Corporate entities to provide details of accounts and practices: proposed competition commission vastly empowered

The proposed 'Competition Commission' would be empowered to seek detailed information pertaining to accounts, management and business and trade practices, etc, from corporate entities for carrying out investigation.
Sources told Business Recorder on Sunday that the 'Commission' would be empowered to promote fair competition in all sectors of commercial and economic activities by applying 'competition advocacy'.
The proposed 'Competition Act, 2007' lays down functions and powers of the 'commission'. It would be empowered to initiate proceedings in accordance with the procedures, and make orders in cases of flouting provisions of the 'Act'.
The 'commission' would be empowered to conduct inquiries into the affairs of any undertaking, as may be necessary, and give advice to the undertakings asking of the same as to whether any action proposed to be taken by such undertakings is consistent with the provisions of 'Competition Act, 2007' or orders made thereunder.
The 'commission' may, subject to such conditions as it may think fit to impose, delegate all or any of its functions and powers to any of its Members or officers at it deems fit.
Sources said that the 'commission' would promote competition through advocacy, which, among others, would include creating awareness and imparting training about competition issues and taking such other actions as may be necessary for the promotion of a competitive culture.
It would be empowered to review policy frameworks for fostering competition and making suitable recommendations for amendments in the law that affect competition in the country.
It would be empowered to hold open hearings on any matter affecting the state of competition in Pakistan or affecting the country's commercial activities and expressing publicly an opinion with respect to the issue and posting on its website all decisions made, inquiries under review and completed, merger guidelines, educational material, and the like.
The proceedings, in cases of contravention, where the 'commission' would be satisfied that there had been or was likely to be, a contravention of any provision of Chapter II, it may make one or more of such orders specified in section 31 as it may deem appropriate. The 'Commission' may also impose penalty at rates prescribed in section 38, in all cases of contravention of the provisions of Chapter II.
Before making an order, the 'commission' would give notice of its intention to make such order stating the reasons therefor to such undertaking as may appear to it to be in contravention and give the undertaking an opportunity of being heard on such date as may be specified in the notice and of placing before the commission facts and material in support of its contention. Provided that in case the undertaking does not avail the opportunity of being heard, the 'Commission' may decide the case ex parte. The 'commission' would publish its orders in the official Gazette, for the information of the public.
The 'commission' may, in the case of an abuse of dominant position, require the undertaking concerned to take such actions specified in the order as may be necessary to restore competition and not to repeat the prohibitions or to engage in any other practice with similar effect.
Where, during the course of any proceeding, the 'commission' is of the opinion that the issue of a final order in the proceedings was likely to take time and that, in the situation that exists or is likely to emerge, serious or irreparable damage may occur and an interim order is necessary in the public interest, it may, after giving the undertaking concerned an opportunity of being heard, by order, direct such undertaking to do or refrain from doing or continuing to do any act or thing specified in the order.
An order made may, at any time, be reviewed, modified or cancelled by the 'Commission' and, unless so cancelled, shall remain in force for such period as may be specified therein, but not beyond the date of the final order made.
Under the 'Competition Act, 2007', powers of the 'commission' in relation to a proceeding or enquiry have been specified. The 'commission' would, for the purpose of a proceeding or enquiry, have the same powers as are vested in a civil court under the Code of Civil Procedure, 1908 (Act V of 1908), while trying a suit, in respect of the following matters: Summoning and enforcing the attendance of any witness and examining him on oath; discovery and production of any document or other material object producible as evidence; accept evidence on affidavits; requisitioning of any public record from any court of office and issuing of a commission for the examination of any witness, document or both.
Any proceeding before the 'Commission' would be deemed to be a judicial proceeding within the meaning of section 193 and 228 of the Pakistan Penal Code (Act XLV of 1860), and the 'Commission' would be deemed to be a civil court for the purposes of section 195 and Chapter XXXV of the Code of Criminal Procedure, 1898 (Act V of 1898).
The Commission may, for the purpose of a proceeding or enquiry under this 'Act', require any undertaking to produce before, and to allow to be examined and kept by, an officer of the Commission specified in this behalf, any books, accounts, or other documents in the custody or under the control of the undertaking so required, being documents relating to any matter the examination of which may be necessary.
The commission may require undertaking to furnish to an officer so specified such information in its possession relating to any matter as may be necessary for the purpose of 'this Act'.