Supreme Court Transfers Amazon and Flipkart Antitrust Probe Cases to Karnataka High Court

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The Supreme Court of India has recently made significant decisions regarding the antitrust probe against Amazon and Flipkart. The Competition Commission of India (CCI) initiated an investigation in January 2020, alleging that Amazon and Flipkart engaged in anti-competitive practices such as deep discounting, preferential treatment of certain sellers, and exclusive tie-ups with smartphone manufacturers like Samsung and Vivo. These practices were accused of creating high entry barriers for other sellers and potentially violating competition laws.

In response to the CCI's investigation, Amazon and Flipkart filed petitions in various high courts, including those in Delhi, Karnataka, Telangana, Madras, Punjab & Haryana, and Allahabad, challenging the CCI's orders. The CCI sought to consolidate these cases in either the Supreme Court or the Delhi High Court to streamline the proceedings and address the legal challenges more effectively.

The Supreme Court, however, decided on December 16, 2024, to transfer all pending cases related to the CCI probe against Amazon and Flipkart to the Karnataka High Court. This decision was influenced by the attorney general's submission that the CCI had no objection to the Karnataka High Court handling the matter. The Supreme Court has instructed the Karnataka High Court not to proceed with the hearing on these petitions until January 6, 2025.

This development provides temporary relief to Amazon and Flipkart, as the hearing on their petitions against the CCI probe has been halted. The Karnataka High Court will now be responsible for consolidating and hearing all cases related to this investigation, which is expected to bring more clarity and efficiency to the legal proceedings.