May 02, 2025 09:20 pm (IST)
Follow us:
facebook-white sharing button
twitter-white sharing button
instagram-white sharing button
youtube-white sharing button
PM Modi inaugurates Vizhinjam International Seaport in Kerala worth Rs. 8,800 crore | 'Many will get their sleep disturbed': Modi's veiled jibe at Congress over Shashi Tharoor, Pinarayi Vijayan's presence at Kerala event | Kashmir: Pakistani soldiers violate ceasefire for 8th consecutive night along LoC | Hope India's response to Pahalgam attack doesn't lead to broader regional conflict: JD Vance | Pahalgam attack: JD Vance says US hopes Pakistan will cooperate with India in hunting down terrorists | Shashi Tharoor welcomes PM Modi in Kerala, takes dig at 'dysfunctional' Delhi airport over flight delays | Air India will see a $600 million loss with Pakistan banning its airspace after Pahalgam attack: Report | Don't demoralise our forces: Supreme Court rejects plea seeking judicial probe into Pahalgam terror attack | PM Modi inaugurates WAVES, says right time to 'Create In India, Create For The World' | Kolkata fire: Hotel owner and manager arrested after blaze kills 14

E-retailers on Amazon, Flipkart challenge CCI probe on anti-competitive practices; allege regulatory overreach

| @indiablooms | Nov 28, 2024, at 03:12 am

Bengaluru: A group of e-retailers operating on major platforms like Amazon and Walmart-backed Flipkart argued before the Karnataka High Court (HC) on Wednesday that the investigation by the Competition Commission of India (CCI) into alleged anti-competitive practices exceeds the regulator's statutory authority, media reports said.

The e-retailers, including Rocket Kommerce LLP and Sane Retail, have sought exclusion from the probe, which the court had temporarily stayed earlier this month. The case is being heard by a single bench led by Justice Hemant Chandangoudar, reported Moneycontrol.

The CCI launched its probe in 2020 to examine claims that Amazon and Flipkart engaged in practices like favoring certain e-retailers.

During the investigation, the CCI’s Director-General (DG) reportedly uncovered connections between the platforms and these e-retailers, designating them as “opposite parties.”

The e-retailers have contested this, arguing that their inclusion violated procedural rules, as the DG did not secure CCI approval before altering their role in the investigation.

As per CCI regulations, the DG is prohibited from expanding the scope of a probe beyond what the Commission originally mandates, the report said.

The case has gained traction following Enforcement Directorate (ED) raids on some of the e-retailers under investigation.

The ED is conducting a parallel inquiry under the Foreign Exchange Management Act (FEMA), alleging that Amazon and Flipkart circumvented foreign ownership restrictions in the retail sector by indirectly controlling certain e-retailers.

The platforms are accused of favoring these entities, in potential violation of Indian competition laws that mandate equal treatment for all e-retailers.

Alleged links between the platforms and preferred sellers are classified as vertical agreements, strengthening the CCI’s case.

The CCI has also scrutinized other tech platforms, such as food and hotel aggregators, and Google Play, for allegedly granting preferential treatment to specific entities.

The outcome of this case could set a significant precedent for e-commerce giants’ business practices in India, as regulatory scrutiny continues to escalate.

Support Our Journalism

We cannot do without you.. your contribution supports unbiased journalism

IBNS is not driven by any ism- not wokeism, not racism, not skewed secularism, not hyper right-wing or left liberal ideals, nor by any hardline religious beliefs or hyper nationalism. We want to serve you good old objective news, as they are. We do not judge or preach. We let people decide for themselves. We only try to present factual and well-sourced news.

Support objective journalism for a small contribution.
Related Videos
FM Nirmala Sitharaman presents Budget 2025 Feb 01, 2025, at 03:45 pm
Nirmala Sitharaman on Budget 2024 Jul 23, 2024, at 09:30 pm
PM Modi on Budget 2024 Jul 23, 2024, at 09:30 pm
Close menu