MONOPOLIES AND RESTRICTIVE TRADE PRACTICES ACT, 1969
(1) This Act may be called the Monopolies and Restrictive Trade Practices Act, 1969.
(2) It extends to the whole of India except the State of Jammu and Kashmir.
(3) It shall come into force on such date1 as the Central Government may, 2[by notification], appoint.
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1. Came into force on 1-6-1970, vide S.O. 1981, dated 30th May, 1970, published in the Gazette of India, Extra., 1970, Pt. II, Sec. 3(ii), p. 833.
2. Subs. by Act 30 of 1984, sec. 2, for “by notification in the Official Gazette” (w.e.f. 1-8-1984).
In this Act, unless the context otherwise requires,—
(a) “agreement” includes any arrangement or understanding, whether or not it is intended that such agreement shall be enforceable (apart from any provision of this Act) by legal proceedings;
(b) “Commission” means the Monopolies and Restrictive Trade Practices Commission established under section 5;
1[(c) “Director General” means the Director General of Investigation and Registration appointed under section 8, and includes any Additional, Joint, Deputy or Assistant Director General of Investigation and Registration appointed under that section;]
(d) 2[“dominant undertaking” means—
3[***]
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If any question arises as to whether,—
(a) two or more individuals, trustees, associations of individuals firms or bodies corporate or any combination thereof, constitute, or fall within, a group, or
(b) two or more undertakings are inter-connected undertakings within the meaning of this Act, or
(c) two or more bodies corporate are under the same management,
the Central Government or where the Board of Company Law Administration, constituted under section 10E of the Companies Act, 1956 (1 of 1956), is, by notification, authorised so to do by the Central Government, that Board, shall decide such question, after giving to the persons concerned a reasonable opportunity of being heard.]
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Unless the Central Government, 1[by notification], otherwise directs, this Act shall not apply to—
(a) any undertaking owned or controlled by a Government company,
(b) any undertaking owned or controlled by the Government,
(c) any undertaking owned or controlled by a corporation (not being a company) established by or under any Central Provincial or State Act,
(d) any trade union or other association of workmen or employees formed for their own reasonable protection as such workmen or employees,
(e) any undertaking engaged in an industry, the management of which has been taken over by any person or body of persons in pursuance of any authorisation made by the
(1) Save as otherwise provided in sub-section (2) or elsewhere in this Act, the provisions of this Act shall be in addition to, and not in derogation of, any other law for the time being in force.
(2) Notwithstanding anything contained in section 3 or elsewhere in this Act, so much of the provisions of this Act, as relate to matters in respect of which specific provisions exist in the—
(i) Reserve Bank of India Act, 1934 (2 of 1934), or the Banking Regulation Act, 1949 (10 of 1949), or
(ii) State Bank of India Act, 1955 (23 of 1955), or the State Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959), or
(iii) Insurance Act, 1938 (4 of 1938),
shall not apply to a banking compa
(1) For the purposes of this Act, the Central Government shall establish, 1[by notification], a Commission to be known as the Monopolies and Restrictive Trade Practices Commission which shall consist of a Chairman and not less than two and not more than eight other members, to be appointed by the Central Government.
(2) The Chairman of the Commission shall be a person who is, or has been or is qualified to be, a Judge of the Supreme Court or of a High Court and the members thereof shall be persons of ability, integrity and standing who have adequate knowledge or experience of, or have shown capacity in dealing with, problems relating to Economics, Law, Commerce, Accountancy, Industry, Public Affairs or Administration.
(3) Before appointing any person as a member of the Commission, the Central Government shall satisfy itself that the pers
(1) Every member shall hold office for such period, not exceeding five years, as may be specified by the Central Government in the notification made under sub-section (1) of section 5, but shall be eligible for re-appointment:
Provided that no member shall hold office as such for a total period exceeding ten years, or after he has attained the age of sixty-five years, whichever is earlier.
(2) Notwithstanding anything contained in sub-section (1), a member may—
(a) by writing under his hand and addressed to the Central Government resign his office at any time;
(b) be removed from his office in accordance with the provisions of section 7.
(3) A casual vacancy caused by the resignation or
(1) The Central Government may remove from office any member, who—
(a) has been adjudged an insolvent, or
(b) has been convicted of an offence which, in the opinion of the Central Government, involves moral turpitude, or
(c) has become physically or mentally incapable of acting as such member, or
(d) has acquired such financial or other interest as is likely to affect prejudicially his functions as a member, or
(e) has so abused his position as to render his continuance in office prejudicial to the public interest.
(2) Notwithstanding anything contained in sub-section (1), no member shall be removed from his office on
(1) The Central Government may, by notification, appoint a Director General of Investigation and Registration, and as many Additional, Joint, Deputy or Assistant Directors General of Investigation and Registration, as it may think fit, for making investigation for the purposes of this Act and for maintaining a Register of agreements subject to registration under this Act and for performing such other functions as are, or may be provided by, or under, this Act.
