CCI gets revenue department staff for NAA cases for six more months

The authority was established for an initial period of two years to ensure that the benefits of reduction in the GST rates and input tax credits are passed on to the consumers

The Department of Revenue has extended the tenure of staff loaned to the Competition Commission of India (CCI) to handle cases of the National Anti-Profiteering Authority (NAA) for an additional six months, according to sources. This extension is the third granted by the revenue department.

The CCI can utilise the staff until September 31, 2024. The mandate of the NAA, originally set up under the Central Goods and Service Act in December 2017, was transferred to the CCI in December 2022.

The authority was established for an initial two-year period to ensure that the benefits of reduced Goods and Services Tax (GST) rates and input tax credits are passed on to consumers.

To assist the CCI in managing the NAA cases, about 25 to 30 staff members from the revenue department were initially loaned to the CCI for six months. The backlog of cases at the NAA has increased the workload on the Commission.

“The staff were provided to the CCI to ensure a smooth transition of the cases to the Commission and continuity of work,” the source said.

The antitrust watchdog, facing a triple mandate of implementing the existing Competition Act, cases under the National Anti-Profiteering Act, and the proposed Digital Competition Bill, has not been able to fill its existing posts. Its sanctioned strength remains the same, with 70 of the total 195 vacancies unfilled, as reported by a parliamentary panel.

Between 2017 and 2022, the NAA passed 380 orders and determined a profiteered amount of Rs 2,240 crore, out of which around Rs 700 crore have been deposited in Consumer Welfare Funds or returned to consumers or deposited with High Courts.

Several leading fast-moving consumer goods (FMCG) manufacturers and real estate developers were found to have profiteered and were compelled to refund the amount, according to sources.

The issue of the NAA's tenure extension was discussed at the 45th Goods and Services Tax (GST) Council meeting in September 2021, where it was decided that anti-profiteering measures needed to continue, and this should be addressed with the CCI.