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| | GEO Business | | CCP Ordinance likely to lapse on Nov 28: CCP Chairman | Updated at: 1724 PST, Wednesday, November 18, 2009
 LAHORE: It is unfortunate that ordinance on Competition Commission of Pakistan (CCP) is likely to lapse on November 28 as the National Assembly session has been prorogued without its passage.
Competition Commission Chairman Khalid Mirza stated this while addressing the members of Lahore Economic Journalists Association on Wednesday.
He said if the economic planners sincerely desire to operate the economy under the concept of Free Market Economy then an effective antitrust institution is absolutely essential. He said the ordinance is in the interest of the masses.
Mirza said, "If we want sustained and equitable growth we have to operate as responsibly by ensuring level playing field to all". He claimed that it is the best antirust law outside the OECD countries.
"No sane person could oppose the CCP ordinance that has been hailed the world over by antitrust agencies" he said, adding that no public representative has opposed this law publicly. However he added vested interests have been able to sideline it on technical
grounds. He said the prudent thing would have been to get it pass through the parliament in its present form and make further improvement later.
Under the present scenario the ordinance would lapse. He hoped that the president would promulgate the ordinance again as soon as it lapses on November 28.
He said if the CCP ordinance lapses on November 28 it will give a free hand to mafias acting against the public interest. He said CCP has put a check on their malpractices. They are now hesitant in violating the law and constantly seek CCP advise to reform themselves.
Opponents of this law are very strong and influential" he said adding that the CCP has accepted their challenge and would continue to work according to the spirit of competition law. He said that the Finance Committee of the National Assembly approved the draft of this law unanimously. He said however the influential quarters managed to send the bill back to the same committee for further review.
He said some persons have raised the issue that the control of competition is a provincial subject. He said the matter is sub judice. However he pointed out that the United States and Canada both have federating units but their antitrust agencies work on federal basis.
He said around two dozen countries falling under European Union have one central antitrust agency. He said it is now up to the courts to decide this matter and it should be acceptable to all.
Mirza said attempts are afoot to dilute the CCP law and make it toothless. "If that happened I will prefer to leave the job instead of presiding over a lame duck institution.
He said the CCP in a short span of time has penalized all those that were involved in unfair business practices to squeeze more money from the consumers. He said the Indian antitrust institutions in its seven years of existence have not imposed penalties on Indian businessmen.
"We do not want to impose harsh penalties on business entities that violate competition law" he said. Instead he added we want them to reform. They should come to us and admit their guilt with promise to reform in future he added. The commission he added would take lenient view if erring institutions pledge to adopt fair business practices.
He said Pakistan Sugar Mills association in this regard has indicated to file their reply under section 39 of CCP law pleading for leniency. He said presently competition law empowers the CCP to impose penalties or cartels or on corrosive behavior but in some developed countries cartelization is also considered as criminal offence.
Time he added is not ripe for this law in Pakistan as the first aim of the CCP is to reform the violators for fair business practices. |  |
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