(2) The Director General may, by written order, authorise one of the Additional, Joint, Deputy or Assistant Directors General to function as the Registrar of Agreements subject to registration under this Act.
(3) Every person authorised to function as the Registrar of Agreements and every Additional, Joint, Deputy or Assistant Director General shall exercise his powers, and dischar
The salaries and allowances payable to the members and the administrative expenses, including salaries, allowances and pensions, payable to or in respect of officers and other employees of the Commission, shall be defrayed out of the Consolidated Fund of India.
JURISDICTION ,POWERS AND PROCEDURE OF THE CORPORATION
10. Inquiry into monopolistic or restrictive trade practices by Commission.-
The Commission may inquire into-
(a) any restrictive trade practice-
(i) upon receiving a complaint of facts which constitute such practice 1[from any trade association or from any consumer or a registered consumer association, whether such consumer is a member of that consumers' association or not], or
(ii) upon a reference made to it by the Central Government or a State Government, or
(iii) upon an application made to it by the 2[Director General], or
(iv) upon its own knowledge or info
2[(1) The Commission may, before issuing any process requiring the attendance of the person against whom an inquiry (other than an inquiry upon an application by the Director General) may be made under section 10, by an order, require the Director General to make, or cause to be made, a preliminary investigation in such manner as it may direct and submit a report to the Commission to enable it to satisfy itself as to whether or not the matter requires to be inquired into.]
(2) The Director General may, upon his own knowledge or information or on a complaint made to him, make, or cause to be made, a preliminary investigation in such manner as he may think fit to enable him to satisfy himself as to whether or not an application should be made by him to the Commission under 3[***] section 10.
(3) For the purpose of conducting the preliminar
(1) The Commission shall for the purposes of any inquiry under this Act have the same powers as are vested in a Civil Court under the Code of Civil Procedure, 1908 (5 of 1908), while trying a suit, in respect of the following matters, namely:—
(a) the summoning and enforcing the attendance of any witness and examining him on oath;
(b) the discovery and production of any document or other material object producible as evidence;
(c) the reception of evidence on affidavits;
(d) the requisitioning of any public record from any court or office;
(e) the issuing of any commission for the examination of witnesses;
(1) Where, during an inquiry before the Commission, it is proved, whether by the complainant, Director General, any trader or class of traders or any other person, by affidavit or otherwise, that any undertaking or any person is carrying on, or is about to carry on, any monopolistic or any restrictive, or unfair, trade practice and such monopolistic or restrictive, or unfair trade practice is likely to affect prejudicially the public interest or the interest of any trader, class of traders or traders generally or of any consumer or consumers generally, the Commission may, for the purposes of staying or preventing the undertaking or, as the case may be, such person from causing such prejudicial effect, by order, grant a temporary injunction restraining such undertaking or person from carrying on any monopolistic or restrictive, or unfair, trade practice until the conclusion of such inquiry or until further orders.
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(1) Where, as a result of the monopolistic or restrictive, or unfair trade practice, carried on by any undertaking or any person, any loss or damage is caused to the Central Government, or any State Government or any trader or class of traders or any consumer, such Government or, as the case may be, trader or class of traders or consumer may, without prejudice to the right of such Government, trader or class of traders or consumer to institute a suit for the recovery of any compensation for the loss or damage so caused, make an application to the Commission for an order for the recovery from that undertaking or owner thereof or, as the case may be, from such person, of such amount as the Commission may determine, as compensation for the loss or damage so caused.
(2) Where any loss or damage referred to in sub-section (1) is caused to numerous persons having the same interest, one o
Every order made by the Commission under section 12A granting a temporary injunction or under section 12B directing the owner of an undertaking or other person to make payment of any amount, may be enforced by the Commission in the same manner as if it were a decree or order made by a court in a suit pending therein and it shall be lawful for the Commission to send, in the event of its inability to execute it, such order to the court within the local limits of whose jurisdiction,—
(a) in the case of an order against a company, the registered office of the company is situated, or
(b) in the case of an order against any other person, the place where the person concerned voluntarily resides or carries on business or personally works for gain, is situated,
and thereupon the court
(1) In making any order under this Act, the Commission may make such provisions not inconsistent with this Act, as it may think necessary or desirable for the proper execution of the order and any person who commits a breach of or fails to comply with any obligation imposed on him by any such provision shall be deemed to be guilty of an offence under this Act.
(2) Any order made by the Commission may be amended or revoked at any time in the manner in which it was made.
(3) An order made by the Commission may be general in its application or may be limited to any particular class of traders or a particular class of trade practice or a particular trade practice or a particular locality.
