Industry players will be consulted in forming regulations: CCI

MUMBAI: Amidst growing demand from the industry for taking it on board prior to formulating any regulations on fair trade practices, the anti-trust watchdog Competition Commission of India (CCI) today said it will consult all stakeholders for formulating regulations.

"There has been a demand and I think it is very fair and appropriate that stakeholders should be consulted when regulations are made."

"So in future, whatever regulations will be made, we will do in consultations with the people concerned," CCI chairman Ashok Chawla told reporters here on the sidelines of a Confederation of Indian Industry (CII) event.

However, he stated that regulators have been taking suggestions from stakeholders in the past, adding, "But some times they are not taken so specifically".

On the issue of compliance, Chawla said there is now awareness about compliance.

"We are pushing it through various trade bodies and associations. But what is individual level of compliance in actual operating entities is not for us to comment on," Chawla said.

On the second enquiry against the realty major DLF, Chawla said, "Yes, we have ordered an investigation against the company and we will see what comes out. The difference is that earlier one was residential and this time it is commercial."

When asked has there been a spike in complaints against realty players since the first penalty on DLF, Chawla said there has been an increase in complaints.

"It is natural that whenever a regulator takes action against some company, others who feel that they are aggrieved from the actions of other similar enterprises, they are bound to come. So there has been an increase," he said.

It can be noted that the CCI on June 24 had ordered a fresh probe against DLF's commercial property business for allegedly imposing unfair and unreasonable conditions on office buyers at one of its commercial projects in Gurgaon.

Some other group entities of the real estate major have already faced probe by the CCI with regard to various other cases of anti-competitive practices.

The CCI had also imposed a fine of Rs 630 crore against DLF for abuse of its dominant market position in a residential real estate case, but the company had challenged the same.

The latest probe would be carried out against DLF Universal, upon a complaint that alleged the realty company of imposing certain anti-competitive clauses in the commercial office space buyers agreements.

The case pertains to the DLF's commercial office space in 'Corporate Greens project at Sector 74 A' in Gurgaon and the CCI has asked its director general to initiate a probe against DLF Universal.