Supreme Court refuses to stop antitrust probe against Amazon, Flipkart
Last year, the probe was ordered for allegedly promoting select sellers on their websites and using specific ways that stifled competition.
FollowOn Monday, the Supreme Court refused to halt an inquiry into e-commerce companies Amazon and Flipkart's business practices, rejecting their demands to pause a Competition Commission of India (CCI) probe. Last year, the probe was ordered for allegedly promoting select sellers on their websites and using specific ways that stifled competition.Â
The probe had triggered public spats between the two companies and the government. However, both e-commerce enterprises have denied all the accusations.Â
In their defence, Amazon and Flipkart argued that the CCI did not comply with the criteria for minimum evidence before launching an investigation.
On Monday, the Supreme Court bench led by Chief Justice NV Ramana remained unconvinced with the arguments and suggested that the companies volunteer for such probes. The Chief Justice said that the court expects organisations like e-commerce sites to come forward and volunteer for the investigation to ensure transparency. It asserted that the inquiry has to be conducted, and the companies have four weeks to join the investigation and cooperate with the authorities. The court further noted that since the companies have denied all the allegations, 'they should not feel shy in facing an inquiry.
The investigation began after a complaint was filed by the Delhi Vyapar Mahasangh (DVM), which represented small and medium business owners in Delhi. Earlier in July, the Karnataka High Court denied separate petitions by Amazon and Flipkart against the antitrust investigation.
