Competition Appellate Tribunal

Section 53A of the Competition Act, 2002, (‘Act’ for short) the Central Government
established with effect from 15th May, 2009, the Competition Appellate Tribunal (‘Tribunal’
for short) having its headquarters at Delhi. dated 15.05.2009.

Competition Appellate Tribunal was established in accordance with the provisions of the
Amendment Act, 2002.

The Tribunal is to hear the appeals against any direction issued or decision made or order
passed by the Commission;

 Its function is to hear and dispose of appeals against any direction issued or decision
made or order passed by the Competition Commission of India.
 The Appellate Tribunal shall also adjudicate on claim for compensation that may arise
from the findings of the Competition Commission of India or the orders of the
Appellate Tribunal in an appeal against any findings of the Competition Commission of
India and pass orders for the recovery of compensation.

to adjudicate on claim for compensation that may arise from the findings of the Commission
or the orders of the Appellate Tribunal in an appeal against the finding of the Commission or
under Sec. 42A or under Sec. 53Q(2) of the Act and pass orders for the recovery of
compensation under Section 53N of the Act.

COMPOSITION OF TRIBUNAL: The Tribunal shall consist of a Chairperson and not more than
two other members to be appointed by the Central Government.

Qualification: The Chairperson of the Tribunal shall be a person, who is or has been a Judge
of the Supreme Court or the Chief Justice of a High Court. A member of the Tribunal shall be
a person of ability, integrity and standing having special knowledge of, and professional
experience of not less than twenty five years in, competition matters

including competition law and policy, international trade, economics, business, commerce,
law, finance, accountancy, management, industry, public affairs, administration or in any
other matter which in the opinion of the Central Government, may be useful to the
Tribunal. The Chairperson and members of the Tribunal shall be appointed by the Central
Government from a panel of names recommended by the Selection Committee.

The Chairperson or a Member of the Appellate Tribunal shall hold office for a term of five
years and shall be eligible for re-appointment. Provided that no Chairperson or other
Member of the Appellate Tribunal shall hold office after he has attained the age of sixty-
eight years or sixty-five years respectively.

How Competition Appellant Tribunal works:

•Central Government shall by notification establish competition appellant tribunal

• Any person aggrieved by the order of the commission may appeal to CAT within 60days.

• CAT may accept the petition after 60days if it is satisfied that there was sufficient causefor not
filling appeal with in specified time

•CAT may confirm/modify/setting side decision of commission after giving opportunity to both
parties

• CAT shall send copy of order to parties to appeal

• CAT shall dispose the appeal within six months

PROCEDURE FOR FILING APPEAL BEFORE TRIBUNAL:

Sec.53S provides that a person preferring an appeal to the Tribunal may either appear in
person or authorize one or more Chartered Accountants or Company Secretaries or Cost
Accountants or Legal Practitioners or any of its officers to present his or its case before the
Tribunal. The Central Government or a State Government or a local authority or any
enterprise preferring an appeal to the Tribunal may authorize one or more Chartered
Accountants or Company Secretaries or Cost Accountants or Legal Practitioners or any of its
Officers to act as Presenting Officers and every person so authorized may present the case
with respect to any appeal before the Appellate Tribunal. The Commission may authorize
one or more Chartered Accountants or Company Secretaries or Cost Accountants or Legal
Practitioners or any of its officers to act as Presenting Officers and every person so
authorized may present the case with respect to any appeal before the Tribunal.

Procedure: The Central Government or the State Government or a local authority or

enterprise or any person, aggrieved by any direction, decision or order may prefer an appeal
to the Tribunal;

Every appeal shall be filed within a period of sixty days from the date on which a copy of
the direction or decision or order made by the Commission is received by the Central
Government or the State Government or a local authority or enterprise or any person;

The Tribunal may entertain an appeal after the expiry of the said period of sixty days if it is
satisfied that there was sufficient cause for not filing it within that that period;
A memorandum of appeal shall be presented in the Registry or shall be sent by Registered
post addressed to the Registrar of Appellate Tribunal in the Form appended to the
Competition Appellate Tribunal (Form and fee for filing an appeal and fee for filing
compensation applications) Rules, 2009;

