HC stays CCI’s order for investigation on Amazon, Flipkart

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The Karnataka High Court on Friday stayed the January 13 order of the Competition Commission of India initiating an investigation to find out whether e-commerce majors Amazon and Flipkart have violated the competition law.

Justice P.S. Dinesh Kumar passes the interim order while admitting a petition filed by Amazon Seller Services Pvt. Ltd.

On January 13, the CCI directed its director-general to carry out an investigation and submit a report in 60 days.

The investigation was ordered following a complaint by the Delhi Vyapar Mahasangh, which complained that Amazon and Flipkart were giving preferential treatment to certain sellers, leading to foreclosure of other non-preferred sellers, among other allegations. The alleged preferential treatment was cited as a violation of the provisions of the Competition Act, 2002.