SC dismisses plea by Amazon, Flipkart seeking relief from CCI probe

The Competition Commission of India (CCI) can continue its investigation against Amazon and Flipkart after four weeks under Section 3 of the Competition Act, the Supreme Court said in its judgement on August 9 quashing the final hope of relief the two companies had.

Amazon and Flipkart had moved the apex court on July 28 seeking relief from the investigation of the CCI after losing their appeals in lower courts. Last month, the division bench of the Karnataka High Court in its judgement said that it failed to understand why Amazon and Flipkart did not want to participate in the enquiry by CCI adding that the antitrust body was just asking for "inquisitorial departmental proceedings".

It also stated that in case the companies were not involved in any violation, they should not feel shy in facing an enquiry.

"Now is the way for CCI to investigate both companies. It's a big milestone order. Justice given. No scope for Amazon and Flipkart to avoid investigation," said president B C Bhartia and secretary general Praveen Khandelwal of Confederation of All India Traders. Amazon and Flipkart did not immediately respond to media query.

Last month even Commerce and Industry Minister Piyush Goyal said the companies should refrain from forum shopping and let the CCI investigate if they were doing an honest business.