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CCI Investigates Star India For Discriminatory Pricing, Refuses Interim Relief To Complainant: Khaitan & Co.

CCI Investigates Star India For Discriminatory Pricing, Refuses Interim Relief To Complainant: Khaitan & Co. Analysis

<div class="paragraphs"><p>A technician points towards television monitors in a control room. (Photographer: Kostas Tsironis/Bloomberg)</p></div>
A technician points towards television monitors in a control room. (Photographer: Kostas Tsironis/Bloomberg)

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Khaitan & Co. Update

On February 28, 2022, the Competition Commission of India directed the Director General to investigate Star India Pvt. Ltd., Disney Broadcasting (India) Ltd., and Asianet Star Communications Pvt. Ltd. for charging discriminatory prices from distributors for its bouquet of indispensable TV channels in Kerala.

Asianet Digital Network Pvt. Ltd (informant) had filed an information against Star India, Disney India, and Asianet Star on January 31, 2022, alleging anti-competitive conduct.

It was alleged that Star India was offering higher and discriminatory discounts in the form of promotion and advertisement payments (through marketing agreements) to the informant’s competitor, Kerala Communicators Cable Ltd.

The informant submitted that the discounts offered to KCCL breached the caps imposed by the Telecom Regulatory Authority of India through its regulations, under which broadcasters cannot offer discounts to distributors above a certain percentage and must offer them on fair, transparent, and non-discriminatory terms to all distributors.

The CCI opined that Star India’s conduct prima facie amounted to discriminatory pricing and denial of market access. On interim relief, the CCI concluded that the Informant failed to satisfy any of the parameters for granting interim protection.

Click on the attachment to read the full report:

Khaitan & Co - CCI investigates Star India for discriminatory.pdf

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