(1) The Commission may, if it has any reasonable cause to believe that any person has omitted or failed to comply with any order made by it under this Act or any obligation imposed on him by or under any order made by the Commission under this Act, authorise the Director General or any officer of the Commission to make an investigation into the matter and the Director General, or the officer so authorised, may, for the purpose of making such investigation, exercise all or any of the powers conferred on the Director General by section 11.
(2) On the conclusion of the investigation, the Director General, or, as the case may be, the officer so authorised, shall submit to the Commission a report of the investigation to enable the Commission to take such action in the matter as it may think fit.]
The Commission shall have, and exercise, the same jurisdiction, powers and authority in respect of contempt of itself as a High Court has and may exercise and, for this purpose, the provisions of the Contempt of Courts Act, 1971 shall have effect subject to the modifications that—
(a) the reference therein to a High Court shall be construed as including a reference to the Commission;
(b) the reference to the Advocate-General in section 15 of the said Act shall be construed as a reference to such Law Officer as the Central Government may, by notification in the Official Gazette, specify in the behalf.]
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1. Ins. by Act 58 of 1991, sec. 7 (w.e.f. 28-12-1991).
Where any practice substantially falls within 1[monopolistic, restrictive or unfair, trade practice, relating to the production, storage, supply,] distribution or control of goods of any description or the provision of any services and any party to such practice does not carry on business in India, an order may be made under this Act with respect to that part of the practices which is carried on in India.
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1. Subs. by Act 30 of 1984, sec. 12, for certain words (w.e.f. 1-8-1984).
No order made under this Act with respect to any monopolistic or restrictive trade practice shall operate so as to restrict—
(a) the right of any person to restrain any infringement of a patent granted in India, or
(b) any person as to the condition which he attaches to a licence to do anything, the doing of which but for the licence would be an infringement of a patent granted in India, or
(c) the right of any person to export goods from India, to the extent to which the monopolistic or restrictive trade practice relates exclusively to the production, supply, distribution or control of goods for such export.
The Monopolies and Restrictive Trade Practices Act, 1969 (MRTP Act) was enacted to prevent the concentration of economic power to the detriment of the public. It aims to regulate monopolistic and restrictive trade practices that may adversely affect competition and consumer interests.
Section 15 of the MRTP Act restricts the application of orders made under the Act concerning monopolistic or restrictive trade practices. Specifically, it states that no order made under the Act shall apply to certain cases, including the rights of individuals regarding patents and licenses.
The scope of Section 15 is limited to ensuring that the orders made under the MRTP Act do not infringe upon certain established rights, particularly in relation to intellectual property and licensing agreements.
While Section 15 itself does not prescribe specific penalties, violations of the MRTP Act can lead to penalties as outlined in other sections of the Act.
(1) The central office of the Commission shall be in Delhi but the Commission may sit at such places in India and at such times as may be most convenient for the exercise of its powers or functions under this Act.
(2) The powers or functions of the Commission may be exercised or discharged by Benches formed by the Chairman of the Commission from among the members.
(1) Subject to the provisions of sub-section (2), the hearing of proceedings before the Commission shall be in public.
(2) Where the Commission is satisfied that it is desirable to do so by reason of the confidential nature of any offence or matter or for any other reason, the Commission may—
(a) hear the proceeding or any part thereof in private;
(b) give directions as to the persons who may be present thereat;
(c) prohibit or restrict the publication of evidence given before the Commission (whether in public or in private) or of matters contained in documents filed before the Commission.
(1) Subject to the provisions of this Act, the Commission shall have power to regulate—
(a) the procedure and conduct of its business;
(b) the procedure of Benches of the Commission;
(c) the delegation to one or more members of such powers or functions as the Commission may specify 1[and subject to any general or special direction given, or condition imposed, by the Commission, a member, to whom any powers or functions are so delegated, shall exercise such powers or discharge those functions in the same manner and with the same effect as if they had been conferred on such member directly by this Act and not by way of delegation and any order or other act or thing made or done by such member in pursuance of the power or function so delegated shall be deemed to be an o
The Commission shall cause an authenticated copy of every order made by it in respect of a restrictive trade practice 1[or an unfair trade practice, as the case may be,] to be forwarded to the 2[Director General] who shall have it recorded in such manner as may be prescribed.
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1. Ins. by Act 30 of 1984, sec. 14 (w.e.f. 1-8-1984).
