DELHI: Fair trade regulator CCI has dismissed the allegations of abuse of dominant position against two realty companies -- SG Estates Ltd and SKI View Hotel -- with respect to development of a commercial real estate project in Vasundhara in Ghaziabad region.
As per the complaint by two residents of Vasundhara, both the firms imposed one sided unfair terms in the purchase agreement and sale deed for an office space at a commercial complex developed by them, charged higher price for maintenance and abused their dominant market position, among others.
In an order dated January 2 and made public today, the Competition Commission of India (CCI) said that SG Estates and SKI View Hotel "do not appear to be in a dominant position in the relevant market and there was no question of abuse of dominance".
"As such, the Commission finds that no prima facie case was made out for directing Director General to carry out investigation into the matter under ... (Competition) Act," it added.
According to CCI, SG Estates and SKI View Hotel were not in a dominant position as other well-known builders "have a substantial presence in the commercial property segment in Ghaziabad".
The regulator observed that certain builders appeared to be competitors and bigger than the two companies in terms of size and resources.
In a separate order, CCI has rejected the allegation against Cravatex that it abused dominant position in the market of 'sale of Treadmills'
The Commission is of the view that "prima facie Opposition Party (Cravatex) is not a dominant player in the relevant market and the question of abuse (under relevant section of the Act) would, therefore, not arise."
Consequently, CCI closed the case against Cravatex. According to the CCI order, one Shyam Lal Gupta, in his complaint, did not provide data to suggest that Cravatex held a dominant position in the relevantmarket of motorised tread mill machine in India.