COMPETITION COMMISSION

OF INDIA
By G-10:
Suryadeep Jain (158)
Guldeep Singh (179)
Puneet Jain (181)
Karuna Miglani (182)
Mohit Gupta (183)
Prajwal Menon (184)
Flow of the presentation
Introduction.
Competition Act, 2002
Vision, Mission and objective
Duties
Powers
Benches
Case
INTRODUCTION
Competition Commission of India is a body of
the Government of India responsible for
enforcing The Competition Act, 2002 throughout
India and to prevent activities that have an
adverse effect on competition in India.
It was established on 14 October 2003.
It became fully functional in May 2009 in India.
The Competition Act, 2002
Background
Government constituted a committee in 1999 to examine
MRTP act, 1969 for shifting the focus of the law from
curbing monopolies to promoting competition and to
suggest a modern competition law in line with
international developments to suit Indian conditions.
The Competition Act, 2002
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 regulates
combinations (acquisition, acquiring of control and
M&A), which causes or likely to cause an appreciable
adverse effect on competition within India.

Preamble to the Competition Act
An Act to provide, keeping in view of the economic
development of the country, for the establishment of a
Commission to prevent practices having adverse effect
on competition, to promote and sustain competition in
markets, to protect the interests of consumers and to
ensure freedom oftrade carried on by other participants
in markets, in India, and for matters connected therewith
or incidental thereto.

VISION
To promote and sustain an enabling competition culture through
engagement and enforcement that would inspire businesses to be fair,
competitive and innovative, enhance consumer welfare and support
economic growth.
MISSION 2020
Aims to establish a robust competitive environment through-
Proactive engagement with all stakeholders including consumers,
industry, government and international jurisdictions.
Being a knowledge intensive organization with high competence levels
Professionalism, transparency, resolve and wisdom in enforcement.



OBJECTIVES

To eliminate practices having adverse effect on competition,
promote and sustain competition, protect the interests of
consumers, and ensure freedom of trade in markets of India.

To give opinion on competition issues on a reference received from
a statutory authority established under any law and to undertake
competition advocacy, create public awareness and impart training
on competition issues.


Objectives as per Supreme Court
The main objective of competition law is to promote economic
efficiency using competition as one of the means of assisting
the creation of market responsive to consumer preferences.
The advantages of perfect competition are three-fold:
allocative efficiency, which ensures the effective allocation of
resources, productive efficiency, which ensures that costs of
production are kept at a minimum and dynamic efficiency,
which promotes innovative practices." (Judgment in Civil
Appeal No. 7999 of 2010 pronounced on 9th September, 2010)
COMPOSITION

The Commission comprises a Chairperson and not less than two
and more than six members appointed by the central
government.
Ashok Chawla is the current Chairperson of the CCI.
The members of the Competition Commission of India are:
- S.L. Bunker (Member)
- Dr. Seema Gaur (IES, Advisor , Eco)
- R.N. Sahay (IRS)
- Geeta Gouri
- M.L. Tayal (Member)

The Chairperson and every other Member shall be a
person of ability, integrity and standing and who has
special knowledge of, and such professional experience
of not less than fifteen years in, international trade,
economics, business, commerce, law, finance,
accountancy, management, industry, public affairs or
competition matters, including competition law and
policy, which in the opinion of the Central Government,
may be useful to the Commission.
contd....
DUTIES

To eliminate practices having adverse effect on
competition.
To promote and sustain competition.
To protect the interests of consumers and ensure
freedom of trade in the markets of India.
To encourage creation of entities which can deliver
faster and better goods and services.

The Commission is also required to give opinion
on competition issues on a reference received
from a statutory authority established under any
law.
To undertake competition advocacy, create
public awareness and impart training on
competition issues.

contd....
POWERS
The commission shall have the powers to
regulate its own procedure.
The Commission may call upon experts, from
the field of economics, commerce, accountancy,
international trade or from any other discipline
as it deems necessary to assist the body in the
conduct of any inquiry it undertakes.

To achieve
1. Make the markets work for the benefit and welfare of
consumers
2. Ensure fair and healthy competition in economic activities in
the country for faster and inclusive growth and development
of economy.
3. Implement competition policies with an aim to effectuate
the most efficient utilization of economic resources.
4. Develop and nurture effective relations and interactions
with sectoral regulators to ensure smooth alignment of
sectoral regulatory laws in tandem with the competition law.
5. 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


BENCHES
The jurisdiction, powers and authority of the Commission
may be exercised by Benches thereof.
The Benches shall be constituted by the Chairperson and
each Bench shall consist of not less than two Members.
Every Bench shall consist of at least one Judicial Member.
Explanation.- For the purposes of this sub- section,"
Judicial Member" means a Member who is, or has been, or
is qualified to be, a Judge of a High Court.

The Bench over which the Chairperson presides shall be
the Principal Bench and the other Benches shall be known
as the Additional Benches.
There shall be constituted by the Chairperson one or
more Benches to be called the Mergers Bench or Mergers
Benches, as the case may be, exclusively to deal with
matters referred to in sections 5 and 6.
The places at which the Principal Bench, other Additional
Bench or Mergers Bench shall ordinarily sit, shall be such
as the Central Government may, by notification, specify.

Competition advocacy
The Central Government may, in formulating a policy on
competition (including review of laws related to
competition), and a State Government may, in
formulating a policy on competition, make a reference to
the Commission for its opinion on possible effect of such
policy on competition and on the receipt of such a
reference, the Commission shall, within sixty days of
making such reference, give its opinion to the Central
Government, or the State Government, which may
thereafter take further action as it deems fit.
The opinion given by the Commission under sub-section
(1) shall not be binding upon the Central Government or
the State Government, in formulating such policy.
The Commission shall take suitable measures for the
promotion of competition advocacy, creating awareness
and imparting training about competition issues.
CASE
On 8 February 2013, CCI imposed a penalty of 52.24 crores (US$9.6
million) on the Board of Control for Cricket in India (BCCI) for
misusing its dominant position.
The CCI found that IPL team ownership agreements were unfair and
discriminatory, and that the terms of the IPL franchise agreements
were loaded in favour of BCCI and franchises had no say in the terms
of the contract.
The CCI ordered BCCI to "cease and desist" from any practice in future
denying market access to potential competitors and not use its
regulatory powers in deciding matters relating to its commercial
activities.
Cement cartel case
In June 2012, CCI imposed a fine of 63.07 billion
(US$1.0 billion) 11 cement companies for cartelisation.

CCI claimed that cement companies met regularly to fix
prices, control market share and hold back supply which
earned them illegal profits
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