The Competition Commission of Pakistan has shown marked progress in enforcing competition law, significantly reducing its legal backlog and recovering substantial penalties over the past year. Since August 2023, when the new management assumed charge, the Commission has resolved 223 out of 567 pending court cases by actively pursuing early hearings and maintaining consistent follow-ups. This effort led to a reduction of over 40 percent in the overall backlog.
The most notable progress occurred in the Competition Appellate Tribunal, which decided 121 out of 210 cases, slashing pendency by 58 percent. The Lahore High Court resolved 39 cases, reducing its backlog by 78 percent, while the Sindh High Court disposed of 40 cases, cutting its load by 61 percent. The Islamabad High Court finalized 13 cases, reducing its caseload by 43 percent. At the Supreme Court, 11 cases were decided, and 171 cases challenging the CCP’s authority have now been merged into a single hearing.
These legal resolutions have enabled the Commission to enforce penalty recoveries more effectively. In just the past year, CCP recovered PKR 360 million in fines, a remarkable figure that exceeds the PKR 201 million recovered cumulatively since the Commission’s inception in 2007.
Among the most significant rulings was the Supreme Court’s decision in the Dalda Foods case, where the Commission’s powers under Section 36 of the Competition Act, 2010 were upheld. The court affirmed CCP’s authority to collect information and conduct inquiries without needing to provide detailed reasoning before initiating action, reinforcing the binding nature of CCP directives on companies.
In another key case concerning suspected cartelization in the poultry industry, the Lahore High Court supported CCP’s jurisdiction to investigate price-fixing practices. Justice Jawad Hassan emphasized that legal challenges to show-cause notices must first go through the Commission’s adjudication process rather than being directly brought before the courts, reinforcing CCP’s independence as a regulator.
A pivotal development that contributed to the rapid disposal of cases was the revival of the Competition Appellate Tribunal, following the appointment of Justice Sajjad Ali Shah as Chairman, along with Dr. Faiz Elahi Memon and Asim Akram as members. Under their leadership, the tribunal has decided 121 cases, leaving 89 still pending, and has delivered rulings that both clarified legal principles and adjusted penalties where necessary.
Among the significant tribunal decisions were the upholding of fines on companies such as Reckitt Benckiser (Strepsils), the Pakistan Vanaspati Manufacturers Association, the Institute of Chartered Accountants of Pakistan, and British Lyceum. Meanwhile, penalties were reduced for entities including PREMA Milk, Diamond Paints, 3N Lifemed, and Pakistan Steel Mills. In the high-stakes Sugar Mills cartel case involving Rs 44 billion, the tribunal sent the matter back to the Commission after ruling that the casting vote by the CCP Chair was invalid.
