Lok Sabha Passes Bill Seeking Amendment To Competition Act

The Lok Sabha on Wednesday passed The Competition (Amendment) Bill, 2022 amid disruptions in the two Houses over the opposition’s demand for a JPC on Adani issue and over the disqualification of Rahul Gandhi.

While the Competition (Amendment) Bill was passed amid din without discussion, the Forest (Conservation) Amendment Bill, 2023 was also introduced in the Lok Sabha. Later on, the bill was sent to the joint committee of the two Houses following Environment Minister Bhupender Yadav’s motion in the House. The bill seeks to further to amend the Forest (Conservation) Act, 1980.

It may be noted that the second part of the budget session has seen continuous disruptions and the Lok Sabha has not functioned for more than one hour on any day. The Rajya Sabha functioned for more than one hour on only one day when it felicitated the winners of the Academy Awards, according to PRS Legislative which tracks work of Parliament.

Several amendments to the Competition (Amendment) Bill were moved by the government. It seeks to amend Competition Act, 2002, and change certain definitions like “enterprise”, “relevant product market”, “group” and “control” to provide clarity.

It also seeks to regulate mergers and acquisitions on the basis of value of transactions, broadening the scope of anti-competitive agreements and inclusion of a party facilitating anti-competitive horizontal agreement under such agreements.

The Competition Act, 2002 was brought around to provide for the establishment of a Commission to prevent practices having adverse effect on competition, promote and sustain competition in the markets, protect the interests of consumers and to ensure freedom of trade carried on by other participants across the country.

There has been a significant growth of Indian markets and a paradigm shift in the way businesses operate and in view of the economic development, emergence of various business models and the experience gained out of the functioning of the Commission, the Centre constituted Competition Law Review Committee, to examine and suggest the modifications in the Act.

After review of the recommendations proposed by the Committee, public consultations and with a view to provide regulatory certainty and trust-based business environment, the government felt it imperative to amend the Act.

The bill proposes introduction of Settlement and Commitment framework to reduce litigations and has provisions for "value of transaction" as another criteria for notifying combinations to the Commission.

Rajya Sabha also contiuned to face disruptions amid of opposition members who have been demanding a joint parliamentary committee on the Hindenburg-Adani row. There will be no sitting of the two Houses on Friday. Leaders of various like-minded opposition parties met in the chamber of Congress President Mallikarjun Khargeji ahead of the start of sitting of the two Houses on Wednesday.

Congress continued to target the government over disqualification of Congress leader Rahul Gandhi from Lok Sabha and accused it of double standards.

At a press conference at party headquarters, party leader Shaktisinh Gohil said that Amreli BJP MP Naranbhai Bhikhabhai Kachhadia was not disqualified despite being convicted for three years in a criminal case.

He said after Kachhadia's conviction in 2016, Congress leaders had made representations but no action was taken. Gohil said the BJP leader finally got relief from the Supreme Court after paying a fine and was again given ticket by the party.

Rahul Gandhi was disqualified from Lok Sabha last week following his conviction by a Surat court in a criminal defamation case.

Also Read: Congress MLAs Protest Rahul Gandhi's Disqualification In Assam