The Goa government is set to introduce a significant regulatory overhaul with the Goa Jan Vishwas (Laws Amendment) Ordinance, 2025. This move aims to foster a more business-friendly climate by substantially reducing the compliance burden on enterprises and citizens. A core objective is to minimise the risk of criminal prosecution for industries facing procedural or technical lapses, shifting the focus towards civil penalties and faster resolution mechanisms.
Shifting from Criminal to Civil Penalties
The forthcoming ordinance is designed to enhance trust-based governance. It seeks to replace criminal penalties with civil penalties for minor violations, enabling quicker adjudication processes. This initiative is part of the state's ongoing Phase-I deregulation efforts. Officials believe this will contribute to improved rankings in national reform assessments like the Business Reforms Action Plan (BRAP) and the newer B-READY framework.
According to the draft ordinance, the goals are clear: to improve investor confidence, support Goa's industrial growth agenda, and provide clarity, uniformity, and transparency across state regulatory frameworks. The draft explicitly mentions the intent to significantly reduce the risk of criminal prosecution for procedural or technical shortcomings, a major concern for businesses.
Following the Central Government's Lead
This state-level action follows the enactment of the Jan Vishwas (Amendment of Provisions) Act, 2023 by the central government. The central act's objective was similar—to promote trust-based governance and reduce compliance burdens. It amended various central laws to substitute criminal penalties for minor, technical, and procedural contraventions with monetary fines. This prevented the undue criminalisation of routine business activities and administrative lapses.
Under that central reform, 183 provisions across 42 central acts were decriminalised. The system introduced graded penalties, compounding mechanisms, and administrative adjudication to replace lengthy criminal proceedings. This approach ensures that minor deviations do not attract severe criminal action, thereby strengthening both ease of doing business and ease of living.
Goa's Comprehensive Drafting Process
Following the central act, the Centre advised the Goa government to review its state acts and rules and enact a state-specific Jan Vishwas law. Accordingly, Goa initiated a comprehensive exercise to frame its own legislation. The Goa Investment Promotion and Facilitation Board (Goa-IPB) prepared the draft ordinance in coordination with all concerned line departments.
The drafting process involved a detailed examination of various state acts administered by different departments and directorates. The goal was to identify provisions needing decriminalisation, rationalisation, or substitution of punitive measures. The draft proposes key changes including the decriminalisation of minor offences, the substitution of imprisonment clauses with monetary penalties, the replacement of fines with more structured penalties, and provisions for adjudication by designated officers.
This meticulous review aims to create simpler, faster, and more predictable compliance mechanisms for Goa's businesses and citizens, aligning state regulations with the broader national push for a supportive economic environment.