2. Subs. by Act 30 of 1984, sec. 2, for “Registrar” (w.e.f. 1-8-1984).
1[***]20. Undertakings to which this part applies
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1. " Part A" (consisting of sections 20 to 26) omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991
1[***]21. Expansion of undertakings
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1. " Part A" (consisting of sections 20 to 26) omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991
1[***]22. Establishment of new undertakings
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1. " Part A" (consisting of sections 20 to 26) omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991
1[***]22A. Power to exempt
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1. " Part A" (consisting of sections 20 to 26) omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991
1[***]23. Merger, Amalgamation and take over
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1. " Part A" (consisting of sections 20 to 26) omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991
1[***]24. Merger, Amalgamation and take over in contravention to Section 23
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1. " Part A" (consisting of sections 20 to 26) omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991
1[***]25. Directors undertakings not to be appointed Directors of other undertakings
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1. " Part A" (consisting of sections 20 to 26) omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991
1[***]26. Registration of undertakings to which part a applies
2[***]
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1. " Part A" (consisting of sections 20 to 26) omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991
2. The word and letter "Part B" omitted by Act 58 of 1991, section 8 w.r.e.f. 27-9-1991.
(1) 1[Notwithstanding anything contained in this Act or in any other law for the time being in force, the Commission may,—
(i) upon receiving a complaint of facts from any trade association or from any consumer or a registered consumers’ association, whether such consumer is a member of that consumers’ association or not, or
(ii) upon a reference made to it by the Central Government or a State Government, or
(iii) upon its own knowledge or information,
if it is of opinion that the working of an undertaking is prejudicial to the public interest, or has led, or is leading, or is likely to lead, to the adoption of any monopolistic or restrictive trade practices, inquire], as to whether it is expedient in the public interest
(1) 2[Notwithstanding anything contained in this Act or in any other law for the time being in force, the Commission may,—
(i) upon receiving a complaint of facts from any trade association or from any consumer or a registered consumers’ association, whether such consumer is a member of that consumers’ association or not, or
(ii) upon a reference made to it by the Central Government or a State Government, or
(iii) upon its own knowledge or information,
if it is of opinion that the continuance of inter-connection of an undertaking (hereafter in this section referred to as the principal undertaking) with any other undertaking is detrimental to—
(a) the interests of the pr
(1) Where in any report made by it, whether under section 27 or section 27A, the Commission recommends that the division of any trade of any undertaking or division of any undertaking or undertakings or of inter-connected undertakings, or, as the case may be, the severance of inter-connection between two or more undertakings, is to be effected by—
(a) the disinvestment by any person holding any share in the body corporate owning such undertaking or undertakings; or
(b) the sale of the whole or any part of such undertaking or undertakings, or, of any part of the assets thereof,
the Central Government may, in its order under the said section 27 or section 27A, specify that such disinvestment of shares or the sale of the whole or part of the undertaking or undertakings or of suc
(1) Where it appears to the Central Government that 1 [the owners of one or more undertakings are indulging in any practice, which is, or, may be, a monopolistic trade practice], or that, monopolistic trade practices prevail in respect of any goods or services, that Government may refer the matter to the Commission for an inquiry and the Commission shall, after such hearing as it thinks fit, report to the Central Government its finding thereon:
2 [Provided that where the Commission receives 3 [any application from the Director General or] any information, or comes to know, that the owner of any undertaking is, or, the owners of two or more undertakings are, indulging in any trade practice, which is, or may be, a monopolistic trade practice, or that monopolistic trade practices prevail in respect of any goods or services, it may 3 [on such application or] on its own motion, and notw
1 [32. Monopolistic trade practice to be deemed to be prejudicial to the public interest except in certain cases.-
For the purposes of this Act every monopolistic trade practice shall be deemed to be prejudicial to the public interest, except where-
(a) such trade practice is expressly authorised by any enactment for the time being in force, or
(b) the Central Government, being satisfied that any such trade practice is necessary-
(i) to meet the requirements of the defence of India or any part thereof, or for the security of the State; or
(ii) to ensure the maintenance of supply of goods and services essential to the community; or
(iii) to give effect to the te
(1) 1 [Every agreement falling within one or more of the following categories shall be deemed, for the purposes of this Act, to be an agreement relating to restrictive trade practices and shall be subject to registration] in accordance with the provisions of this Chapter, namely:-
(a) any agreement which restricts, or is likely to restrict, by any method the persons or classes of persons to whom goods are sold or from whom goods are bought;
(b) any agreement requiring a purchaser of goods, as a condition of such purchase, to purchase some other goods;
(c) any agreement restricting in any manner the purchaser in the course of his trade from acquiring or otherwise dealing in any goods other than those of the seller or any other person;
(d) any agreeme
1[***]
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1. Section 34 omitted by Act 30 of 1984, section 28 w.e.f. 1-8-1984.
(1) The Central Government shall, 1[by notification], specify a day (hereinafter referred to as the appointed day) on and from which every agreement falling within section 33 shall become registrable under this Act:
Provided that different days may be appointed for different categories of agreements.
