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lecture-31

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Rithika Kamath
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FACULTY OF JURIDICAL SCIENCES

COURSE: B.A.LL.B. IX th Semester


SUBJECT: COMPETITION LAW
SUBJECT CODE: BAL 901
Name of Faculty: Dr. Aijaj Ahmed Raj
LECTURE 31

TOPIC: POWERS, DUTIES AND FUNCTIONS OF THE


COMPETITION COMMISSION OF INDIA

Powers and Functions of the Commission

1. To eliminate practices having adverse effect on competition, promote and sustain


competition, protect interests of consumers and ensure freedom of trade by other
participants
2. Inquire into certain agreements and dominant position of enterprise– It
provides that the Commission may either suo moto or on receipt of any
information of alleged contravention of Section 3 (prohibits anti-competitive
agreements) may inquire into the same.
3. Inquiry into combinations– Section 20 of the Act entrusts the Commission with
the power to inquire into any information relating to acquisition and determine
whether such combination or acquisition may have an appreciable adverse effect
on competition (AAEC).
4. Reference of an issue by a statutory authority to the Commission– Section
21 of the Act enumerates that in the course of a proceeding if any issue is raised
that any decision of a statutory authority will be in conflict with the provisions of
the Competition Act, 2002, the statutory authority shall make a reference in this
regard to the Commission.
5. Reference by Commission– Section 21A of the Act provides that if in the
course of proceeding an issue is raised by any party that any decision taken by
the Commission is in contravention of the provisions of Competition Act, whose
authority is entrusted to a statutory authority then the Commission may make a
reference in respect of the issue to the statutory authority.
6. Power to issue interim order– Section 33 of the Act empowers the Commission
to issue interim orders in cases of anti-competitive agreements and abuse of
dominant position, thereby temporarily restraining any party from carrying on
such an act.
7. Competition Advocacy– Section 49 of the Act provides for competition
advocacy and enumerates that the Central or the State Government may while
formulating any policy on Competition or any other matter may make reference to
the Commission for its opinion on possible effect of such policy on Competition.
However, the opinion given by the Commission is not binding on the Central
Government.

Exercise:

1. On receipt of a reference from Central or State Government or a Statutory Authority,


if the Commission is of opinion that there exists a prima facie case, it shall direct the
_________ to cause an investigation to be made into the matter

a) Chairperson, CCI
b) Secretary, CCI
c) Senior Most Member, CCI
d) Director General, CCI

2. The Supreme Court of India discussed the scope of Section 26 of the Competition
Act, 2002 in the case of

a) CCI vs NTPC
b) CCI vs SAIL
c) CCI VS Jindal Steel and Powers Ltd
d) None of these

3. If after inquiry, CCI find the involvement of any enterprise in any anti-competitive
agreement or abuse of dominant position, it may impose such penalty which shall be
not more than ________ of the average turnover for last three preceding financial years
a) one percent
b) two percent
c) five percent
d) ten percent

4. CCI hauls up ___________ for abusing market dominance

a) Godrej
b) Parle G
c) DLF
d) Smith & Jones

5. If after satisfaction on a prima facie basis, CCI issue a notice to show cause to parties
to combination, such combination being likely to cause, or has caused an appreciable
adverse effect on competition within relevant market in India, calling upon them to
respond within ________ of the receipt of notice, as to why investigation in respect of
such combination should not be conducted

a) Ten days
b) Twelve days
c) Thirty days
d) Fifteen days

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