The tenure of Ravneet Kaur as the first woman to head the Competition Commission of India will forever be remembered as a watershed moment in the history of competition regulation.

Ravneet Kaur, a 1988 batch Indian Administrative Service (IAS) officer of the Punjab cadre, has been appointed as the Chairperson of the Competition Commission of India (CCI). She is the first woman to lead the CCI since its establishment in 2003. Her appointment by the central government took place on May 15, 2023, for a term of five years or until she turns 65, whichever comes first.

A Distinguished Career in Administration and Finance

With over three decades of experience in various administrative and financial roles in the central and state governments, Ravneet Kaur brings a wealth of expertise to her new position. Prior to her appointment as the Chairperson of the CCI, she served as the Chairperson and Managing Director of the India Tourism Development Corporation (ITDC) from 2017 to 2019.

Education and Career Highlights

Born and raised in Delhi, Ravneet Kaur pursued her graduation from Lady Shri Ram College for Women and obtained her post-graduation degree from the Delhi School of Economics. She joined the Indian Administrative Service in 1988 and was allotted to the Punjab cadre. Throughout her career, she has held significant positions such as Director of the Department of Economic Affairs, Joint Secretary of the Department of Financial Services, Joint Secretary of the Department of Industrial Policy and Promotion, Principal Secretary of Cabinet Coordination and Parliamentary Affairs, Principal Secretary and Financial Commissioner of Revenue, Rehabilitation and Disaster Management, and Additional Chief Secretary of Industries and Commerce.

Responsibilities as Chairperson of the CCI

As the Chairperson of the Competition Commission of India, Ravneet Kaur assumes the crucial role of overseeing the functioning of the commission. The CCI’s primary objective is to regulate and promote fair competition in the Indian market. Ravneet Kaur will be responsible for preventing practices that harm competition, safeguarding consumer interests, and ensuring the freedom of trade in the country. She will also lead the commission in handling complex and challenging cases involving various sectors such as digital platforms, e-commerce, telecom, pharmaceuticals, and automobiles.

Challenges and Expectations

Ravneet Kaur’s appointment comes at a time when the Competition Commission of India is facing a substantial backlog of cases and a shortage of staff. Since October 2020, the commission has been without a full-time chairperson after the completion of Ashok Kumar Gupta’s tenure. In the interim, Sangeeta Verma, a member of the CCI, has been serving as the acting chairperson. Additionally, the commission currently has only three members out of the six it is supposed to have. Furthermore, the CCI is anticipated to receive additional powers and responsibilities through proposed amendments to the Competition Act, 2002.

Welcomed Appointment and Historic Step

Various stakeholders in the industry and academia have warmly welcomed Ravneet Kaur’s appointment as the Chairperson of the CCI. They express hope that her extensive experience and expertise will help revamp and strengthen the commission, making it more effective and efficient in achieving its objectives. Moreover, her appointment is recognized as a significant milestone in promoting gender diversity and empowerment within regulatory bodies.

Personal Life

Ravneet Kaur is married to Rajiv Kaur Khattar, who is also an IAS officer of the Punjab cadre. Together, they have two children.

Q: Who has been appointed as the Chairperson of the Competition Commission of India (CCI)?

A: Ravneet Kaur has been appointed as the Chairperson of the CCI.

Q: When was the appointment made?

A: The appointment was made on May 15, 2023 according to the official order.

Q: Has there been a full-time Chairperson for the CCI before Ravneet Kaur’s appointment?

A: No, there has been no full-time Chairperson for the competition regulator since Ashok Kumar Gupta left office in October 2022.

Q: What is the duration of Ravneet Kaur’s appointment?

A: Ravneet Kaur’s appointment as the Chairperson of the CCI will be for a period of five years from the date of assuming charge or until the date of attaining the age of 65 years, or until further orders, whichever comes first.

Q: What is the salary of the Chairperson?

A: According to the order, the Chairperson will receive a consolidated salary of Rs 4,50,000 per month without house and car.

What is The Competition Commission of India (CCI)?

The Competition Commission of India (CCI) is a statutory body of the Government of India that regulates and promotes fair competition in the Indian market. It was established in 2003 under the Competition Act, 2002, which replaced the Monopolies and Restrictive Trade Practices Act, 1969. The CCI aims to prevent practices that have an appreciable adverse effect on competition, protect the interests of consumers and ensure freedom of trade in India.