A memorandum of appeal sent by post shall be deemed to have been presented on the day
it was received by the Registry

Every memorandum of appeal shall be in five copies and shall be accompanied with the
certified copy of the direction or decision or order against which the appeal is filed; Where a
party is represented by an authorized representative, a copy of the authorization to act as
the authorized representative and the written consent thereto by such authorized
representative, shall be appended to memorandum of the appeal;

Every memorandum of appeal presented to the Appellate Tribunal shall be in English and in
case it is on some other Indian language, it shall be accompanied by a copy translated in
English and shall be fairly and legibly type written, lithographed or printed in double spacing
on one side of standard petition paper with an inner margin of about four centimeters width
on top and with a right margin of 2.5 cm, and left margin of 5 cm, duly paginated, indexed
and stitched together in paper book form;

Every memorandum of appeal shall be accompanied with a fee as detailed below AMOUNT
OF PENALTY IMPOSED AMOUNT OF FEES PAYABLE Less than Rs.20,000/- Rs.1,000/- Twenty
thousand or more rupees but less than one lakh Rs.2,500/- One lakh or more rupees
Rs.2,500/- plus Rs.1,000 for every additional one lakh of penalty or fraction thereof, subject
to a maximum of Rs.3 lakhs. Amount of fee payable in respect of any other appeal against a
direction or decision or order of the Commission under the Act shall be Rs.10,000/- Such fee
may be remitted in the form of Demand Draft drawn in favor of “Accounts Officer, Ministry
of Corporate Affairs” payable atNew Delhi;

The Tribunal may, to advance the cause of justice and in suitable cases, waive payment of
fee or portion thereof, taking into consideration the economic condition or indigent
circumstances of the petitioner or the appellant or applicant or such other reason, as the
case may be, by an order for reasons to be recorded.;

On receipt of an appeal the Tribunal may, after giving the parties to the appeal, an
opportunity of being heard, pass such orders thereon as it thinks fit, confirming, modifying
or setting aside the directions, decisions or order appealed against;

The Tribunal shall not be bound by the procedure laid down in the Code of Civil Procedure,
1908 but shall be guided by the principles of Natural Justice and, subject to the other
provisions of this Act and of any rules made by the Central Government, the Tribunal shall
have power to regulate its own procedure including the places at which they shall have their
sitting;
The Tribunal shall, for the purposes of discharging its functions under this Act, the same
powers as are vested in a civil court under the Code of Civil Procedure, 1908 while trying a
suit in respect of the following matters, namelySummoning and enforcing the attendance of
any person and examining him on oath; Requiring the discovery and production of
documents;

Receiving evidence on affidavits; Subject to the provisions of Sections 123 and 124 of the
Indian Evidence Act, 1872 requisitioning any public record or document or copy of such
record or document from any office; Issuing commissions for the examination of witnesses
or documents;

Reviewing its decisions; Dismissing a representation for default or deciding it ex-parte;

Setting aside any order of dismissal of any representation for default or any order passed by
it ex-parte; Any other matter which may be prescribed;

PROCEDURE FOR CLAIM OF COMPENSATION:

The Central Government or a State Government or a local authority or any enterprise or

any person may make an application to the Tribunal to adjudicate on claim for
compensation that may arise from the findings of the Commission or the orders of the
Tribunal in an appeal against any finding of the Commission and to pass an order for the
recovery of compensation from any enterprise for any loss or damage shown to have been
suffered, by the Central Government or a State Government or a local authority or any
enterprise or any person as a result of any contravention of the provisions having been
committed by the enterprise;

Where any loss or damage is caused to numerous persons having the same interest, one or
more such persons may, with the permission of the Tribunal, make an application for
permission of the Tribunal make an application for and on behalf of, or for the benefit of,
the persons so interested and thereupon, the provisions of rule 8 of order 1 of the First
Schedule to the Code of Civil Procedure, shall apply subject to the modification that every
reference therein to a suit or decree shall be construed as a reference to the application
before the Tribunal and the order the Tribunal thereon;

