Competition Commission of India

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The Competition Commission of India is a statutory body of the Government of India responsible for the enforcement of the Competition Act, 2002 throughout India and to prevent activities that have an appreciable adverse effect on competition in India. It was established on 14 October 2003. It became fully functional in May 2009 with Dhanendra Kumar as its first Chairman. [3] [4]

The Competition Act, 2002

Main article: The Competition Act, 2002

The idea of ​​Competition Commission was conceived and introduced in the form of the Competition Act, 2002 by the Vajpayee Government . Indian economic liberalisation . A need was felt to promote competition and private enterprise especially in the light of 1991 . [5]

The Competition Act, 2002, as amended by the Competition (Amendment) Act, 2007, follows the philosophy of modern competition laws. The Act prohibits anti-competitive agreements, abuse of dominant position by enterprises and regulatory combinations (acquisition, acquiring of control and Merger and acquisition ), which causes an appreciable adverse effect on competition within India. [6]

The objectives of the Act are sought to be achieved by the Competition Commission of India (CCI), which has been established by the Central Government with effect from 14 October 2003. CCI consists of a Chairperson and 6 Members appointed by the Central Government. It is the duty of the Commission to have recourse to adversity, and to protect the interests of consumers and ensure the freedom of trade in the markets of India. [6] The Commission is also required to give an opinion on the subject of competition, and to raise awareness of the issue. [6]

Objectives

“The objective of competition is to promote the efficiency of the world of efficiency. , Productive efficiency, which ensures that costs of production are kept at a minimum and dynamic efficiency, which provides innovative practices. “

Supreme Court of India Judgment in Civil Appeal No. 7999 of 2010 pronounced on 9 September 2010

Preamble to the Competition Act

An Act to provide, keeping in view of the economic development of the country, for the establishment of a trade in, in India, and for matters connected therewith or incidental thereto. [6]

To achieve its objectives, the Competition Commission of India endeavors to

  • Make the markets work for the benefit and welfare of consumers.
  • Ensure fair and healthy competition in economic activities in the country for faster and inclusive growth and development of economy.
  • Implement competition policies with an aim to make the most efficient use of economic resources.
  • And effective relations and sectoral regulators to ensure smooth alignment of sectoral regulatory laws in tandem with competition law.
  • Effectively carry out competition advocacy and spread the information on benefits of competition among all stakeholders to establish and nurture competition culture in Indian economy.

Composition

The Commission included a Chairperson and six members. Devender Kumar Sikri is the current Chairperson of the CCI. [7] The members of the Competition Commission of India are:

  1. ML Tayal
  2. SL Bunker
  3. Sudhir Mital
  4. Augustine Peter
  5. UC Nahta

Notable boxes

  • In December 2010, CCI instituted a probe to examine whether there was any cartelization among traders when it touched 80 rupees, but did not find sufficient evidence of market manipulation. [8]
  • In June 2012, ITC Imposed a fine of ₹ 63.07 trillion (US $ 980 million) 11 cement companies for cartelisation . CCI claims that cement companies regularly pays for it. [9] [10]
  • In January 2013, CCI modified clauses in agreements between companies DLF Limited and apartment buyers. [11] Business and finance Portal Moneycontrol.com welcomed the order saying, “This is a landmark ruling and will benefit property owners across the country”. Some of the important changes were:
    • The Builder can not undertake any additional construction beyond the approved building plan given to the buyers. [11] The builder will not have full ownership of the market. [11] Not just the buyer but the builder will be bindable for any defaults. [12] All payments made by the buyers must be based on construction milestones and not “on demand”. [12] The builder will not have the power to form the owner’s association . [12]
  • On 8 February 2013, ICC has Imposed penalty of ₹ 522 million (US $ 8.1 million) on the Board of Control for Cricket in India (BCCI) for misusing icts dominant position . The CCI found that IPL team agreements were unfair and discriminatory, and that the terms of the IPL franchise agreements were loaded in favor of BCCI and franchises had no say in the terms of the contract. The CCI has been instructed by the CCI to be based on the provisions of the CCP. [13] [14]
  • In 2014, CCI imposed a fine of ₹ 10 million upon Google for failure to comply with the directions given by the Director General (DG) seeking information and documents. [15]
  • On 17 November 2015, CCI imposed a fine of 258 crores upon Three Airlines. The Competition Commission of India (CCI) has been in charge of the cartelization of the fuel surcharge on the air cargo. A penalty of Rs 151.69 crores was imposed on Jet Airways , while that on InterGlobe Aviation Limited (Indigo) and SpiceJet are Rs 63.74 crores and Rs 42.48 crores respectively. [16]
  • In May 2017, CCI (Cellular Operators Association of India), following a complaint filed by Reliance Jio against the cartelization by its rivals Airtel Bharati, Vodafone India and Idea Cellular.

References

  1. Jump up^ “Photo of CCI title” . live mint . Retrieved 10 February 2013 .
  2. Jump up^ “Section 66 in The Competition Act, 2002” . Retrieved 10 February2013 .
  3. Jump up^ “CCI Training” . CCI . Retrieved 4 January 2013 .
  4. Jump up^ “CCI through the eyes of the media: Doing well!” . MoneyControl.com . September 18, 2012 . Retrieved 4 January 2013 .
  5. Jump up^ “In fact: How India learns to promote, and regulate, competition” . Retrieved 2 March 2017 .
  6. ^ Jump up to:d “The Competition Act – Act No. 12 of 2003” (PDF) . Competition Commission of India. Archived from the original (PDF) on 27 June 2012 . Retrieved 10 October 2012 .
  7. Jump up^ “CCI – Organogram” . Competition Commission of India . Retrieved 12 October 2013 .
  8. Jump up^ Venkatesh, Mahua (15 August 2013). “Competition panel to probe hoarding, onion price rigging” . Hindustan Times (New Delhi ed.) . Retrieved 16 August 2013 .
  9. Jump up^ “Commission Competition of India imposes Rs 6,307 crore penalty on 11 cement companies” . Economic Times . 22 June 2012 . Retrieved 4 January 2013 .
  10. Jump up^ “Busted: ‘Cartelising’ cement firms” . Business Standard . 26 June 2012 . Retrieved 4 January 2013 .
  11. ^ Jump up to:c “Competition Commission of India modified DLF-buyer agreements” . Economic Times . 4 January 2013 . Retrieved 4 January2013 .
  12. ^ Jump up to:c “ITC ruling is DLF: Changing the builder-buyer equation” . Money Control . 4 January 2013 . Retrieved 4 January 2013 .
  13. Jump up^ “SS-Barmi-v-BCCI” . February 8, 2013 . Retrieved 8 February 2013 .
  14. Jump up^ “Watchdog competition slaps Rs.52.24 crore fine on BCCI” . Live Mint. Retrieved 8 February 2013 .
  15. Jump up^ “CCI imposes a fine of Rs. 1 Crore upon Google for failure to supply information / documents in the investigations” . GDP. March 27, 2014 . Retrieved 1 April 2014 .
  16. Jump up^ “Cartelisation: CCI imposes Rs 258 crore fine on Jet Airways, IndiGo, SpiceJet” . November 18, 2015 . Retrieved 12 November 2016 – via Financial Express.