NCLAT dismisses All India Chess Federation's appeal against CCI order

The National Company Law Appellate Tribunal (NCLAT) has dismissed the appeal of the All India Chess Federation against an order passed by the fair trade regulator CCI on grounds of non-prosecution by the sports body.

Appellate tribunal NCLAT, in its order, said the All India Chess Federation (AICF) has taken several adjournments despite being indicated on May 19, 2022, that no further adjournment shall be granted.

The order said that on several occasions hearing has been adjourned on the prayer made by the federation on August 5, 2022, September 23, 2022, and December 12, 2022.

"Today again a prayer for adjournment has been sought. It appears that the appellant is not interested to pursue the appeal. The appeal stands dismissed due to non-prosecution," said NCLAT in its order dated July 11, 2023.

The Competition Commission of India (CCI) had in July 2018 penalised AICF and directed it to "cease and desist" from anti-competitive practices.

The ruling had come on a complaint filed by four chess players. After a detailed probe, the watchdog concluded that the federation violated competition norms.

The CCI had imposed a fine of Rs 6.92 lakh on the federation and the amount is equivalent to 2 per cent of the grouping's three-year average annual turnover for the period from 2014-15 to 2016-17, as per its order.

The four chess players faced disciplinary action from AICF for participation in a chess event not authorised by it. The matter pertained to several stipulations of the federation, including on chess players, organisation of chess tournaments and discretionary nomination of players.

The said order was challenged by the AICF before NCLAT.