Mint Explainer: CCI's anti-trust case settlement and its impact on businesses

livemint.com:

ease of doing business and to make the competition regulation regime world class. The two schemes are available for those facing or have faced investigations for abuse of dominance or for entering into anti-competitive agreements other than cartels. These anti-competitive agreements could be among enterprises or persons at different stages of the production chain.

Examples include tie-in arrangement, exclusive supply or distribution agreements, refusal to deal or resale price maintenance. Cartels are seen as very serious offences and are not covered under the two schemes. An entity seeking settlement has to apply for it within 45 days of receiving the report of investigation by the Director General of investigation.

CCI can give a 30-day grace period in certain cases. The application has to have details of the settlement proposal including as to how the settlement will address the breaches and the competition concerns. CCI will decide on the application after weighing the nature, gravity and impact of the alleged contraventions.

The settlement amount computed by CCI will be final and any application seeking revision of the same will not be entertained by the Commission, as per the draft settlement scheme. The applicant has 15 days to accept the offer of settlement made by CCI and 30 days from then to make the payment, failing which the settlement application will be rejected. The applicant has the freedom to withdraw the settlement proposal at any time before CCI comes up with its order.