New Competition Law Enhances Transparency and Fairness in CCI Procedures

The government has amended the Competition Act, empowering the Competition Commission of India (CCI) to issue show cause notices and pass final orders following investigations. This amendment, effective from September 19, aims to improve procedural fairness and transparency in CCI proceedings by ensuring a reasonable opportunity for parties to be heard.

The government has introduced a new amendment to the Competition Act, focusing on the investigation procedures of the Competition Commission of India (CCI). The amendment allows CCI to issue show cause notices to concerned parties and grants them time to respond before a final order is issued.

Implemented by the Ministry of Corporate Affairs, the Competition Act saw this change in April 2023, and it officially came into force on September 19. The new provision under Section 19 (f) outlines procedures for investigations by CCI, ensuring due process and fairness in the regulatory body's proceedings.

Legal experts believe this change will enhance transparency and close existing enforcement gaps. Previously, the CCI had limited powers to dismiss cases if it disagreed with the findings of its investigative arm, the Director General (DG). Now, CCI can pass appropriate orders in all cases, boosting procedural fairness and transparency.

(With inputs from agencies.)