THE AIR CARGO AGENTS ASSOCIATION OF INDIA Vs. INTERNATIONAL AIR TRANSPORT ASSOCIATION (IATA) AND ORS.
LAWS(COCI)-2015-6-2
COMPETITION COMMISSION OF INDIA
Decided on June 04,2015

The Air Cargo Agents Association Of India Appellant
VERSUS
International Air Transport Association (Iata) And Ors. Respondents

JUDGEMENT

- (1.) Order under section 26(6) of the Competition Act, 2002.
(2.) THE information in the instant case was filed by Air Cargo Agents Association of India (hereinafter, the 'Informant'/'ACAAI') under section 19(1)(a) of the Competition Act, 2002 (hereinafter, the 'Act') against International Air Transport Association (hereinafter, the 'Opposite Party No. 1'/'IATA') and International Air Transport Association (India) Pvt. Ltd. (hereinafter, the 'Opposite Party No. 2'/'IATA India') [collectively hereinafter, the 'Opposite Parties'] alleging, inter alia, contravention of the provisions of sections 3 and 4 of the Act. Facts As per the information, the Informant is the national association of air cargo agents in India; having 278 active members, 298 associate members, 42 allied members and 9 commercial members. It works to safeguard the interest of its members and provides professional assistance and guidance to its members and various government authorities connected with the international air cargo transportation industry. The Opposite Party No. 1 was initially formed in 1919 at Hague by 57 operating airlines as a trade association. Its name was changed through incorporation in Havana in 1945. Later on, it was incorporated as a non -profit company registered in Canada on 18.12.1946 through a Special Act. The Opposite Party No. 1 also has its presence in India in the form of Opposite Party No. 2;a registered private limited company incorporated under the Companies Act, 1956 and a wholly owned subsidiary of the Opposite Party No. 1. The relationship between the members of the Informant and the Opposite Party No. 1 is such that the members of the Informant i.e., cargo agents are to be accredited to IATA in order to do business of international air cargo transportation services of IATA airlines in India.
(3.) IT is alleged that the Opposite Party No. 2 unilaterally prescribes the regulatory system assuming to itself the regulatory power for registering, accrediting and regulating the engagement of cargo agents by the airlines in India. It is alleged that without any authority, the Opposite Party No. 2 runs the licensing system for the IATA registered cargo agents by virtue of its 'Resolutions 801',inter alia, prescribing various registration and accreditation requirements for the Indian cargo agents and also enforcing many financial terms and conditions on cargo agents in India who are the members of the Informant.;


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