An application may be made for compensation before the Tribunal only after either the
Commission or the Tribunal on appeal has determined in a proceeding before it that
violation of the provisions of the Act has taken place, or if provisions of Sec.42A or Sec.
53Q(2) of the Act are attracted; Every application made shall be accompanied by the
findings of the Commission;

The fee payable shall be as detailed below:

AMOUNT OF COMPENSATION CLAIMED AMOUNT OF FEES PAYABLE Less than One lakh
rupees Rs.1,000/- More than One lakh rupees Rs.1,000/- plus Rs.1,000/- for 8/29/2019
COMPETITION APPELLATE TRIBUNAL

additional one lakh rupees of compensation claimed or fraction thereof, subject to a

maximum of Rs.3,00,000/- Such fee may be remitted in the form of Demand Draft drawn in
favor of “Accounts Officer, Ministry of Corporate Affairs” payable atNew Delhi;

The Tribunal may, to advance the cause of justice and in suitable cases, waive payment of
fee or portion thereof, taking into consideration the economic condition or indigent
circumstances of the petitioner or the appellant or applicant or such other reason, as the
case may be, by an order for reasons to be recorded.;

The Tribunal may, after an inquiry made into the allegations mentioned in the application
pass an order directing the enterprise to make payment to the applicant, of the amount
determined by it as reasonable from the enterprise as compensation for the loss or damage
caused to the applicant as a result of any contravention of the provisions having been
committed by such enterprise. The inquiry shall be for the purpose of determining the
eligibility and quantum of compensation due to a person applying for the same and not for
examining afresh the findings of the Commission or the Tribunal on whether any violation of
the Act has taken place;

The Tribunal may obtain the recommendations of the Commission before passing an order
of compensation.

Major changes made by the Competition (Amendment) Act, 2007

The Competition (Amendment) Act, 2007 was approved by the Parliament in September
2007 and received Presidential assent on

24 September, 2007 The amendment brought significant changes in the then existing
regulatory infrastructure established under the Competition Act. The major changes are:

1.Notification of all “combinations ” i.e. mergers, acquisitions and amalgamations to CCI

made compulsory

.2.CCI to be an expert body which will function as a market regulator for preventing
anticompetitive practices in the country and would also have advisory role and
advocacyfunctions.
3.CCI to function as a collegium and its decisions would be based on simple majority
Omitspower of CCI to award compensation to parties against proven anti competitive
practicesindulged in by enterprises.

4.Establishment of a Competition Appellate Tribunal with a three-member quasi judicial

body to be headed by a retired or serving Judge of the Supreme Court or Chief Justice of
aHigh Court to hear and dispose of appeals against any direction issued or decision made
ororder passed by the CCI.

5.Competition Appellate Tribunal to also adjudicate upon claims of compensation and to

passorders for the recovery of compensation from any enterprise for any loss or damage
sufferedas a result of any contravention of the provisions of the Competition Act, 2002.

6.Orders of Competition Appellate Tribunal can be executed as a decree of a civil court

.7.Appeal against the orders of the Competition Appellate Tribunal to the Supreme Court

.8.New Powers upon sectorial regulators to make suo moto reference to CCI on
competitionissues in addition to the earlier provision of making a reference on a request
made by anyparty in a dispute before it. Also, similar powers conferred upon CCI.

9.Allows continuation of the MRTPC till two years after the constitution of CCI for
tryingpending cases under the MRTP Act and to dissolve the same thereafter.

With the enforcement of sections 3 and 4 of Competition Act, w.e.f. 20 May, 2009, there
appeared

no valid reason to keep MRTPC functional any more. More so, in terms of Section 66 of the
Competition Act, MRTPC has to be dissolved within a period of two years of the constitution
of the CCI and the MRTP Act repealed. The Government has now decided to remove this
anomaly and section 66 has been notified from 1 September, 2009 .Consequently, the

MRTPC will cease to exist after a “sun set “period of two years i.e. on 31 August, 2011