Amazon, Flipkart Vs CCI: SC Denies Special Treatment to Competition Watchdog

The Supreme Court (SC) declined to transfer 24 petitions related to alleged antitrust violations by flipkart and Amazon directly to a division bench of the Karnataka High Court (HC). 

Instead, it directed Attorney General R. Venkataramani to consult the Competition Commission of India (CCI) about transferring these cases to a single-judge bench of the Karnataka HC, as required by the court’s rules. The SC stressed that no litigant, including public bodies like the CCI, should bypass standard legal procedures.

Justice Abhay Oka, who presided over the hearing alongside Justice Pankaj Mithal, observed that CCI’s request for direct transfer to a division bench would set a dangerous precedent. Justice Oka proposed consolidating all cases before one High Court instead of escalating them to the SC prematurely. However, the Attorney General argued that the antitrust watchdog’s inquiry has faced delays for four years due to ongoing litigation in multiple states.

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The controversy stems from CCI's report accusing Flipkart and Amazon of violating competition laws through practices such as exclusive partnerships, deep discounting, and preferential listings. 

In response, sellers affiliated with the e-commerce platforms filed legal challenges across High Courts in Karnataka, Punjab, Haryana, Delhi, Madras, Allahabad, and Telangana, leading CCI to request consolidation under the SC to prevent delays.

Senior advocates for Flipkart and Amazon sellers opposed direct SC intervention, calling it "forum shopping." Justice Oka affirmed that no entity should receive preferential treatment. The SC adjourned the matter to December 16 granting time for CCI to respond.

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The case highlights the growing scrutiny of major e commerce firms in India’s competitive landscape emphasizing procedural fairness while addressing concerns of consumer interest and market integrity.

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