Karnataka HC is hearing two petitions moved by Amazon and flipkart seeking to quash the probe ordered by the Competition Commission of India (CCI) against them for alleged violations of Competition Law.

@amazonIN
@Flipkart
@CCI_India
Senior Adv Gopal Subramanium appearing for Amazon submits that the order passed by CCI calling for investigation into Amazon is against object and purpose of the Competition Act.

He refers to the preamble of the Competition Act.
The impugned order calls upon investigation into a platform which actually promotes competition: Subramanium.
The CCI order reeks of non application of mind: Subramanium.

He also refers to various Supreme Court judgments in this regard.
We are only a marketplace, we have no control over the prices of phones (or other products): Subramanium.

The order does not expressly show that Amazon has "adverse appreciable effect on Competition", he adds.
There are no entry barriers, anyone can enter the market: Subramanium
The document submitted by the informant to CCI was incomplete, says Subramanium.

The doc says that online sales for phones is growing manifold. However, the next page says that offline sales for phones is still major, with 60%.

This page was not submitted: Subramanium
The Commission ought to have been careful when this page was missing in the document furnished by the informant: Subramanium
He now argues on point of prices of goods in Amazon.

"If I dont own goods, how do I control prices?" - Subramanium
Informant is of the view that Cloudtail and Appario is related to the Petitioner. It alleges that the shareholders are same. This is not true: Subramanium
Subramanium now refer to various Supreme Court orders.
You must be able to substantiate your primafacie opinion. Merely saying that you have a primafacie opinion is not enough. CCI can order investigation only if there is a primafacie opinion: Subramanium
If nothing is found against me by Authorities under FEMA, then what is the need for the CCI to pass an order under section 26 (1) of the Competition Act: Subramanium
Justice PS Dinesh Kumar: How long do you need?

Subramanium: Maximum 30 mins. I want to wind up.

Justice Kunar: Let's do it tomorrow. I have some more misc matters.

Matter adjourned to tomorrow.

• • •

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