The Supreme Court on Wednesday allowed the Competition Commission of Pakistan (CCP) to proceed against Jamshoro Joint Venture Limited (JJVL) and LPG Association of Pakistan (LPGAP), according to its earlier verdict, barring the Commission to pass any adverse order in this regard.
Earlier, the CCP had taken suo motu notice of the matter, keeping in view the importance of LPG to the energy sector and the potential effects of anti-competitive activities on ordinary consumers. In this regard, the Commission had issued show-cause notices to JJVL and LPG Association of Pakistan (LPGAP) under Section 30 of the Competition Ordinance, 2007 for allegedly abusing their dominant position in the LPG supply market and for forming a cartel with the aim of fixing LPG prices and keeping out importers/competitors from the market.
The findings of the inquiry report had suggested that JJVL and LPGAP had abused their dominant position by creating conditions aimed at excluding importers from competing in the relevant market, thereby violating Section 3(1) of the Ordinance.
However, JJVL and LPGAP approached LHC for interim relief, which was granted. Later on, the apex court had vacated the stay order. A three-member bench of the apex court comprising Chief Justice Iftikhar Muhammad Chaudhry, Justice Sardar Mohammad Raza Khan and Justice Nasirul Mulk heard the case. Muhammad Qayyum represented the CCP whereas Dr Parvez Hassan appeared before the court as counsel for JJVL.
Chief Justice Iftikhar Muhammad Chaudhry asked the counsel for JJVL to explain why his client had filed an application for interim injunction at LHC in presence of an apex court order. At Dr Hassan's failure to satisfy the court the Chief Justice expressed displeasure on filing an application for stay order. The Court directed CCP to complete the proceedings as per its earlier order, adding that in case any adverse order is passed, CCP will not recover the penalties imposed by it till final disposal of writ petitions.