(2) Within sixty days from the appointed day, in the case of an agreement existing on that day, and in the case of an agreement made after the appointed day, within sixty days from the making thereof, there shall be furnished to the 2[Director General] in respect of every agreement falling within section 33, the following particulars, namely:—
(a) the name of the persons who are parties to the agreement; and
(b) the whole of the terms
(1) For the purposes of this Act, the 1[Director General] shall keep a register in the prescribed form and shall enter therein the prescribed particulars as regards agreements subject to registration.
(2) The 1[Director General] shall provide for the maintenance of a special section of the register for the entry or filling in that section of such particulars as the Commission may direct, being—
(a) particulars containing information, the publication of which would, in the opinion of the Commission, be contrary to the public interest;
(b) particulars containing information as to any matter being information the publication of which, in the opinion of the Commission, would substantially damage the legitimate business interests of any person.
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In this Part, unless the context otherwise requires, ''unfair trade practice" means a trade practice which, for the purpose of promoting the sale, use or supply of any good or for the provision of any services, 1 [adopts any unfair method or unfair or deceptive practice including any of the following practices], namely:-
(1) the practice of making any statement, whether orally or in writing or by visible representation which,-
(i) falsely represents that the goods are of a particular standard, quality, 2 [quantity,] grade, composition, style or mode;
(ii) falsely represents that the services are of a particular standard, quality or grade;
(iii) falsely represents any re-built, second-hand, renovated, re-conditioned or old goods as new goods;
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The Commission may inquire into any unfair trade practice,-
(a) upon receiving a complaint of facts which constitutes such practice 1[from any trade association or from any consumer or a registered consumers' association, whether such consumer is a member of that consumers' association or not]; or
(b) upon a reference made to it by the Central Government or a State Government;
(c) upon an application to it by the Director General; or
(d) upon its own knowledge or information.
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1. Substituted by Act 74 of 1986, section 5, for certain words w.e.f. 1-6-1987.
The Commission may, before issuing any process requiring the attendance of the person against whom an inquiry (other than an inquiry upon an application by the Director General) may be made under section 36B, by an order, require the Director General to make, or cause to be made, a preliminary investigation in such manner as it may direct and submit a report to the Commission, for the purpose of satisfying itself that the matter requires to be inquired into.]
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* Section 36C ins. by Act 30 of 1984, sec. 30 (w.e.f. 1-8-1984).
1. Subs. by Act 58 of 1991, sec. 15, for section 36C (w.r.e.f. 27-9-1991).
(1) The Commission may inquire into any unfair trade practice which may come before it for inquiry and, if, after such inquiry, it is of opinion that the practice is prejudicial to the public interest, or to the interest of any consumer or consumers generally, it may, by order direct that-
(a) the practice shall be discontinued or shall not be repeated; 1[***]
(b) any agreement relating to such unfair trade practice shall be void or shall stand modified in respect thereof in such manner as may be specified in the order;
2[(c) any information, statement or advertisement relating to such unfair trade practice shall be disclosed, issued or published, as the case may be, in such manner as may be specified in the order.]
(2) The Commission may, instead o
Without prejudice to the provisions of section 12A, section 12B and section 36D, the Commission, Director General or any other person authorised in this behalf by the Commission or Director General, may exercise, or perform, in relation to any unfair trade practice, the same power or duty which it or he is empowered, or required, by or under this Act to exercise, or perform, in relation to a restricted trade practice.]
(1) The Commission may inquire into any restrictive trade practice, whether the agreement, if any, relating thereto has been registered under section 35 or not, which may come before it for inquiry and, if, after such inquiry it is of opinion that the practice is prejudicial to the public interest, the Commission may, by order, direct that-
(a) the practice shall be discontinued or shall not be repeated;
(b) the agreement relating thereto shall be void in respect of such restrictive trade practice or shall stand modified in respect thereof in such manner as may be specified in the order.
(2) The Commission may, instead of making any order under this section, permit the party to any restrictive trade practice, if he so applies to take such steps within the time specified in this behalf by the C
(1) For the purposes of any proceedings before the Commission under section 37, a restrictive trade practice shall be deemed to be prejudicial to the public interest unless the Commission is satisfied of any one or more of the following circumstances, that is to say—
(a) that the restriction is reasonably necessary having regard to the character of the goods to which it applies, to protect the public against injury (whether to persons or to premises) in connection with the consumption, installation or use of those goods;
(b) that the removal of the restriction would deny to the public as purchasers, consumers or users of any goods, other specific and substantial benefits or advantages enjoyed or likely to be enjoyed by them as such, whether by virtue of the restriction itself or of any arrangements or operations resulti
(1) Without prejudice to the provisions of this Act with respect to registration and to any of the powers of the Commission or of the Central Government under this Act, any term or condition of a contract for the sale of goods by a person to a wholesaler or retailer or any agreement between a person and a wholesaler or retailer relating to such sale shall be void in so far as it purports to establish or provide for the establishment of minimum prices to be charged on the re-sale of goods in India.
