Question

Choose the correct option based on the statements below:
(1) Previously, penalties for anti-competitive behavior in India were based on the percentage of the entity's global turnover.
(2) After a recent amendment of Competition Act, the Competition Commission of India (CCI) is now authorized to penalize entities engaged in anti-competitive behavior based on their domestic turnover.

• A. Only (1) is true
• B. Only (2) is true
• C. Both (1) and (2) are true
• D. Both (1) and (2) are false

Hint:

In Competition Law, \textbf{penalty calculation} is based on domestic turnover to avoid excess penalties on global companies.
Read amendments carefully to distinguish between new provisions and codification of existing practices.

Answer 1

The Correct Option is D

- Statement (1) is false: The Competition Commission of India (CCI) has always calculated penalties based on domestic turnover, not global turnover.
- Statement (2) is also false: The recent amendment reinforced the same principle and introduced structured guidelines but did not newly authorize penalties based solely on domestic turnover.