CCP turns down banks'' plea

The Competition Commission of Pakistan (CCP) has turned down banks'' plea and upheld order of April 10, 2008, that Pakistan Banks Association (PBA) and seven other banks have entered prohibited agreements which effectively prevent, restrict and reduce competition.
According to a statement the grounds for appeal were categorised into four issues including certain procedural aspects, the CCP jurisdiction with regard to the banking sector, application of the competition ordinance and whether the CCP''s initiation of the case was in public interest as defined by the ordinance.
Without a merit-based argument, the appeal was time-barred due to PBA and banks initial appeal in Sindh High Court. The appeal to the high court was ultimately rendered infructuous by the Supreme Court and also placed the PBA and banks beyond the time limitation allowed for an appeal with the Commission itself. However, in the interest of justice, the CCP opted to allow the appeal and determined accordingly. The banks included Allied Bank Ltd, Atlas Bank Ltd, Habib Bank Ltd, MCB Bank, Saudi Pak Bank Ltd and United Bank Ltd.