CCI initiates investigation against Athletic Federation of India

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CCI initiates investigation against Athletic Federation of India

March 20, 2016 Leave a commentAntitrust, News and EventsBy M M SHARMA

CCI by its order dated March 16, 2016 has ordered detailed investigation against the Athletic federation of India (AFI) for restricting organisation of marathons without permission for AFI.

The case has been referred to CCI by the Department of Sports, Ministry of Youth Affairs and Sports, Govt. of India. It was alleged that AFI has decided in its Annual General Meeting held on 11-12 April, 2015 to take action against the state units/ officials/ athletes who encourage unauthorised marathons without taking permission of AFI.

The CCI considered that in the market for ‘provision of services relating to organisation of athletic/athletic activities in India’, AFI being the apex body for managing athletics in India and by virtue of its association with International Association of Athletics Federation (IAAF) and the Asian Athletics Association (AAA) and Indian Olympic Association, it is controlling athletic activities in the entire country. Thus, in relation to organisation of athletic activities in India, AFI is the supreme authority having control over all such events and activities. Thus, AFI was considered to be enjoying a position of dominance in the relevant market.

AFI is trying to impose discriminatory terms and conditions like mandatory permission for conducting national and international marathon meets and it is thereby restricting the entry of new entrants into the relevant market. The said conduct of AFI prima facie appears to be abuse of dominant position by AFI in terms of the provisions of Section 4 of the Act. The Director General (DG) has been directed to investigate the conduct of AFI for abuse of dominant position.

About the author

M M SHARMA

 Comdt. (Retd.) M. M. Sharma heads the Competition Law & Policy team in VA since 2009 and has over 30 years’ experience as an Advocate of Delhi High Court and holds a Post Graduate Diploma in Economics of Competition Law from Kings College, London. He has worked in the Competition Commission of India (CCI) as Additional Registrar during 2006-2008 and was responsible for drafting the Implementing Regulations under the Competition Act, 2002. He has experience of working as Head-Legal /In-house Counsel for a large Corporate Group in the Steel and Power sector before joining VA in 2009. He has represented clients as an independent arguing Counsel in landmark cases decided by CCI, the Competition Appellate Tribunal (COMPAT) , High Courts and the Supreme Court. As a prolific writer, he contributes articles and is regularly quoted on competition issues in National Newspapers and interviewed by TV Channels. He also teaches as a visiting faculty in various Universities and Institutions and is widely regarded as a subject expert in various Committees of Apex Business Chambers, such as FICCI, CII, ASSOCHAM and PHD CCI.  Mr. Sharma has been mentioned as a “Notable Practitioner” in the “Competition/Antitrust” category of Chambers & Partners (Asia Pacific) Ranking of Leading Lawyers for Business in India for the year 2012 and 2013. VA’s competition law and policy team has also been awarded the Law Firm of the Year Award for “Competition/Antitrust Law” for 2013 by the Indian Business Law Journal. Included as a ‘Recognised Practitioner’ in Individual Lawyers’ranking by Chamber’s Asia Pacific Guide 2020 for Antitrust/Competition Law.