Competition Commission of India i.e. CCI has asked the Supreme Court to hear legal challenges to investigate e-commerce platforms Amazon and Flipkart. CCI said that Samsung, Vivo and other companies are presenting challenges in different courts with the aim of stopping the High Court investigation.
CCI had filed a filing in the court on December 3, which was not made public. The Competition Commission of India requested the court to hear 23 complaints of vendors against Samsung, Vivo, Amazon and Flipkart, so that the matter can be decided as soon as possible.
Want to weaken and spoil the investigation process: CCI
CCI said that since the findings of the investigation, some vendors of Amazon, Flipkart, Samsung and Vivo have filed about two dozen cases in five high courts. The vendors have done this so that the investigation can be stopped. They also want to weaken and spoil the investigation process.
This investigation is a big regulatory challenge for Amazon and Flipkart.
However, till now no statement has come from Amazon, Flipkart, Samsung, Vivo and CCI on this matter. This investigation is a big regulatory challenge for Amazon and Flipkart. Because, e-commerce sales in this market will exceed 160 billion dollars by 2028, which was about 60 billion dollars in 2023.
Amazon and Flipkart have violated antitrust laws
CCI's Investigation Unit had concluded its investigation in August that Amazon and Flipkart had violated India's antitrust laws by giving preference to select vendors on their websites.
The commission also found that smartphone companies like Samsung and Vivo had violated those laws by colluding with these two e-commerce companies by launching products online.
Amazon and Flipkart denied any wrongdoing
Amazon and Flipkart have been facing criticism from small retailers for many years regarding their business practices. They say that they have suffered losses due to the huge discounts and preferential treatment offered by the platform. Whereas Amazon and Flipkart have denied any kind of irregularities.
CCI investigation against Amazon and Flipkart started in 2020
The CCI investigation against Amazon and Flipkart began in 2020, but has been delayed several times. Most of the 23 lawsuits filed across India challenging the case accuse the CCI of not following due process during its investigation.
A lawyer associated with the case said that the request to transfer 23 cases filed by the Commission to the Supreme Court is likely to be heard this week.
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