Experts in the industry believe that disclaimers become a necessity when any form of advertising featuring influencers or celebrities uses a government logo. Recently, chartered accountant and finfluencer Rachana Ranade, better known as CA Rachana Ranade, was featured in a print campaign on digital safety published across multiple dailies. The campaign included the usage of Ministry of Information and Technology (MeITY) and G20 logos. The print ad created an impression that the government was endorsing Ranade, leading to an uproar and debate among registered advisors, consumer advocacy groups, and legal experts.
Minister of State for Electronics and Technology, Rajeev Chandrasekhar, clarified on Twitter that any ad campaign using a government logo should not be seen as an “endorsement” from the authorities. Chandrasekhar made this statement in response to Rachna Ranade ad that was published across multiple leading dailies.
According to a CNBC-TV18 report, an anonymous advisor was quoted as saying, “The endorsement gives an impression that finfluencers like CA Rachna are the real experts. Merely tweeting that is not, cannot absolve the government or YouTube of responsibility. On one hand, Registered Investment Advisors, who are qualified to give advice, struggle to survive under the burden of draconian SEBI regulations that restrict almost every aspect of their practice. On the other hand, finfluencers, with absolutely zero responsibility towards their audiences, are having a merry laugh to the bank.”
The advisor further says, “Guess who is suffering the most? The common man who cannot find quality advice at a reasonable price and is now being advised by the government to trust unregistered finfluencers like CA Rachna in a full-page advertisement in a leading daily! This is a huge embarrassment to SEBI. MEIT and SEBI should publish a full-page apology to the public for misinformation and admit that it is a mistake. Nothing less can undo the damage.”
As per a media report, consumer advocacy groups and legal experts stress that whenever advertisements or events feature government logos, influencers or private companies should highlight a disclaimer explaining their nature of association with the government.
Permission from the respective government department is required whenever companies decide to use its logos. An official, quoted in a media report, stated that the go-ahead is given after analyzing the proposal.
The experts also emphasize that the responsibility of placing disclaimers in ads featuring government logos lies with the influencer or advertiser, where they explain that the government does not endorse the content.
As per Financial Express, Amol Kulkarni, director of research at Consumer Unity & Trust Society International, one of the experts, suggests that the government can collaborate with civil society to address red flags in any event or commercial featuring government logos, which could potentially mislead consumers.
Amrita Choudhury, director of Cyber Cafe Association of India (CCAOI), also quoted in the report, highlights that using influencers is good for the government to promote its initiatives, but it should come with required disclosures.
“However, full terms, including any monetary transactions, should be disclosed. Disclosure is necessary as people do not doubt the credibility of any news or advertisement if the government’s name is associated with it,” she notes.