(2) After the commencement of this Act, no supplier of goods whether directly or through any person or association of persons acting on his behalf shall notify to dealers or otherwise publish on or in relation to any goods, a price stated or calculated to be understood as the minimum price which may be charged on the re-sale of the goods in India.
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(1) Without prejudice to the provisions of this Act with respect to registration and to any of the powers of the Commission or of the Central Government under this Act, no supplier shall withhold supplies of any goods from any wholesaler or retailer seeking to obtain them for re-sale in India on the ground that the wholesaler or retailer—
(a) has sold in India at a price below re-sale price, goods obtained, either directly or indirectly, from that supplier, or has supplied such goods, either directly or indirectly, to a third party who had done so; or
(b) is likely if the goods are supplied to him to sell them in India at a price below that price or supply them, either directly or indirectly, to a third party who would be likely to do so.
(2) Nothing contained in sub-section
(1) The Commission may, on a reference made to it by the 1[Director General] or any other person interested, by order, direct that goods of any class specified in the order shall be exempt from the operation of sections 39 and 40 if the Commission is satisfied that in default of a system of maintained minimum re-sale prices applicable to those goods—
(a) the quality of goods available for sale or the varieties of goods so available would be substantially reduced to the detriment of the public as consumers or users of those goods, or
(b) the prices at which the goods are sold by retail would, in general and in the long run, be increased to the detriment of the public as such consumers or users, or
(c) any necessary services actually provided in connection with or afte
(1) If the 1[Director General] has reasonable cause to believe that any person is a party to an agreement subject to registration under section 35, he may give notice to that person requiring him within such time, not less than thirty days, as may be specified in the notice, to notify to the 1[Director General] whether he is a party to any such agreement and, if so; to furnish to the 1[Director General] such particulars of the agreement as may be specified in the requisition.
(2) The 1[Director General] may give notice to any person by whom particulars are furnished under section 35 in respect of an agreement or to any other person being a party to the agreement requiring him to furnish to the 1[Director General] such further documents or information in his possession or control as the 1[Director General] may consider expedient for the purpose of, or in connection with, the registr
Notwithstanding anything contained in any other law for the time being in force, the Central Government may, by a general or special order, 1[call upon the owner of any undertaking] to furnish to that Government periodically or as and when required any information concerning the activities carried on by the undertaking, the connection between it and any other undertaking, including such other information relating to its organisation, business, cost of production, conduct, trade practice or management, as may be prescribed to enable that Government to carry out the purpose of this Act.
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1. Subs. by Act 30 of 1984, sec. 34, for “call upon any undertaking” (w.e.f. 1-8-1984)
(1) The Central Government may, if it is of opinion that there are circumstances suggesting that an undertaking is indulging in any monopolistic 1[or restrictive, or unfair, trade practice] or is, in any way, trying to acquire any control over any dominant or inter-connected undertaking, appoint one or more inspectors for making an investigation into the affairs of the undertaking.
(2) The provisions of section 240 and section 240A of the Companies Act, 1956 (1 of 1956), so far as may be, shall apply to an investigation made by an inspector appointed under this section as they apply to an investigation made by the inspector appointed under that Act.
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1. Subs. by Act 30 of 1984, sec. 35, for “or restrictive trade practice” (w.e.f. 1-8-1984)
1[***]
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1. Section 45 omitted by Act 58 of 1991, section 17 w.r.e.f. 27-9-1991.
If any person contravenes the provisions of 1[***] section 27, he shall be punishable 2[with imprisonment for a term which may extend to five years, or] with fine which may extend to rupees one lakh, 2[or with both,] and where the offence is a continuing one, with a further fine which may extend to one thousand rupees for every day, after the first, during which such contravention continues.
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1. The words “section 22 or section 23 or section 24 or” omitted by Act 58 of 1991, sec. 18 (w.r.e.f. 27-9-1991).
2. Ins. by Act 30 of 1984, sec. 37 (w.e.f. 1-8-1984).
1[****]
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1. Section 47 omitted by Act 58 of 1991, section 19 w.r.e.f 27-9-1991.
(1) If any person fails, without any reasonable excuse, to register an agreement which is subject to registration under this Act, he shall be punishable 1[with imprisonment for a term which may extend to three years, or] with fine which may extend to five thousand rupees, 1[or with both,] and where the offence is a continuing one, with a further fine which may extend to five hundred rupees for every day, after the first, during which such failure continues.
2[***]
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1. Ins. by Act 30 of 1984, sec. 39 (w.e.f. 1-8-1984).
2. Sub-section (2) subs. by Act 30 of 1984, sec. 39 (w.e.f. 1-8-1984) and omitted by Act 58 of 1991, sec. 20 (w.r.e.f. 27-9-1991).
