Director General of Anti-Profiteering Vs Omkar Realtors and Developers Pvt. Ltd (Competition Commission of India)
In the case of Director General of Anti-Profiteering Vs Omkar Realtors and Developers Pvt. Ltd, the Competition Commission of India (CCI) directed the Director General of Anti-Profiteering (DGAP) to conduct further investigations on two of Omkar Realtors’ projects.
According to the report submitted by DGAP on February 15, 2023, it was found that Omkar Realtors had been involved in profiteering of Rs 9,52,76,540 in the ‘Omkar 1973 Worli’ project and Rs. 3,04,60,309 in ‘The Summit Business Bay Andheri’ project. The report suggested that the respondent had violated Section 171 of the Central Goods and Services Tax Act, 2017 by not passing on the additional benefit of Input Tax Credit (ITC) to eligible recipients in the aforementioned projects.
However, the CCI found that the DGAP’s report was incomplete concerning two projects, ‘Om Gopal-Floor 3 to 9’ and ‘Sairaj Floor 1,2 and 22.’ The report lacked investigation in these projects under Section 171 of the CGST Act, 2017 due to the lack of documents confirming that no demands were raised by the respondent from July 2017 to July 2022. The CCI noted that the DGAP had not exhausted all available resources to gather the required information and had not made an effort to receive information from the concerned Jurisdictional Commissioner.
Therefore, the CCI has ordered the DGAP to conduct further investigations on these two projects and submit a report accordingly. Copies of this order were supplied free of cost to all parties involved.
FULL TEXT OF THE ORDER OF COMPETITION COMMISSION OF INDIA
1. The present Report dated 15.02,2023, had been received from the Director General of Anti-Profiteering (DGAP) after a detailed investigation as per the directions passed under Rule 133(5) of the Central Goods and Service Tax Rules (CGST), Rules 2017 vide Order No. 51/2022 dated 29.07.2022 by the National Anti-Profiteering Authority (NM) in respect of project “Crescent Bay” situated at Parel, Mumbai, of M/s Omkar Realtors and Developers Pvt, Ltd.(Respondent) and M/s L&T Parel Project LLP(Respondent).
2. The DGAP vide his Report dated 31.01.2023 has inter-alia submitted the following: –
i) The Respondent is in the business of construction of residential and commercial apartments and undertakes development of slum rehabilitation projects. His Projects are Slum Rehabilitation Authority (SRA) Rehab Projects wherein there is redevelopment on slum The Respondent is required to construct buildings for providing free flats to existing slum dwellers and other buildings for the sale of flats to customers.
ii) The DGAP informed that as per the Maharashtra RERA website the Respondent had total four construction projects registered with MRERA, having following details:
