| Citation(s) |
|---|
| 2018 SLG 468 2018 SLD 468 2018 CLD 292 |
F. No. 81/DRL/C&TA/CCP/2016, decision Date : 15-12-2017, hearing Dates: 19th, 27th January, 21st February, 2nd, 6th, 13th March and 25th April, 2017.
Syed Ahmad Hassan Shah, Advocate Supreme Court, Badar Iqbal Chaudhary, Hasan Kaunain and Nafees (HKN), Hashir Jan, CEO, Isphandyar Tajammal Awan, Director (Legal) and Mian Wajid Ali, Project Officer on behalf of Mr. Digital Research Labs (Pvt.) Limited. Tariq Hassan, Advocate Supreme Court, Bulent Sohail, Ms. Zarmeeneh Rahim, Hassan and Hassan (H&H), Shakeel Ahmed, GM (IT), Hussain Masood, C.O.O. and Mahmood-ur-Rehman, CFO on behalf of Mr. Utility Stores Corporation of Pakistan (Pvt.) Limited.
UTILITY STORES CORPORATION OF PAKISTAN (PVT.) LIMITED: IN THE MATTER OF
Law:
Section: 3,30,37
Competition Act (XIX of 2010)--- ----Ss. 3, 30 & 37---Abuse of dominant position---Undertaking, floated an advertisement, whereby a "Request for Proposal" RFP was issued for the purchase/procurement of "Enterprise Resource Planning" ERP software and related hardware implementation service---Complainant had impugned the "Request for Proposal" on the grounds that through certain clauses in the "RFP", unfair terms and conditions had been imposed, thereby excluding, discriminating and restricting fair participation of local vendors, including the complainant, in the bidding process---Complainant had further alleged that the 'RFP' was tailor-made, so as to select only a specific international vendor; which directly or indirectly, excluded local vendors including the complainant from the market---Undertaking in question was a public sector organization operating and managing a retail chain of about 6,000 stores across Pakistan and fell within the purview of a term "undertaking"---Commission, found that the undertaking 'ERP' software and related equipment, were highly unlikely to be substitutable for other markets and businesses---Undertaking was a dominant one in the relevant market, as it had the ability to work upto an appreciable extent independently of its competitors, customers, consumers or suppliers---Undertaking had a sufficient degree of market power to either adversely affect competition or distort competitive dynamics of the relevant market and had significant market power, while enabled it to favour one or more suppliers over the others---Undertaking had a retail network of around 6,000 stores with annual revenue of approximately sixty billion of rupees, which made it the single largest retail network dealing in household items targeting the lower strata of consumers across the country---Said undertaking also availed direct or indirect State subsidies on regular basis---In presence of valid procurement contract, no other vendor of 'ERP' software would be bidding for the same project and most probably could not even supply after value added services required by the undertaking---Undertaking would continue to have a dominant position in the relevant…
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