Dispose of Amazon issue within two weeks: High Court to CCI
   Date :17-Nov-2021

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Business Bureau :
 
In a petition filed by the Confederation of All India Traders (CAIT), the Delhi High Court on Monday directed Competition Commission of India (CCI) to dispose of the matter of revocation of approval given to Amazon by CCI which has been challenged by Future Coupons Limited. CCI Counsel ASG Venkatraman informed the court that CCI is contemplating to call Amazon on January 4 for a hearing after which the matter will be decided. The court refused the arguments and said that the matter should be disposed of within two weeks. The CAIT was represented by Advocate Saurabh Kripal, Rajat Sehgal and others While intervening in corporate fight between Future Group and Amazon, the CAIT recently filed a PIL in Delhi High Court for protecting 6,000 traders who had supplied goods to Future Group amounting to Rs 10,000 crore. CAIT has prayed that between the fights of corporate giants and traders should not be made a scapegoat or suffer any financial loss.
 
CAIT through its representation to CCI had demanded annulment of its approval that was granted to Amazon on the basis of their misrepresentation about actual transaction. Amazon’s claim of control over FRL through their investment in FCPL is illegal as no-foreign company is allowed to own or control a multi brand retail company such as Future Retail Limited. Had Amazon declared their intent of such control and relevant fact in their notice to CCI at the time of seeking its approval, CCI would have never allowed such illegal transaction to happen. CAIT said that if such misrepresentations are allowed to continue, then every company would misrepresent the facts of transactions just to seek CCI’s approval and subsequently carry out a different transaction camouflaged as a transaction approved by CCI. CAIT also said that the proposed transactions contemplated in the FRL’s scheme, if given effect, would ensure that the thousands of investors and shareholders would get a lifeline to recover their hard earned money entrusted to the Future Group. Banks, including public sector banks, would avoid the prospect of yet another major non-performing loan being added to their book.
 
To protect the interests of the traders, the CAIT has sought relief from the court to issue directions calling for all documents, records, internal notes and other information relating to the subject matter of the present petition from Competition Commission of India. It has also prayed to direct CCI to take a decision with respect to the show cause notice dated 04.06.2021 within a period of 10 days in accordance with law and the facts and circumstances of the case. CAIT through its representation to CCI had demanded annulment of its approval that was granted to Amazon on the basis of their misrepresentation about actual transaction. CAIT said that if such misrepresentations are allowed to continue, then every company would misrepresent the facts of transactions just to seek CCI’s approval and subsequently carry out a different transaction camouflaged as a transaction approved by CCI.