SC to examine CCI jurisdiction on DLF flat owners' plea


Posted on 12th Feb 2015 03:26 pm by mohit kumar

New Delhi, Feb 11 (IANS) The Supreme Court Wednesday said it will examine whether the Competition Commission of India had the jurisdiction to entertain the plea by flat owners in three DLF residential complexes in Gurgaon who alleged that the real estate giant was exploiting its dominant position on conditions for providing services.

The bench of Justice Sudhansu Jyoti Mukhopadhaya and Justice N.V. Ramana, while making distinction between the "rendering of services" and "imposing the conditions of services", said they would examine the issue in the light of section 4(2)(a)(1) of the Competition Act, 2002.

The court said if the matter was "rendering of services", then it would go before the consumer forum.

"Satisfaction with the services provided can be a matter of consumer court," it said.

Rendering services may not come under the Competition Act, "but imposing the conditions of services may be so whether they are arbitrary, unfair or discriminatory", the court said, as it directed the hearing of the matter for Feb 18.

Section 4 of the Competition Act prohibits the abuse of dominant position and section 4(2)(a)(1) says there shall be an abuse of dominant position if an enterprise or a group directly or indirectly, imposes unfair or discriminatory condition in purchase or sale of goods or service.

The court said this while hearing a petition by DLF challenging imposition of Rs.630 crore penalty by the CCI for allegedly exploiting its dominant position to the disadvantage of its customers in three projects in Gurgaon.

DLF has assailed the CCI order of Aug 12, 2011, which was sustained by the COMPAT in 2013, saying that the commission could not have imposed penalty based on the three year average of the entire turnover of DLF's real estate operations in the country.

The real estate giant contended that the penalty should have been restricted to Rs.1,100 crore - the sale price of three housing complexes.

DLF has also challenged the jurisdiction of CCI in entertaining the pleas by the aggrieved flat owners.

The CCI has taken a position that DLF used its dominant position to the disadvantage of the flat allotees.

"It is an exploitation of disadvantaged customers who were trapped," CCI had told the court.

The association of flat owners and individual flat owners too have moved the apex court.

Did you know?Explore Trending and Topic pages for more stories like this.
0 Like 0 Dislike
Previous news Next news
Other news

Government can bring relief package of maximum 3 lakh crores for staggering economy

A lockdown has been announced across the country until May 17 to deal with the global pandemic Co

IND vs. PAK: If Rain became the villain even on the reserve day, then how will the result of the match be known? India's path will become difficult

IND vs. PAK Reserve Day: India and Pakistan are clashing in the Super-4 round of Asia Cup 2023. R

Patnaik's Taj Reunites eternal lovers on Valentine's Day

Agra, Feb 14 (IANS) Uttar Pradesh Chief Minister Akhilesh Yadav will unveil sand artist Sudersh

T20 World Cup: Why and how did Ishan Kishan return to India's T20 World Cup squad? Ravichandran Ashwin explained the reason. Find out here.

Former Indian spinner Ravichandran Ashwin has openly shared his views on Ishan Kishan's return to

Supreme Court: Constitution Bench constituted on Muslim reservation issue in Andhra Pradesh, hearing on September 6

The Constitution Bench of the Supreme Court will hear the decision of the Andhra Pradesh governme

CBI nabs Bank Of Baroda official for graft

Mumbai, March 21 (IANS) The CBI has nabbed an assistant general manager of the Bank Of Baroda h

Shouldn't Pak remain as a slave to the dragon? By 2025, about 50 lakh Chinese will work in Pakistan

The way China's interference in Pakistan is increasing and Dragon is continuously sending its peo

RBI News: Reserve Bank cancels the registration of PC Financial Services, know the reason here

The Reserve Bank of India (RBI) has taken major action against PC Financial Services Pvt Ltd for

IND vs ZIM: Sunil Gavaskar issues a major warning to Team India ahead of the match against Zimbabwe.

Legendary batsman Sunil Gavaskar believes India should learn from the T20 World Cup match against

Sonu Sood's joining Kejriwal is a soft launch in politics?

Sonu Sood has been in the limelight for social work in recent times, what is the significance of

Sign up to write
Sign up now if you have flare of writing..
Login   |   Register
Follow Us
Indyaspeak @ Facebook Indyaspeak @ Twitter Indyaspeak @ Pinterest RSS



Play Free Quiz and Win Cash