Indian Competition Act
With the liberalization of the economy and the re-definition of the role of the State and of the private sector in the Indian economy, competition policy in India and its governing legal-regulatory framework needed revisiting. The MRTPA was limited in its efficacy and was found inadequate.
Consequently, a comprehensive competition legislation known as the Competition Act, 2002 came into being with the passage of the Competition Act by the Parliament and assented to by the President of India on 13th January,2003. This Act seeks to replace the MRTP Act, 1969.
The objectives of the Competition Act are to:
• prevent anti-competitive practices,
• promote and sustain competition in markets,
• protect the interests of the consumers and
• ensure freedom of trade carried on by other participants in markets.
SUBSTANTIVE PROVISIONS :- The Competition Act contains substantive provisions dealing with:
• anti-competitive agreements;
• the abuse of dominance; and
• merger control.
The Act is extra-territorial and assumes jurisdiction over acts outside India that may affect a market within India.
COMPETITION COMMISSION OF INDIA (CCI):
An authority called the ‘Competition Commission of India’ (CCI) has been constituted by the Central Government to enforce the provisions of the Competition Act.
The CCI will be a body corporate having perpetual succession and a common seal with power to acquire, hold and dispose of property, both movable and immovable and can contract in its own name.
In the discharge of its functions, the CCI shall be guided by the principles of natural justice, and has the power to regulate its own procedures.
The Commission shall consist of a Chairperson and not less than two and not more than ten other Members to be appointed by the Central
References: - 1) http://www.indialawoffices.com/iloPdf/indiancompetitionlaw.pdf 2) http://en.wikipedia.org/wiki/Competition_Commission_of_India. 3) http://pib.nic.in/newsite/erelease.aspx?relid=88148. 4) http://www.mondaq.com/india/x/111152/Trade+Regulation+Practices/Competition+Law+Enforcement+Starts+in+India+.