The CCI was established on 14 October 2003.

The CCI consists of a chairperson and six members appointed by the Central Government for a term of five years or till they attain the age of 65 years, whichever is earlier. The current chairperson of the CCI is Ravneet Kaur, who was appointed on May 15, 2023. The CCI has its headquarters in New Delhi and has regional offices in Mumbai, Kolkata, Chennai and Bengaluru.

What are the Functions and powers of CCI?

The CCI has the following functions and powers under the Competition Act, 2002123:

To prohibit anti-competitive agreements among enterprises that cause or are likely to cause an appreciable adverse effect on competition in India. Such agreements include cartels, bid rigging, exclusive supply or distribution arrangements, tie-in arrangements, refusal to deal, resale price maintenance, etc.

To prohibit abuse of dominant position by enterprises that exploit their market power to harm consumers or competitors. Such abuse may include predatory pricing, excessive pricing, discriminatory pricing or conditions, limiting or restricting production or supply, denying market access, imposing unfair terms or conditions, etc.

To regulate combinations (mergers, acquisitions and amalgamations) among enterprises that cause or are likely to cause an appreciable adverse effect on competition in India. Such combinations require prior approval of the CCI if they exceed certain thresholds of assets or turnover prescribed by the Central Government.

To conduct inquiries into any alleged violation of the Competition Act, 2002 on its own motion or on a complaint received from any person, consumer association or trade association. The CCI can also conduct inquiries on a reference made by the Central or State Government or any statutory authority.

To impose penalties or issue cease and desist orders for any contravention of the Competition Act, 2002. The CCI can also direct modification of agreements or conduct, division of dominant enterprises, payment of compensation to affected parties, etc.

To give opinions on competition issues on a reference received from any statutory authority established under any law.

To undertake competition advocacy, create public awareness and impart training on competition issues.

The CCI is assisted by a Director General (DG), who is appointed by the Central Government and acts as its investigating arm. The DG conducts investigations into cases referred by the CCI and submits his report to the CCI for its consideration.

The decisions of the CCI can be appealed before the National Company Law Appellate Tribunal (NCLAT), which is the appellate authority for competition matters.

The decisions of the NCLAT can be further appealed before the Supreme Court of India.

What are some recent cases handled by CCI?

Some of the recent cases handled by CCI are:

Flipkart and Amazon for allegedly violating the competition law

Flipkart challenged the Karnataka High Court decision on the case of the CCI probe in Apex Court. The CCI had ordered a probe into Flipkart and Amazon for allegedly violating the competition law by offering deep discounts and preferential treatment to certain sellers. The Karnataka High Court had dismissed Flipkart’s plea to quash the probe and upheld the CCI’s jurisdiction. Flipkart then moved the Supreme Court against the High Court order.

CCI accused Amazon of hiding facts in the Future Coupons deal. Amazon had filed a complaint against Future Group for breaching its contract and selling its retail assets to Reliance Retail. The CCI had approved Amazon’s acquisition of 49% stake in Future Coupons in 2019 but later suspended its approval after finding that Amazon had concealed some material facts and clauses of the deal. The CCI also imposed a penalty of Rs 200 crore on Amazon for providing false information.

The status of this case as per the latest available information is:

Flipkart’s appeal against the CCI probe is pending before the Supreme Court. The apex court has issued notice to the CCI and Amazon and sought their responses on Flipkart’s plea. The court has also stayed the CCI probe till further orders.

Amazon’s appeal against the CCI’s penalty and suspension of approval for the Future Coupons deal is pending before the NCLAT. The appellate tribunal has issued notice to the CCI and Future Group and sought their replies on Amazon’s plea. The tribunal has also stayed the CCI’s order till further orders.

CCI dismisses allegations of predatory pricing against Uber

CCI dismissed the allegations of predatory pricing against Uber. A complaint was filed against Uber by Meru Travel Solutions, alleging that Uber was abusing its dominant position by offering below-cost fares and incentives to drivers and customers. The CCI conducted an investigation and found that Uber was not dominant in the relevant market of radio taxi services in Delhi NCR and that its pricing strategy was not predatory but based on dynamic demand and supply factors.

