The Hindu : Business : CCI to scrutinise mergers, takeovers

Online edition of India's National Newspaper
Friday, Jan 20, 2006

Business

Business

CCI to scrutinise mergers, takeovers

Special Correspondent

NEW DELHI: Mergers, demergers and even takeovers that have intent to capture a large chunk of the market in any area of economic activities with ulterior motives attached to such moves will shortly be critically scrutinised by the Competition Commission of India (CCI) after it has adopted certain enforcement powers through modifications in the Act, said Vinod K. Dhall, Member-Administration, CCI, here on Thursday.

Inaugurating a conference-cum-interactive session on `Offences and penalties under company law — Effective and efficient implementation' organised by the Associated Chambers of Commerce and Industry of India (Assocham), Mr. Dhall said ground work was now going on within the Commission for introducing amendments in the Act and after it acquired complete functioning, the Commission would ensure that fair competition was allowed for all stakeholders of the open market economy within the rules of the game.

He said the Commission would also put in place a mechanism which will prevent spectacular and earthshaking collapses from happening as was noticed in some of the economies of scale so that rules of good corporate governance are not only complied with but are also abided by.

This would restore faith of shareholders and stakeholders of the corporate world, Mr. Dhall said.

Printer friendly page
Send this article to Friends by E-Mail

Business