Case Law Details
In Re Alleged anti-competitive practices by Chhattisgarh Chemist and Druggist Association in limiting supply of drugs/medicines in the State of Chhattisgarh (CCI)
Whether the collection of PIS charges by Chhattisgarh Chemist and Druggist Association (CCDA) from pharmaceutical companies was made mandatory/compulsory by CCDA in contravention of provisions of Section 3 of the Act?
The Commission notes that though Macleods Pharmaceuticals Limited though has stated that PIS is mandatory and not voluntary it has, in the same breath, stated that CCDA has not thwarted the launch of any product for want of PIS. The Commission, thus, is not in agreement with the finding of the DG, based on the reply of Macleods Pharmaceuticals Limited, that PIS is not voluntary.
Based on the above, the Commission concludes that there is no cogent evidence on record to suggest that collection of PIS charges by CCDA from pharmaceutical companies was mandatory. This is especially after such companies, which are directly affected parties, have come forward during the investigation to say that there has been no compulsion to pay such charges. Thus, in the facts and circumstances of the present matter, no case of contravention of provisions of Section 3 is made out against CCDA.
FULL TEXT OF THE ORDER OF COMPETITION COMMISSION OF INDIA
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