Any person or body corporate who or which,—
(a) being required by any order of the Central Government referred to in sub-section (1) of section 27B to effect disinvestment of any shares or sale of the whole or any part of any undertaking or undertakings by any method referred to in that sub-section, omits or fails to do so; or
(b) having in his possession, custody or control any property or assets or any part thereof which have been sold to any person in pursuance of an order of the Central Government referred to in sub-section (1) of section 27B (hereinafter in this section referred to as the “purchaser”), wrongfully withholds such property, assets or part thereof from the purchaser; or
(c) wrongfully obtains possession of any property, assets or any part thereof or
(1) Every person who exercises any voting right in respect of any share in contravention of any order of the Central Government referred to in sub-section (1) of section 27B shall be punishable with imprisonment for a term which may extend to five years, and shall also be liable to fine.
(2) If any company gives effect to any voting or other right exercised in relation to any share held in contravention of an order of the Central Government referred to in sub-section (1) of section 27B, the company shall be punishable with fine which may extend to five thousand rupees, and every officer of the company who is in default shall be punishable with imprisonment for a term which may extend to three years, or with fine which may extend to five thousand rupees, or with both.]
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&n
(1) If any person fails, without any reasonable excuse, 1[to produce any books or papers, or to furnish any information, required by the Director General under section 11, or to furnish any information] required under section 43 or to comply with any notice duly given to him under section 42, he shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to two thousand rupees, or with both, and where the offence is a continuing one, with a further fine which may extend to one hundred rupees for every day, after the first, during which such failure continues.
(2) If any person, who furnishes or is required to furnish any particulars, documents or any information—
(a) makes any statement or furnishes any document which he knows or has reason to believe to be false in any materi
1[(1) A person, who is deemed under section 13 to be guilty of an offence under this Act, shall be punishable with imprisonment for a term which may extend to three years, or with fine which may extend to fifty thousand rupees, or with both, and where the offence is a continuing one, with a further fine which may extend to five thousand rupees for every day, after the first during which such contravention continues.
(2) If any person contravenes, without any reasonable excuse, any order made by the Central Government under section 31 or any order made by the Commission under section 37, he shall be punishable with imprisonment for a term which shall not be less than,-
(a) in the case of the first offence, six months but not more than three years, and
(b) in the case of any second or subsequent
If any person contravenes the provisions of section 39 or section 40, he shall be punishable with imprisonment for a term which may extend to three months, or with fine which may extend to five thousand rupees, or with both.
If any person discloses an information in contravention of section 60, he shall be punishable with imprisonment for a term which may extend to six months, or with fine which may extend to five hundred rupees, or with both.
If any person contravenes, without any reasonable excuse, any condition or restriction subject to which any approval, sanction, direction or exemption in relation to any matter has been accorded, given, made or granted under this Act, he shall be punishable with fine which may extend to one thousand rupees, and where the contravention is a continuing one, with a further fine which may extend to one hundred rupees for every day, after the first, during which such contravention continues.]
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1. Ins. by Act 30 of 1984, sec. 43 (w.e.f. 1-8-1984).
If in any application, return, report, certificate, balance sheet, prospectus, statement or other document made, submitted, furnished or produced for the purpose of any provision of this Act, any person makes a statement,—
(a) which is false in any material particular, knowing it to be false, or
(b) which omits to state any material fact, knowing it to be material,
he shall be punishable with imprisonment for a term which may extend to two years and shall also be liable to fine.]
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1. Ins. by Act 30 of 1984, sec. 43 (w.e.f. 1-8-1984).
(1) Where an offence under this Act has been committed by a company, every person who, at the time the offence was committed, was in charge of, and was responsible to the company for the conduct of the business of the company, as well as the company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to any punishment if he proves that the offence was committed without his knowledge or that he had exercised all due diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributa
(1) The Central Government may, while-
(a) according any approval, sanction, permission, confirmation or recognition, or
(b) giving any direction or issuing any order, or
(c) granting any exemption, under this Act in relation to any matter, impose such conditions, limitations or restrictions as it may think fit.
1[***]
(3) If any condition, limitation or restriction imposed by the Central Government under sub-section (1) 2[***], is contravened, the Central Government may rescind or withdraw the approval, sanction, permission, confirmation, recognition, direction, order or exemption made or granted by it.
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Any person aggrieved by 1[any decision on any question referred to in clause (a), clause (b) or clause (c) of section 2A, or any order made by the Central Government under Chapter III] or Chapter IV, or, as the case may be, or the Commission under 2[section 12A or] 3[section 13 or section 36D or section 37], may, within sixty days from the date of the order, prefer an appeal to the Supreme Court on one or more of the grounds specified in section 100 of the Code of Civil Procedure, 1908 (5 of 1908).
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1. Subs. by Act 30 of 1984, sec. 44, for “any order made by the Central Government under Chapter III” (w.e.f. 1-8-1984).
