CCI rules out anti-competitive ways by Noida, Nasscom & Bhel

Fair trade regulator CCI has dismissed charges that Noida, software industry body Nasscom and PSU major Bhel had indulged in anti-competitive activities with respect to allotment and use of land in Noida.
In a complaint to CCI, R&R Tech Mach had alleged that New Okhla Industrial Development Authority (the administrative body for Noida area in the national capital region) had abused its dominant position by allotting plots for different purposes through auction for corporate purposes as well for use by IT/ITES industries.
Among others, it was alleged that the terms, conditions and sale price of plots for corporate offices were different compared to plots which were allotted for IT purposes.

While the corporate office plots were auctioned at much higher rates, the IT/ITES plots were subsidised.
The complainant alleged that Noida authority had abused its dominant position by granting approval to a IT plot holder (Advant IT Park) to rent out plot for corporate functions to state-owned power equipment major Bhel.
Noida authority had requested Nasscom to depute an officer for guidance on whether business functions of Bhel can be treated at par with Advant of IT/ITEs and whether these functions are covered under Nasscom glossary for IT/ITES.
In an order made public today, the Competition Commission of India (CCI) said that "there does not exist a prima facie case for causing an investigation to be made by the Director General under...The (Competition) Act".

CCI ruled that the conduct of Noida does not prima facie violate any provisions of the Competition) Act and any dispute as to the validity of Nasscom's certification for Bhel business operations as IT and related services "is technical in nature and needs to be dealt with in appropriate fora and does not raise any competitive concerns in the relevant market".