"The appeals are nothing but an attempt to ensure that action initiated by the CCI... does not attain finality," a two-judge bench said while reading the decision in court.
In another setback to e-commerce majors Amazon and Flipkart, a division bench of the Karnataka High Court on Friday quashed the petition filed by two giant ecommerce platforms operating in India challenging the probe ordered by the Competition Commission of India (CCI).
A Division Bench of Justices Satish Chandra Sharma and Natraj Rangaswamy passed the order in a batch of appeals moved by the e-commerce giants against a June 11 order of a Single Judge of the High Court.
E-commerce giants Amazon and Flipkart had approached the Karnataka High Court in opposition to a CCI order which had referred to as for a Director General (DG) investigation into allegations of anti-competitive conduct within the on-line sale of smartphones on its platform.
"The appeals are nothing but an attempt to ensure that action initiated by the CCI... does not attain finality," a two-judge bench said while reading the decision in court.
"The appeals are devoid of merit, and deserve to be dismissed."
The CCI had directed the Director General to investigate the allegations made in the complaint by Delhi Vyapar Mahasangh of anti-competitive practices. The e-commerce entities had challenged this order dated January 13, 2020.
The Competition Commission of India is investigating allegations that the two companies promote select sellers on their e-commerce platforms and use deep discounts to stifle competition.
The CCI investigation is the latest setback for the firms, which are also grappling with tougher foreign investment rules and accusations from brick-and-mortar retailers that they circumvent Indian law by creating complex business structures.
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