CCI probing malpractices of e-tailers, not FDI violations: Competition Commission of India

CCI probing malpractices of e-tailers, not FDI violations: Competition Commission of India

BENGALURU: India’s anti-trust watchdog, Competition Commission of India (CCI), on Thursday argued before the Karnataka supreme court that it intends to look at only whether e-commerce majors Amazon and Flipkart have entered into anti-competitive practices in violation of Section 3 of the Competition Act, 2002, which isn't looking into the alleged violations of Foreign Direct Investment (FDI) policy by these e-tailers.

Amazon had filed a writ petition within the court, challenging CCI’s probe against its alleged business malpractices. Amazon had called the CCI order “perverse, arbitrary, untenable in law”, which has the potential to cause “irreversible loss and injury” to its goodwill/reputation.

CCI’s counsel BN Harish told the court on Thursday that the anti-trust watchdog is well within its jurisdiction to order a search against Amazon and Flipkart as they need been accused by Delhi Vyapar Mahasangh of predatory pricing, exclusivity and deep discounting, setting unhealthy competition.