CCI dismisses complaint against Coal India CIMFR

NEW DELHI. The Competition Commission of India (CCI) has rejected allegations of unfair business ways against Coal India and CIMFR pertaining to a global tender for technical service providers with respect to coal samples. 
 
The complaint was filed against CIL, its CMD and the Central Institute of Mining and Fuel Research (CIMFR) as well as its Director. It was alleged that there were unfair conditions in the tender notice, floated by CIMFR. 
 
The tender was for hiring technical service providers for collection, preparation and transportation of coal samples from the loading and unloading points to CIMFR or to its research centres. 
 
The conditions, alleged to be anti-competitive for bidders, were depositing of Rs 1 crore earnest money and annual business turnover of Rs 20 crore for last three years. For this case, CCI considered “provision of services relating to collection, preparation and transportation of coal samples in India,” as the relevant market. 
 
While noting that Coal India is dominant in the relevant market, CCI, however, ruled out the charges of abuse of dominant position after finding that no entry barrier were created through the conditions in the tender.

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