Karnataka HC is hearing two plea moved by Amazon and Flipkart to quash order passed by Competition Commission of India alleging violations of competition law.
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ASG Madhavi Divan appearing for CCI: We cannot turn a blind eye to the material before us. Material before us was multi-fold.
Divan: Exhaustive arguments have been made from the other side. But I think the Section 26 of the Competition Act has not been read in full to your Lordship. I think that is problematic.
Key to understanding S. 26 (1) comes from rest of the provision.
Key to understanding S. 26 (1) comes from rest of the provision.
Divan: Other side has argued that order passed by the CCI is unreasonable, there is no application if mind etc.
There is a prima facie case. I will come to that, your Lordship.
There is a prima facie case. I will come to that, your Lordship.
Divan: If we proceed on the wrong footing, we will get the wrong answers....
Divan: Arguments have been made on Appario, Cloudtail Frontizo etc.
Amazon has been dissecting the facts.
It is very doubtful whether this can be done before writ court..
Amazon has been dissecting the facts.
It is very doubtful whether this can be done before writ court..
Divan: But if we look at it, who is best placed to dissect these facts? The Director General. Let him do this job.
Divan: The Supreme Court, in a case has said why the person making a complaint in a competition law matter becomes the "informant" and not a complainant. Because these proceedings are in rem.
At the end of the day, the DG is authorized to do the fact finding exercise: Divan
Divan: Mr Subramanium (appearing for Amazon) has contended that confidentiality of the investigation was not maintained. That CCI had given made it public and it has affected their reputation. The SALE judgement was cited.
Divan: The SALE judgment does not talk about confidentiality.
It says confidentiality will have to be maintained if some trade secret is involved.
It says confidentiality will have to be maintained if some trade secret is involved.
Why should the CCI keep the order of investigation is secret? The proceedings are in rem: Divan
The matter has been argued before the Court as if there has been a full fledged adjudication by the CCI.
In fact, we are very far from adjudication: Divan
In fact, we are very far from adjudication: Divan
We only want solid credible data...DG will do the fact finding exercise after which the parties will be called to make their case: Divan
On the point of online marketplace, we agree with them: Divan
There has been an exponential growth in online market in the past one year, owing to the pandemic: Divan
Due to the pandemic, even people who want to touch and feel the product, see the product before buying, have switched to online market: Divan
It is extremely important to preserve the sanctity of online market place: Divan
Divan submits that she would address the Court on the aspect of FDI Policy as well.
These are points I would like to raise. I dont know how much time your Lordship has today: Divan
If you are done with your preamble, you can start afresh tomorrow: Justice PS Dinesh Kumar.
If you are done with your preamble, you can start afresh tomorrow: Justice PS Dinesh Kumar.
Justice Kumar: You can give your reply to the arguments made by the petitioners. If possible.
It will be easy for me.
Divan: I can do that next week.
Justice Kumar: Yes yes.
It will be easy for me.
Divan: I can do that next week.
Justice Kumar: Yes yes.
Divan: Will the matter be taken at 3 or 3:30 tomorrow milord?
Justice Kumar: Let us keep it at 3:30.
Adjourned to February 26.
Justice Kumar: Let us keep it at 3:30.
Adjourned to February 26.
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