2. Ins. by Act 58 of 1991, sec. 25 (w.r.e.f. 27-9-1991).
3. Subs. by Act 30 of 1984, sec. 44, for “section 13 or sectio
No court inferior to that of a 1[Court of Session] shall try any offence under this Act.
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1. Subs. by Act 30 of 1984, sec. 45, for “Presidency Magistrate or a Magistrate of the first class” (w.e.f. 1-8-1984).
No court shall take cognizance of any offence punishable under this Act except on a report in writing of the facts constituting such offence made by a person who is a public servant as defined in section 21 of the Indian Penal Code (45 of 1860).
1[***]
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1. Section 58 omitted by Act 30 of 1984, section 46 w.e.f. 1-8-1984.
No statement made by a person in the course of giving evidence before the Commission shall subject him to, or be used against him in, any civil or criminal proceeding except a prosecution for giving false evidence by such statements:
Provided that the statement—
(a) is made in respect to a question which he is required by the Commission to answer; and
(b) is relevant to the subject-matter of the inquiry.
(1) No information relating to any undertaking, being an information which has been obtained by or on behalf of the Commission for the purposes of this Act, shall, without the previous permission in writing of the owner for the time being of the undertaking, be disclosed otherwise than in compliance with or for the purposes of this Act.
(2) Nothing contained in sub-section (1) shall apply to a disclosure of an information made for the purpose of any legal proceeding pursuant to this Act or of any criminal proceeding which may by taken, whether pursuant to this Act or otherwise, or for the purposes of any report relating to any such proceeding.
1[(3) The provisions of sub-section (2) relating to the disclosure of information shall not extend to the disclosure of the source of such information, except where the disclosure of such source is
The Central Government may at any time require the Commission to submit to it a report on the general effect on the public interest of such trade practices as, in the opinion of that Government, either constitute or contribute to monopolistic or 1[restrictive or unfair trade practices] or concentration of economic power to the common detriment.
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1. Subs. by Act 30 of 1984, sec. 48, for “restrictive trade practices” (w.e.f. 1-8-1984).
The Central Government shall cause to be laid before both Houses of Parliament an annual report, and every report which may be submitted to it by the Commission from time to time, pertaining to the execution of the provisions of this Act.
Every member of the Commission, the 1[Director General], and every member of the staff of the Commission, and of the 1[Director General], shall be deemed, while acting or purporting to act in pursuance of any of the provisions of this Act, to be public servants within the meaning of section 21 of the Indian Penal Code (45 of 1860).
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1. Subs. by Act 30 of 1984, sec. 2, for “Director and the Registrar” (w.e.f. 1-8-1984).
(1) No suit, prosecution or other legal, proceedings shall lie against the Commission or any member, officer or servants of the Commission, the 1[Director General] or any member of the staff of the 2[Director General] in respect of anything which is in good faith done or intended to be done under this Act.
(2) No suit shall be maintainable in any civil court against the Central Government or any officer or employee of that Government for any damage caused by anything done under, or in pursuance of any provisions of, this Act.
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1. Substituted by Act 30 of 1984, section 2 for "Director and the Registrar" w.e.f. 1-8-1984.
2. Substituted by Act 30 of 1984, section 2, for "Director, the Registrar" w.e.f. 1-8-1984.
(1) the register, other than the special section, shall be open to public inspection during such hours and subject to the payment of such fees, not exceeding rupees twenty-five, as may be prescribed.
(2) Any person may upon the payment of such fee, not exceeding rupee one, for every one hundred words, as may be prescribed, require the 1 [Director General] to supply to him a copy of, or extract from, any particulars entered or filed in the register, other than the special section, certified by the 1 [Director General] to be a true copy or extract.
(3) A copy of, or extract from, any document entered or filed in the register certified under the hand of the 1 [Director General] or any officer authorised to act in this behalf shall, in all legal proceedings, be admissible in evidence as of equal validity with the original.
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(1) The Commission 1[may, 2[by notification], make regulations] for the efficient performance of its functions under this Act.
(2) In particular, and without prejudice to the generality of the foregoing provisions, such regulations may provide for all or any of the following matters, namely:—
(a) the conditions of service, as approved by the Central Government, or persons appointed by the Commission;
(b) the issue of the processes to Government and to other persons and the manner in which they may be served;
(c) the manner in which the special section of the register shall be maintained and the particulars to be entered or filed therein;
3[***]
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(1) The Central Government may, 1[by notification], make rules to carry out the purposes of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:—
(a) the form and manner in which notices may be given or applications may be made to it under this Act and the fees payable therefor;
2[***]
3[(ab) the form and the manner in which an application for recognition shall be made under clause (n) of section 2;]
2[***]
(b) the particulars to be furnished under this Act and the form and manner in which and the intervals within wh
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