Flipkart Argues It Shouldn’t Be Treated Same as Amazon in Antitrust Probe

-Sponsored By-
- Advertisement -

Walmart’s Flipkart shouldn’t be handled the identical as rival Amazon in an Indian antitrust probe because the proof in opposition to the 2 companies was “qualitatively different”, Flipkart argued in a court docket submitting seen by Reuters.

Both Amazon and Flipkart have challenged the Competition Commission of India (CCI) in court docket as they search revocation of an Indian court docket’s June determination to permit an antitrust probe in opposition to them to proceed. The firms deny any wrongdoing.

India’s authorities has referred to as the US companies conceited and accused them of utilizing authorized routes to stall the investigation.

In ultimate submissions made to a court docket in southern India’s Karnataka state, the Walmart unit argued that CCI and the court docket “confuse the facts” between the case of Amazon and Flipkart, and neglected that they had been “fierce competitors”.

To again its arguments, it stated {that a} enterprise settlement examined by the CCI earlier than ordering its probe was solely between Amazon and its sellers, and there was no such proof in opposition to the Walmart unit.

“The allegations and the evidence before the CCI against the Appellant were qualitatively different from those relating to Amazon … The CCI should have independently examined the case against each of the two platforms,” Flipkart stated in its 46-page submission, which was not public.

The Indian court docket is more likely to go a written order on the appeals in coming days.

Flipkart and Amazon didn’t instantly reply to a request for remark. The CCI did not reply exterior common enterprise hours on Sunday.

For years, Amazon and Flipkart have denied allegations from brick-and-mortar retailers about circumventing Indian legislation by creating complicated enterprise buildings.

Trade minister Piyush Goyal final month lashed out on US e-commerce giants for submitting authorized challenges and failing to adjust to the CCI’s probe, saying “if they have nothing to hide … why don’t they respond to the CCI?”

In February, a Reuters investigation primarily based on inner Amazon paperwork confirmed the US agency for years had helped a small variety of sellers prosper on its platform in India, utilizing them to bypass international funding legal guidelines. Amazon additionally has oblique fairness stakes in two of its large on-line sellers, Cloudtail and Appario, which get “subsidised fees”, Reuters reported.

The Walmart unit argued in its submission that “unlike in the case of Amazon”, there have been no structural hyperlinks of any form between Flipkart and its sellers.

Flipkart “ought to have been treated differently from Amazon,” it stated.

Amazon and Flipkart are main gamers in an e-retail market India forecasts might be price $200 billion (roughly Rs. 14,95,300 crores) by 2026.

© Thomson Reuters 2021


- Advertisement -

Source link

- Advertisement -

Must read