Beware Pharmaceutical Companies- CCI penalizes Alkem Laboratories Ltd. (ALKEM) for bowing down to pressure of All Kerala Chemists and Druggists Association by stopping supplies to a local chemist

The CCI, vide its recent order dated December 1, 2015, has penalized All Kerala Chemists and Druggists Association(AKCDA) and Alkem Laboratories Limited(ALKEM) for limiting and controlling the supply of medicines in Kerala. The Informant Mr. P. K. Krishnan Proprietor, Vinayaka Pharma, runs a pharmaceutical distribution store in Palakkad, Kerala. It was alleged that Alkem refused to…

COMPAT sets-aside penalty imposed on Himachal Pradesh Chemist & Druggist Alliance (HPCDA) on account of failure to observe principles of natural justice during investigation by the DG

COMPAT, by its order dated January 13, 2016, has set-aside the penalty imposed by the CCI on HPCDA and ordered re-investigation into allegations of cartelisation by the HPCDA. The case was filed by Rohit Medical Store against HPCDA alleging that pharmaceutical companies were not appointing stockists in the absence of NOC from HPCDA, charging of…

German Federal Cartel Office (FCO) prohibits the “best value” provisions of Booking.com

In December 2015 the Bundeskartellamt (FCO) prohibited booking.Com Deutschland GmbH from making use of its “best price” clauses and ordered the inn reserving portal to delete the clauses from its contracts and general terms and stipulations latest by 31 January 2016. Under the said provisos, inns were obliged to constantly offer Booking.com their most minimal…

Competition Commission of India (CCI) closes case against General Insurance Public Sector Undertakings and their association for alleged cartelization

The Competition Commission of India (CCI), by its order dated January 04, 2016, has closed a case alleging anti-competitive agreements between the four PSU general insurance companies and their association. The Informant is the Association of Third Party Administrators (TPAs) engaged in ensuring that the administration of services in the health insurance market is efficient,…

CCI to investigate the Chettinad International Coal Terminal Pvt. Ltd. and Kamarajar Port Ltd. for alleged abuse of dominance

CCI, by its order dated January 04, 2016 has initiated an investigation against Kamarajar Port Ltd. (the erstwhile Ennore Port) and Chettinad International Coal Terminal Pvt. Ltd. (Chettinad) against alleged abuse of dominant position. The case was filed by an association of Tamil Nadu Power Producers Association (TNPPA). Chettinad is engaged in the procuring terminal…

CCI Chairman upset with judicial interventions into competition matters

The recent outbursts of CCI outgoing Chairman, Mr. Ashok Chawla on interventions by the Competition Appellate Tribunal (COMPAT) have started attracting  media attention and are being reported periodically. For instance, consider these news –“CCI doesn’t want orders stuck down on technical issues – CCI Chairman Ashok Chawla” and “Entities make concerted attempts to stonewall CCI work: Ashok…

Competition Appellate Tribunal (COMPAT) sets aside the order of CCI against cement cartel-

The Competition Appellate Tribunal (COMPAT) vide its recent order dated December 11, 2015, while allowing the appeals of the 10 appellants, has set aside the order of the Competition Commission of India (CCI) dated June 20,2012  against 9 cement manufacturing companies (Lafarge,  ACC, Ambuja , Ultratech, India Cements, JK Cements, Madras Cements, Binani Cements, Jaiprakash…

CCI approves combination between Invesco Hong Kong Limited (Invesco HK) and Religare entities

CCI, by its order dated December 22, 2015, has approved the proposed proposed acquisition of shares of Religare Enterprises Limited (REL)in Religare Invesco Asset Management Company Private Limited (RI-AMC) and Religare Invesco Trustee Company Private Limited (RI-TC). The proposed combination relates to the increase in the existing shareholding of the Invesco HK from 49% to…

Competition Appellate Tribunal (COMPAT) directs re-consideration by CCI against movie producers/distributors for alleged cartelisation in setting unfair standards in cinema exhibition

COMPAT, by its order dated December 08, 2015 reversed the order of CCI dated April 22, 2015 which closed a case without initiating investigation against the 7 movie producers/distributors engaged in the production/distribution of Hollywood movies. The case was filed by K. Sera Sera Digital Cinema Pvt. Ltd alleging that the 7 opposite parties(OPs) compelled…