CCI investigated 35 cartelisation cases across sectors in five years

The Union Ministry of Corporate Affairs, in response to a question in the Lok Sabha, disclosed that the Competition Commission of India (CCI) has investigated 35 cartelisation cases over the past five years. .The question, raised by Mukeshkumar Chandrakaant Dalal, sought clarity on sector-wise investigations, international agreements, monitoring mechanisms and measures to protect small businesses and startups from anti-competitive practices..The breakdown of cases is as follows:Civil Aviation: 1 casePower: 1 caseCoal: 2 casesFinancial Services: 2 casesIron & Steel: 2 casesRailway: 4 casesHealth & Pharma: 5 casesMiscellaneous: 18 casesThe highest number of cases were reported in the miscellaneous category, followed by the health and pharmaceutical sectors..In March 2025, the CCI conducted raids on several major advertising agencies, including GroupM, Publicis, Dentsu and Interpublic's IPG Mediabrands, as well as the Indian Broadcasting and Digital Foundation (IBDF) over allegations of cartelisation and price fixation. These actions were initiated based on tip-offs received under the CCI's leniency program, which offers reduced penalties for companies that provide evidence of anti-competitive practices.The raids involved extensive searches, including scrutiny of emails and cloning of evidence from mobile phones, and continued past midnight. If found guilty, the implicated agencies could face penalties of up to three times their profit or 10% of their turnover for each year of wrongdoing..The response highlighted the Commission's efforts to address cross-border cartelisation through bilateral and multilateral agreements. According to the response, the CCI signed Memoranda of Understanding (MoUs) with several countries and regions, including Egypt, Mauritius, Japan, BRICS nations (Brazil, Russia, China, and South Africa), Canada, the European Commission, Australia and the United States Department of Justice. These agreements focus on cooperation in competition law enforcement, subject to the legal frameworks and resources of the respective parties.Additionally, India has signed 14 Free Trade Agreements (FTAs) with its trading partners, some of which include specific chapters on competition. These provisions aim to curb anti-competitive activities and facilitate smoother trade and investment flows, the reply stated..The response noted that CCI has established a dedicated division for trend analysis and sectoral research to identify and address anti-competitive practices. This division plays a crucial role in detecting cartelisation and ensuring a holistic view of market dynamics.According to the response, to safeguard small businesses and startups from the adverse effects of cartelisation by dominant market players, the government introduced the "lesser penalty plus" (LPP) mechanism under the Competition (Amendment) Act, 2023. This provision incentivises companies involved in cartels to disclose information about other undisclosed cartels, thereby aiding the CCI in widening its investigations.Furthermore, the amendment incorporated the "Hub & Spoke" mechanism, which presumes the involvement of entities in cartel agreements even if they are not directly engaged in similar trade but participate in furthering such agreements..[Read response]