DDA to come under CCI scanner

Following a complaint against DDA for abusing its market dominance, CCI has ordered the director general to investigate the matter

GN Bureau | September 11, 2013



After a series of investigations into the functioning of private real estate companies, the fair trade regulator will now be investigating the Delhi Development Authority for abuse of dominance in the residential properties market.

It has been alleged that DDA’s agreements were lopsided and interests of the flat buyers had been ignored.

“Having examined the complaint filed against DDA, we have asked our investigating arm the director general to probe the case,” said a senior CCI official.

The matter will be probed under Section 4 of the Competition Act, 2002 which pertains to abuse of dominance.

In the recent times, a number of complaints have been filed against real estate companies for operating unfairly in the market. While in January, the competition watchdog directed realty major DLF to modify its builder-buyer agreements, the commission is also hearing a case against the Jaypee Group for abusing its market dominance.
 

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