MRTPC may face a restricted existence

Consumers’ option to get redressal from the Monopolies and Restrictive Trade Practices (MRTP) Commission for unfair trade practices adopted by companies and traders may not be taken away as it was decided earlier.


NEW DELHI: Consumers’ option to get redressal from the Monopolies and Restrictive Trade Practices (MRTP) Commission for unfair trade practices adopted by companies and traders may not be taken away as it was decided earlier.

The consumer affairs ministry would take a call as to how a stripped-down version of the MRTP Commission should be allowed to function after the Competition Commission of India (CCI) starts taking care of two of the three functions of MRTPC — tackling restrictive and monopolistic trade practices.

Earlier, the company affairs ministry had decided that MRTPC should be given two years to settle cases of unfair trade practices after the other functions are transferred to CCI. Then it could be wound up, its employees could be absorbed into CCI and all pending unfair trade practice cases could be transferred to consumer courts.

Now, the company affairs ministry has decided to leave the fate of the MRTP Commission to the consumer affairs ministry, which could amend the Consumer Protection Act, 1986, to retain a leaner version of MRTPC, sources said.

Unlike consumer courts, where only an affected party can seek justice, the MRTP Commission investigates into complaints of unfair trade practices and asks the guilty to stop that practice on petitions filed by the affected as well as third parties. The investigating arm of the commission often takes cognizance of unfair practices suo moto also.

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The absorption of the MRTPC staff into CCI is now facing some uncertainty. CCI, which is not very happy with accepting its predecessor’s staff, has commissioned the Indian Institute of Management, Bangalore, to study and recommend an ideal administrative structure, work force and the expertise required for its staff.

“Many of the MRTP staffs are officials from other ministries on deputation who would go back to their parent departments. We would try to accommodate the rest as far as their expertise permits. However, it would also hinge on the IIM recommendations,” said an official.
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