The status of this case as per the latest available information is:

Uber’s case of predatory pricing was closed by the CCI after finding no evidence of abuse of dominance by Uber. The CCI also rejected Meru’s request for a review of its order. Meru then filed an appeal before the NCLAT, which is pending adjudication.

CCI imposes Rs 200 crore penalty on Maruti Suzuki for discount restrictions

CCI imposed a penalty of Rs 200 crore on Maruti Suzuki for restricting discounts by dealers. The CCI found that Maruti Suzuki had violated the competition law by entering into resale price maintenance agreements with its dealers, whereby it imposed a discount control policy and penalized those dealers who offered higher discounts than prescribed by it. The CCI held that such agreements were anti-competitive and harmed consumers’ interests.

The status of this case as per the latest available information is:

Maruti Suzuki’s case of restricting discounts by dealers was challenged by Maruti Suzuki before the NCLAT. The appellate tribunal has issued notice to the CCI and sought its reply on Maruti Suzuki’s plea. The tribunal has also stayed the execution of the CCI’s penalty till further orders.

CCI orders fresh probe into cement industry cartelization

CCI ordered a fresh probe into cartelisation in the cement industry. The CCI had earlier imposed a penalty of Rs 6,316 crore on 11 cement companies and their trade association for forming a cartel and fixing cement prices. However, the penalty was set aside by the NCLAT on procedural grounds. The CCI then decided to initiate a fresh investigation into the matter based on new evidence and information.

The status of this case as per the latest available information is:

CCI’s fresh probe into cartelization in the cement industry is underway. The CCI has issued show-cause notices to 11 cement companies and their trade association, asking them to explain why they should not be penalized for forming a cartel and fixing cement prices. The companies have filed their replies and are awaiting the CCI’s final order.

The Google and CCI Case: Allegations of Abuse of Dominance and Ongoing Dispute

The Google and CCI case is a long-running dispute between the tech giant and the competition watchdog over various allegations of abuse of dominance by Google in the Indian market.

The case involves multiple aspects such as:

Google’s search bias: The CCI had found that Google was favouring its own services and partners over others in its search results, especially in specialised segments such as flights, hotels, news, etc. The CCI had imposed a penalty of Rs 136 crore on Google in 2018 for this violation. Google challenged this order before the NCLAT, which upheld the CCI’s findings and penalty in 2021.

Google’s Android policies: The CCI had ordered a probe into Google’s Android operating system and its related agreements with smartphone manufacturers and app developers. The CCI had alleged that Google was imposing unfair and restrictive conditions on them, such as mandating the use of Google Play Store and its billing system, preventing them from using alternative operating systems or app stores, etc.

The CCI had imposed a provisional penalty of Rs 1,337.76 crore on Google in 2021 for this violation. Google had challenged this order before the NCLAT, which stayed the penalty and the probe till further orders.

Google’s Play Store policies: The CCI had also ordered another probe into Google’s Play Store policies, especially regarding the mandatory use of its billing system for paid apps and in-app purchases. The CCI alleged that Google was abusing its dominant position in the app distribution market by imposing unfair conditions on app developers and restricting their choice of payment processors. The CCI imposed another provisional penalty of Rs 936.44 crore on Google in 2021 for this violation. Google had challenged this order before the NCLAT, which also stayed the penalty and the probe till further orders.

Status of the Case

The status of these cases is that they are pending before the NCLAT, which is yet to hear and decide on the merits of Google’s appeals against the CCI’s orders.

What are the implications of these cases for Google and other players?

These cases have significant implications for Google and other players in the digital ecosystem, such as:

For Google: If the CCI’s orders are upheld by the NCLAT or the Supreme Court, Google will have to pay hefty fines and also modify its practices to comply with the competition law. Google may have to change its search algorithms, Android agreements, Play Store policies and billing system to ensure fair and non-discriminatory treatment of its competitors and customers. Google may also face more scrutiny and challenges from the CCI and other regulators in India and abroad on its other businesses and activities.

For other players: If the CCI’s orders are upheld by the NCLAT or the Supreme Court, other players in the digital ecosystem may benefit from a more level playing field and greater choice and innovation. Smartphone manufacturers may be able to use alternative operating systems or app stores without fear of losing access to Google’s services. App developers may be able to use different payment processors without paying a high commission to Google. Consumers may be able to access more relevant and diverse search results and app offerings without being influenced by Google’s preferences.

India CSR Research Team

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