sector. The Bill is applicable to girls, women and transgender persons. According to the Bill, every menstruating person shall be entitled to aid leave and absence from work up to a maximum of 12 days in a calendar year.
The Government of Karnataka has now approved the Menstrual Leave Policy 2025 granting one leave per month for women employees of public and private sectors. However, the official gazette notification on the same is awaited.
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DISCLAIMER:This newsletter provides updates on legal and regulatory developments. All rights reserved. No part of this publication may be reproduced in any form without prior written permission from Eshwars, Advocates – House of Corporate & IPR Laws (“Eshwars”). The contents are intended solely for informational purposes and should not be construed as solicitation or advertisement. Eshwars shall not be liable for any consequence of actions taken by any person relying on the information contained herein. This newsletter is not a substitute for professional/legal advice on any specific transaction or matter.
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