The monitoring agencies may include an accounting firm, management consultancy, any other professional organisation or chartered accountants, company secretaries or cost accountants.
The Competition Commission of India (CCI) on Thursday released draft regulations for engagement of monitoring agencies to oversee implementation of settlement and commitment offered by companies, including Big Tech entities.
The draft regulations seek to overhaul the regulatory framework of CCI introduced in 2009, to bring it up to speed with the latest changes in the Competition Act passed by the government in April 2023.
Where the Commission is of the opinion that the implementation of its orders need monitoring, it may appoint agencies to “oversee such implementation, on such terms and conditions as deemed fit by the Commission,” the draft regulations say.
The sections mentioned by the CCI relate to mergers, commitment and settlement applications. Sources have said that the Commission has received good response to its settlement and commitment scheme. Companies can, without admission of guilt, opt for the settlement or commitment option and provide a full and true disclosure of facts in respect of the alleged contraventions of the Act.
Monitoring agencies may include an accounting firm, management consultancy, any other professional organisation or chartered accountants, and company secretaries or cost accountants. They would be required to submit reports to the CCI from time to time.
While the procedural changes are quite ordinary, the proposed amendment enhances the authority of the CCI and allows it to receive comments from all avenues and monitor orders that are being passed by them, Indian experts said.
On April 11 last year, the Competition (Amendment) Act, 2023 was passed by the Government, incorporating certain new provisions — such as settlement and commitment, and leniency, among others — and amending certain previously existing ones.
“This created a need for amendment/repeal/overhauling of the various regulations framed by the CCI as well as for introduction of certain new ones,” the Commission said.
The CCI has invited stakeholders to submit their comments on the draft amendments within 30 days beginning June 6, 2024.
Source: Business Standard
