KARACHI: The Competition Commission of Pakistan (CCP) is fighting for survival as vested groups have joined hands in an unholy alliance.

Chairman of the CCP, Mr Khalid Mirza, told Dawn that such powerful lobbies are striving to achieve their objectives in either one of two ways: One by diluting the Law (Competition Ordinance) so as to make it meaningless and Two to weaken the Commission so as to make it toothless.

A lawyer from Lahore interested in the developments mused that two opportunities would present themselves in the coming months to the groups unhappy with the Commission.

The Ordinance was to lapse on Nov 28 last year, unless passed by the Parliament. Since the house was not in session, President Zardari re-promulgated it on Nov 27, which was then approved by the Parliament on Jan 27 this year.

The standing committee of the Upper House is currently deliberating on the Ordinance and in case they are unable to finish the work and Parliament to re-promulgate the Ordinance by March 26, it would lapse.

The uproar caused by the media and the consumer and business forums had forced the President’s hand to sign the re-promulgated Ordinance a day before Eid-ul-Azha, on Nov 27.

Many wonder if those sections of society would again come to the rescue, in case legislators find it convenient to let the law lapse.

The lobbies and cartels would have another chance to strike back at the CCP when the tenure of the hawkish chairman of the Commission Khalid Mirza ends in July.

There were slim chances of his re-appointment and lobbies would have good reason to get rid of Mirza, who would turn 65 this summer.

“A non descript bureaucratic filling the post will be easy to tame,” said one observer.

The CCP under Khalid Mirza has acted against a wide spectrum of alleged cartels engaged in monopolistic and unfair trade practices. Some, fresh in public memory include the cement; sugar; banks; stock exchanges; newspapers; chartered accountants; cellular companies and milk producers.

Interestingly, while the raids conducted on the offices of various such associations by the CCP have made headlines, and the commission had imposed millions of rupees in fine, collection of money has been all but scarce.

“Not a penny,” says Mr Khalid Mirza, the reason being that everyone caught and charged runs to the courts.

The competition law provides mechanism of appeal against the commission’s orders to the Supreme Court. Now the parliament is being asked to amend the law, allowing filing of appeals before high courts. The CCP chairman is sarcastic. He argues that relief to consumers against cartels could end in a sour dream.

An appeal to the Supreme Court could take around four years for the verdict.

If cartels succeed in seeking parliament’s approval allowing the alleged parties to turn to provincial courts, history shows that those courts do not ‘work in haste’ and often take 10 or more years before delivering a judgment!
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