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Competition Bill: Panel asks for explicit definition of material influence

FICCI in its response to the standing committee had said that the introduction of material influence as proposed would still keep its definition vague and open to interpretation

proposed Competition (Amendment) Bill 2022
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MCA has talked about positive and negative control - the latter is about the ability to block special resolution which would determine the material influence

Ruchika Chitravanshi New Delhi
The parliamentary standing committee on finance in its report has asked the corporate affairs ministry (MCA) to clarify the definition of material influence threshold — which has been introduced in the Competition Amendment Bill to ascertain who has control over an enterprise. 
 
MCA has talked about positive and negative control — the latter is about the ability to block special resolution, which would determine the material influence. The committee has also said intellectual property rights (IPR) should be included as a defence against abuse of dominant position. 
 
“In order to ensure ease of doing business, the Competition Commission of India

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First Published: Dec 14 2022 | 8:29 PM IST

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