Senate body told: Nearly 200 cases related to cartelisation pending before SC

ISLAMABAD: The Senate Standing Committee on Finance and Revenue was informed on Wednesday that nearly 200 cases related to cartelisation and abuse of dominant position are pending before the Supreme Court of Pakistan for several years. The long-pending cases involve key economic sectors such as cement, sugar, power, poultry, oil and gas, food and beverages, and medical diagnostics.

The committee, chaired by Senator Saleem Mandviwalla, convened to review the performance of the Competition Commission of Pakistan (CCP).

Mandviwalla directed the CCP to check cartelization in cement and steel sectors. “The cement sector itself admitted that manufactures are collectively involved in price fixation,” he said.

The Committee also discussed the Government Bill titled “The Virtual Assets Bill, 2025.” Senator Afnan Ullah Khan informed that a bill encompassing the same subject had been submitted by him in the Senate and was currently in process, but the government came up with a bill carrying the same content. The Committee directed the Secretary Law and Justice to review the soft copy shared by Senator AfnanUllah Khan during the Committee meeting and submit a comparison thereafter in the next meeting.

CCP Chairman Dr Kabir Ahmed Sidhu briefed the committee that through active litigation follow-up and legal restructuring over the past year, the number of pending cases had been reduced from 567 to 280. The expedited proceedings not only cleared backlog but also resulted in the recovery of Rs 449 million in fines.

He highlighted that upon assuming charge, the current CCP leadership had inherited a serious backlog of more than 567 cases, worsened by the Commission’s inactivity due to the absence of a quorum since March 2022. These cases were spread across multiple forums: Supreme Court (211), Competition Appellate Tribunal (210), Islamabad High Court (30), Lahore High Court (50), and Sindh High Court (66).

The Commission’s proactive legal approach led to the highest number of judicial disposals in a single year. A total of 224 cases were decided across different forums: 121 by the Competition Appellate Tribunal (CAT), 40 by the Sindh High Court, 39 by the Lahore High Court, 13 by the Islamabad High Court, and 11 by the Supreme Court.

The CCP further informed the committee that in the past year, 20 inquiries into cartelisation and abuse of dominance and 18 inquiries on deceptive marketing practices were completed. Following show-cause proceedings, the Commission passed 14 enforcement orders, imposing penalties exceeding Rs 1 billion.

Dr Sidhu also informed that the Commission’s Market Intelligence Unit had identified 193 potential cases of cartelisation and deceptive marketing. In addition, the CCP approved 117 mergers and acquisitions, facilitating foreign direct investment worth Rs 29 billion into Pakistan.

Senior committee member Senator Farooq H Naik observed that the CCP had fulfilled its mandate effectively and emphasized that it was now the responsibility of the government and the Attorney General’s office to ensure speedy resolution of the pending cases in courts.

To a query, CCP Chairman said that it was not the mandate of the CCP to monitor prices of items, but to check cartelisation in different sectors.

The committee directed the Law Secretary to extend full cooperation to the CCP for early hearings of its pending cases.

Law Secretary Raja Naeem informed the committee that of the 200 cases currently before the Supreme Court, 167 cases—primarily challenging the jurisdiction of the Commission—have been clubbed together and referred to a constitutional bench, with hearings expected to commence in September.

The committee members also instructed the CCP to step up action against cartelization in the cement and sugar sectors, which continue to pose serious challenges to fair competition. They lauded the Commission’s recent performance, particularly its success in reducing the judicial backlog and imposing record penalties on anti-competitive practices.

Reaffirming their confidence in the regulator, the committee members assured their full support, stressing that the Senate Committee stands firmly behind the CCP in its mission to dismantle cartels, curb monopolistic practices, and foster a competitive economy in Pakistan.

Copyright Business Recorder, 2025