Competition Commission of India

RELEVANCE – UPSC GS PRELIMS & GS MAINS – III

PRACTICE QUESTIONS

First go through the text (given after the questions) and then attempt the questions.

QUES 1 . Which among the following is/are incorrect with respect to  Competition Commission of India

1 . It is a constitutional body .

2 . It is responsible for enforcing The Competition Act, 2002 .

Select the correct answer from the following:

a . 1 only

b . 2 only

c . Both 1 and 2

d . Neither 1 nor 2

Answer – a

QUES 2 . Consider the following statements regarding Competition Commission of India

1 . It was established in 2003.

2 . Commission has been functioning as a single member body right from its inception.

Which among the above statements is/are correct?

a . 1 only

b . 2 only

c . Both 1 and 2

d . Neither 1 nor 2

Answer –a

About Competition Commission of India 

Competition Commission of India is a statutory body  responsible for enforcing The Competition Act, 2002 and to prevent activities that have an appreciable adverse effect on competition in India.

Formed

It was established on 14 October 2003. It became fully functional in May 2009 .

Objectives of the Commission

1 . Make the markets work for the benefit and welfare of consumers.
2 . Ensure fair and healthy competition in economic activities in the country for faster and inclusive growth and development of economy.
3 . Implement competition policies with an aim to effectuate the most efficient utilisation of economic resources.
4 . Develop and nurture effective relations and interactions with sectoral regulators to ensure smooth alignment of sectoral regulatory laws in tandem with the competition law.
5 . Effectively carry out competition advocacy and spread the information on benefits of competition among all stakeholders to establish and nurture competition culture in Indian economy.

Composition of the Commission

Recently the Union Cabinet has given its approval for rightsizing the Competition Commission of India (CCI) from One Chairperson and Six Members (totalling seven) to One Chairperson and Three Members (totalling four) by not filling the existing vacancies of two members and one more additional vacancy, which is expected in September, 2018 when one of the present incumbents will complete his term.

Section 8(1) of the Competition Act, 2002 (the Act) provides that the Commission shall consist of a Chairperson and not less than two and not more than six Members. Presently, the Chairperson and four Members are in position.

The Commission has been functioning as a collegium right from its inception. In several major jurisdictions such as in Japan, USA and U.K. Competition  Authorities are of a similar size.