Travel Agents Association of India v. Balmer Lawrie & Co.
Case brief
What is this about?
The Competition Commission of India dismissed the complainant's allegation that an Office Memorandum limiting travel agent services violated the Competition Act. The Commission held the Government was a consumer, not an enterprise, and no case was made out for abuse of dominance, closing the matter under Section 26(2).
What did the court decide?
The information filed was not referred for investigation; the interim relief application was disposed of.
What the court decided
COMPETITION COMMISSION OF INDIA
15th September, 2010
Case No. 39/2010
Informant: Travel Agents Association of India
Opposite Parties: Balmer Lawrie & Co. Ltd. & Anr
Order under Section 26(2) of Competition Act, 2002.
- This information has been filed under section 19 of the Competition Act by the informant M/s. Travel Agents Association of India, through their authorized representative, M/s INDUS LAW FIRM, Shri Bhupendra Singh Chauhan, Advocate on 06.08.2010 against the opposite parties for quashing the alleged arbitrary and anti competitive order/office memorandum (No.19024/1/E.IV/2005, dated 24.03.2006) issued by the Ministry of Finance, Department of Expenditure, Government of India, inter alia, directing government officials to purchase travel tickets/ tour exclusively from opposite parties, namely, Balmer Lawrie & Co. Ltd. or Ashok Travels and Tours Ltd. and thus violating the provisions of section 4 of the Competition Act,2002.
- The informant is a trade association of travel agents in India incorporated as a company under the companies Act, with the main objective of promoting the welfare of travel agents fraternity in India.
- It has been alleged by the informant that the opposite parties entered into an agreement with the Government of India and in pursuance of which an Office Memorandum was issued to all government departments with strict directions to purchase all travel tickets from opposite parties only. This office memorandum (No.F.No. 19024/1/E.IV/2005 dated 24.03.2006) has been issued by Dy. Secretary to Government of India, Ministry of Finance, Department of Expenditure, E.IV branch, New Delhi.
Issues for consideration
3 issues framed by the court
Whether the Office Memorandum issued by the Government limiting travel agent services violates Section 3 or Section 4 of the Competition Act, 2002.
Whether the Government of India acts as an 'enterprise' under Section 2(h) of the Competition Act, 2002.
Whether the application for interim relief under Section 33 of the Competition Act, 2002 is maintainable when the main complaint is not capable of being investigated.
Parties & counsel
- applicant
Travel Agents Association of India
Coram
Member (T)
Member (AG)
Member (G)
Case details
As recorded by the court registry
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