June 17, 2024

The Competition Bill 2022 is approved by Lok Sabha

29 March 2023 | TITN Team

Without debate, the Lok Sabha today, March 29, approved the Competition (Amendment) Bill 2022. In the midst of the commotion, Finance Minister Nirmala Sithraman moved the Bill in the Parliament. In order to govern acquisitions and mergers based on transaction value, the Competition Act, 2002 is being amended by the proposed legislation.

The Bill states that the Competition Commission of India must approve any transactions having a transaction value of more than 2000 crore rupees. The Bill also suggests cutting the CCI’s 210-day order-passing period for certain transactions to 150 days.

In order to expedite the resolution of inquiries into anti-competitive agreements and abuse of dominant position, the Bill offers a framework for settlement and commitment. Moreover, it decriminalises several Act offences by switching the kind of penalty from a fine to civil penalties. Anti-competitive Agreements and Abuse of Dominant Position are two of the offences listed here, along with Disobedience to CCI Orders and Director General Directions. In August 2022, the Lok Sabha received the Competition (Amendment) Bill 2022, which was then referred to the Standing Committee the following month. In December of the preceding year, the Standing Committee turned in its report.