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Nod for Competition (Amendment) Bill by Gargi Parsai

The Rajya Sabha on Wednesday approved the Competition (Amendment) Bill 2009 which was passed by the Lok Sabha. The Bill repeals and replaces the Competition (Amendment) Ordinance, 2009.

The Bill provides for transfer of anti-competition cases pending before the Monopolies and Restrictive Trade Practices Commission (MRTPC) to an appellate tribunal. With this, the commission would cease to exist, two years ahead of its scheduled closure.

Tabling the Bill, Minister of State for Corporate Affairs Salman Khurshid said although the Competition Commission of India had started, it had not settled any case. The Appellate Tribunal had not been given adequate work necessitating an ordinance to transfer work from the MRTPC, which had become non-functional for lack of personnel at the top.

He said the Tribunal would take up 1,186 “claims” cases pending before the MRTPC. It had already disposed of 54 cases. Criticising the explanation given by the Minister, Leader of the Opposition Arun Jaitley said the law was being amended only to find work for a retired judge who heads the tribunal.

He questioned the “structure” of placing restrictive trade practices before the Competition Commission and unfair trade practices before an Appellate Tribunal “because it doesn’t have adequate work.” “This Bill should be re-visited and re-structured,” he said, which was agreed to by Mr. Khurshid.

Warning against “cartelisation” and “uncontrolled profiting,” Shanta Kumar (BJP) said development without social justice could be dangerous. S. Natchiappan (Congress) said the very purpose of creation of a commission should be to protect the interests of consumers. Moinul Hassan (CPI-M) questioned the promulgation of an ordinance for the commission.

Mr. Khurshid said the ordinance purported to take away the two-year period (for the MRTPC to cease) as personnel to head it was not available. “No right of appeal has been taken away.”

He said this legislation was in its infancy.