In a major step to improve the ease of doing business, the Gujarat government has passed the Jan Vishwas (Amendment of Provisions) Bill, 2025, decriminalising 516 provisions across 11 state laws and rules.
The amendments, covering six key departments, replace imprisonment clauses with monetary penalties for minor offenses. Industries Minister Balwantsinh Rajput, who tabled the Bill in the state assembly on Tuesday, said the move will cut down court cases, reduce harassment, and build investor confidence.
“The fear of jail for small mistakes hampers trade and discourages entrepreneurs. Now, petty violations will be treated as civil breaches, not criminal acts,” Rajput said.
Key Highlights
516 provisions changed:
1 imprisonment clause scrapped.
17 provisions with jail/fine shifted to penalty-only.
498 provisions with fines converted into penalty systems.
Settlement system introduced: Authorities can now accept penalties directly without dragging businesses to court.
Targeted support for startups & MSMEs: Focus on growth without the threat of criminal branding.
Sample Amendments
Co-operative Societies Act, 1961: False advertising or non-compliance now attracts fines of 5,000–50,000.
Town Planning & Urban Development Act, 1976: Illegal construction will carry fines of 1,000–50,000 per day instead of jail.
Municipality Act, 1963: Penalties revised from 50–500 to 100–500.
The reforms align with the Centre’s Jan Vishwas Bill 2.0 and aim to create a more business-friendly climate, especially for startups and MSMEs.