Section 36 of CA, 2002 : Section 36: Power Of Commission To Regulate Its Own Procedure

Explanation using Example

Example Application of Section 36 of The Competition Act, 2002:

Imagine a scenario where a small business owner suspects that a larger competitor is engaging in anti-competitive practices such as price-fixing or creating a monopoly. The business owner files a complaint with the Competition Commission of India (CCI).

In response to the complaint, the CCI initiates an investigation into the larger competitor's business practices. Utilizing the powers granted by Section 36 of The Competition Act, 2002, the CCI:

• Summons the CEO of the competitor company to appear before the Commission to provide testimony under oath.
• Demands the production of contracts, emails, and financial records that may shed light on the alleged anti-competitive behavior.
• Accepts affidavits from whistleblowers within the competitor company who have come forward with information.
• Issues a commission to a third-party accounting firm to audit the competitor company's financials for any evidence of illegal activity.
• Requisitions transaction records from government offices that could demonstrate the competitor's market dominance.

Furthermore, the CCI calls upon an expert in economics to analyze market trends and provide insights into the potential impact of the competitor's actions on market competition.

The Commission's investigation, supported by the powers outlined in Section 36, ultimately determines whether the larger competitor has violated competition laws and what penalties or remedial actions should be imposed.