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Reliance Jio Infocomm Limited had filed a plea before the Competition Commission of India, or commonly referred to as the CCI, alleging anti-competitive agreement or cartel having been formed by three major telecom operators, mainly, Bharti Airtel Limited, Vodafone India Limited and Idea Cellular Limited. On this, the CCI had issued notice to these parties after hearing Jio, the named operators and the COAI or the Cellular Operators Association of India and a common order was passed regarding the warrant of an investigation to the cause. The prima facie finding revolved around Jio being subjected to anti-competitive practices. However, the CCI findings and directives were set aside by the Bombay High Court. The Bombay High Court observed that the CCI had no jurisdiction to deal with the matter unless the issues are settled by authorities under the TRAI Act.
The ratio decidendi of the High Court was further challenged by the CCI and Jio in the Apex Court. The Supreme Court bench of Justice A K Sikri and Justice Ashok BHushan, however, dismissed the appeals filed by the CCI and RJIL or Jio against the Bombay High Court’s Judgment stating that “since the matter pertains to the telecom sector which is specifically regulated by the TRAI Act, balance is maintained by permitting TRAi in the first instance to deal with and decide the jurisdictional aspects which can be more competently handled by it. Once that exercise is done and there are findings returned by the TRAI which l3ead to the prima facie conclusion that the IDOs have indulged in anti-competitive practices, the CCI can be activated to investigate the matter going by the criteria laid down in the relevant provisions of the Competition Act and take it to its logical conclusion.”
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