Note4Students
From UPSC perspective, the following things are important :
Prelims level: CCI and its key functions
Mains level: NA
Why in the news?
The Competition Commission of India (CCI) invites proposals for conducting a Market Study on Artificial Intelligence (AI) and its impact on competition.
About Competition Commission of India (CCI)
- The CCI is a statutory body established under the Competition Act, 2002 by the Vajpayee government.
- It aims to promote and sustain competition, protect consumer interests, and ensure freedom of trade.
- The commission operates as a quasi-judicial body, providing opinions to statutory authorities and adjudicating cases.
- Evolution of CCI:
- Established in response to the need for promoting competition and private enterprise, especially after India’s economic liberalization in 1991.
- Replaced the Monopolies and Restrictive Trade Practices Act, 1969 (MRTP Act) based on recommendations from the Raghavan Committee.
Key Features of the Competition Act:
- Passed in 2002 and subsequently amended to align with modern competition laws.
- Prohibits anti-competitive agreements, abuse of dominant position, and regulates combinations causing adverse effects on competition.
- Established the Competition Commission of India and the Competition Appellate Tribunal.
- The National Company Law Appellate Tribunal (NCLAT) replaced the Competition Appellate Tribunal (COMPAT) in 2017.
Composition of CCI:
- CCI comprises a Chairperson and 6 Members appointed by the Central Government.
- Members must possess significant expertise in various domains such as law, economics, finance, and management or qualified to be a judge of a High Court.
Key Functions of CCI:
- Regulating Mergers and Acquisitions:
- Ensuring mergers and acquisitions do not harm competition in the market.
- Preventing monopolistic practices and promoting fair competition.
- Investigating Anti-Competitive Practices:
- Probing into cartels, collusive behavior, and abuse of dominant market positions.
- Taking action against entities engaging in anti-competitive practices.
- Market Studies and Research:
- Conducting studies to assess market dynamics and competition levels.
- Identifying trends and issues affecting competition in various sectors.
- Handling Complaints:
- Addressing complaints filed by individuals or businesses regarding anti-competitive behavior.
- Initiating investigations based on credible complaints received.
- Adjudication and Penalty Imposition:
- Adjudicating cases related to competition law violations.
- Imposing penalties on entities found guilty of breaching competition regulations.
PYQ:[2015] The Government of India has established NITI Aayog to replace the: (a) Human Rights Commission (b) Finance Commission (c) Law Commission (d) Planning Commission |
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