MRTPC dismisses petition on BIAL's monopoly issue
Anti-monopoly watchdog MRTPC has dismissed a petition challenging the exclusive agreement between Bangalore International Airport Ltd and the Centre.
By PTI |
NEW DELHI: Anti-monopoly watchdog MRTPC has dismissed a petition challenging the exclusive agreement between Bangalore International Airport Ltd (BIAL) and the Centre for not sanctioning any new airport within its 150 km radius for next 25 years.
Bangalore-based Association of Outsourcing Professionals (AOP) had alleged that by granting such 'concession agreement' to BIAL by the government created monopoly in the favour of the developers of the newly commissioned Bangalore airport.
MRTPC, however, rejected the petition on the ground that the agreement was entered into by the government and any such agreement in which the Centre is an approver or a party to such agreement, does not comes under the purview of monopolistic trade practices.
MRTPC bench headed by Justice O P Dwivedi declined to pass any order and said the MRTP Act "clearly bars the jurisdiction of this commission from taking congnizance as Government of India is a party to it."
The bench added, "we hold that this complaint is not maintainable and no notices to be issued to respondent (centre). Accordingly, the complaint is dismissed".
"We are unable to be persuaded by the arguments tendered by the complainant (AOP). The agreement is clearly between the Government of India and BIAL.
"Even though the agreement may be of commercial nature, it needs to be emphasised that Government of India remains a party to it by virtue of signing agreement," said the Commission.
As per the agreement between the Centre and BIAL, no new or existing airport would be allowed to be developed, improved or upgraded within radius of 150 km for next 25 years.
Bangalore-based Association of Outsourcing Professionals (AOP) had alleged that by granting such 'concession agreement' to BIAL by the government created monopoly in the favour of the developers of the newly commissioned Bangalore airport.
MRTPC, however, rejected the petition on the ground that the agreement was entered into by the government and any such agreement in which the Centre is an approver or a party to such agreement, does not comes under the purview of monopolistic trade practices.
MRTPC bench headed by Justice O P Dwivedi declined to pass any order and said the MRTP Act "clearly bars the jurisdiction of this commission from taking congnizance as Government of India is a party to it."
The bench added, "we hold that this complaint is not maintainable and no notices to be issued to respondent (centre). Accordingly, the complaint is dismissed".
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The Commission also rejected AOP's contention that the Centre's agreement does not come under 'sovereign immunity' as it was not an act done for public and was a commercial act. "We are unable to be persuaded by the arguments tendered by the complainant (AOP). The agreement is clearly between the Government of India and BIAL.
"Even though the agreement may be of commercial nature, it needs to be emphasised that Government of India remains a party to it by virtue of signing agreement," said the Commission.
As per the agreement between the Centre and BIAL, no new or existing airport would be allowed to be developed, improved or upgraded within radius of 150 km for next 25 years.
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AOP alleging that government's concession agreement created monopoly in the sector and amounted to unfair trade practices. It requested the MRTPC to direct the authorities to reopen the old HAL airport at Bangalore.Start a SIP with as low as ₹500 with ET Money App!
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