SOMI CONVEYOR BELTINGS LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) These two writ petitions have been filed with a common prayer to declare Regulation 35 and the proviso to Regulation 37(1) of the Competition Commission of India (General) Regulations, 2009 as well as Regulation 6 of the Competition Commission of India (Lesser Penalty) Regulations, 2009 as illegal and unconstitutional.

(2.) As could be seen from the material available on record, the Competition Commission of India (CCI) passed an order dated 06.11.2013 under Sec. 26(1) of the Competition Act, 2002 recording a prima facie opinion that the acts and conduct of the Opposite Parties (OP) mentioned therein is in contravention of Sec. 3 of the Act and thus directing the Director General (DG) to make an exhaustive investigation into the allegations. The petitioner No.1 in W.P.(C) No.1416/2016 i.e. Somi Conveyor Beltings Ltd. as well as the petitioner in W.P.(C) No.1969/2016 i.e. Premier Rubber Mills have been shown as OP-13 and OP-11 respectively. The allegation is that the Opposite Parties have been indulging in bid-rigging cartel in the market for Conveyor Belt Sector in India and indulged in exchange of the commercial and confidential price sensitive information among themselves prior to submission of bids.

(3.) The petitioners in both the writ petitions claim to be the manufacturers of conveyor belts. They were served with the notice dated 27.05.2015 issued by the Director General, Competition Commission of India/respondent No.3 herein calling upon to furnish the information/documents specified therein stating that in the investigation being conducted in Case No. DG/CC/IW/1/33/2013 in pursuance of the order of the Competition Commission of India under Sec. 26(1) of the Competition Act, 2002 (hereinafter referred to as the Act), they are arrayed as the opposite parties and that the information/documents were called for in exercise of the duties and powers conferred under Sec. 42(2) read with Sec. 36(2) of the Act.