Islamabad, Nov 1: Court backs CCP’s role in regulating competition, dismisses challenge. In a landmark decision, the Lahore High Court, led by Justice Jawad Hassan, has upheld the validity of show-cause notices issued by the Competition Commission of Pakistan (CCP) in the poultry matter concerning price fixing of day-old chicks. The decision reaffirms CCP’s authority to pursue investigations and act against monopolistic practices, ensuring a competitive market environment.
Referring to the legal doctrine of “ripeness”, he ruled that cases should proceed through CCP hearings, allowing appeals only after the CCP’s final decision. The judgment clarifies the CCP’s jurisdiction, safeguarding its autonomy to enforce competition laws without undue interference.
The court noted that obstructing CCP functions could hinder the Commission’s role in preventing anti-competitive practices and promoting fair business competition. Justice Hassan underscored the judiciary’s duty to support regulatory bodies like the CCP in upholding competitive integrity across industries.
However, the CCP’s legal team, comprising Barrister Asad Ullah Chatha, CCPs legal advisors, Barrister Ambreen Abbasi, Hafiz Muhammad Naeem and Hassan Raza, challenged the maintainability of the petition, a position the court ultimately upheld.
However, the poultry companies M/s Sadiq Poultry and M/s Islamabad Feeds challenged the show-cause notices and has secured a stay order, temporarily halting CCP’s proceedings. This comprehensive 21-page judgment now stands as a precedent, strengthening the CCP’s authority to enforce anti-trust laws and foster fair competition within Pakistan’s economic landscape.
CCP Chairman Dr. Kabir Sidhu has strategically strengthened the CCP’s legal team to enhance its capability in dealing complex competition cases and regulatory challenges. This overhaul has improved efficiency, and prioritized resolution of legal backlogs. The resolution of cases resulted in recovery of Rs100 million from businesses involved in anti-competitive practices.