New Delhi: In a setback to Amazon and Flipkart, the Supreme Court on Monday refused to stop the preliminary antitrust probe by the Competition Commission of India (CCI) against e-commerce giants, saying it would disown such big organisations. looks forward to presenting. Inquiry.
A three-judge bench headed by Chief Justice NV Ramana declined to entertain separate appeals of Amazon and Flipkart against the order of the Karnataka High Court, which restrained the CCI from conducting a preliminary inquiry into alleged violations of the competition law. had refused. by two e-commerce companies
Challenging the probe is tantamount to seeking a notice before registering an FIR under criminal law, the bench, also comprising Justices Vineet Saran and Surya Kant, said, and asking the e-commerce giants to submit themselves for investigation by the CCI. asked for. .
“We expect that big organizations like Amazon and Flipkart will present themselves for investigation and you don’t want that. You have to submit and allow investigation,” the top court said.
The CCI’s January 2020 inquiry order followed a complaint by Delhi Vyapar Mahasangh, whose members include several traders dealing in smart phones and related accessories, alleging that the e-commerce firm was violating the law. Huh. The Karnataka High Court had also refused to stay the CCI probe.
The top court, after hearing the arguments of Solicitor General Tushar Mehta and senior advocate Gopal Subramaniam, representing the CCI, said, “We see no reason to interfere with the order of the Karnataka High Court dismissing the writ appeals of the petitioners. ” and AM Singhvi, appearing for Amazon and Flipkart respectively.
The bench extended the time by four more weeks after Singhvi pointed out that the time for reply to the CCI was expiring on August 9, which was opposed by Mehta.
Mehta said that one week time should be given to these firms because in COVID times people mostly shop online through these companies.
“At this stage, Dr. AM Singhvi, Senior Counsel, submits that the time for responding to the notice issued by the Office of the Director General, Competition Commission of India is going to expire on 9-8-2021 and prays for extension of time. In view of the submission made by the learned Senior Advocate, the time for reply to the notice has been extended for a further period of four weeks from today. It is clarified that no further extension for the purpose will be given.” Court ordered.
The Karnataka High Court on July 23 dismissed Amazon-Flipkart’s plea against the CCI probe for alleged violation of competition law.
The High Court had said that if the e-commerce firms were not involved in any contravention, they need not withdraw from the investigation.
“The investigation cannot be quashed at this stage. If the appellants are not involved in any contravention of the provisions of the Competition Act, they should not feel ashamed to face investigation by the Competition Commission of India.”
The High Court had also held that the appeals are devoid of merit and substance and are liable to be dismissed.
Challenging the CCI’s January 2020 inquiry order, the two e-commerce giants had approached the Karnataka High Court, but the appeals were dismissed by a single judge bench of Justice PS Dinesh Kumar, holding that the appeals by the petitioners It would be unwise to pre-determine the issues raised. File petitions at this stage and obstruct the investigation.
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