DIRECTOR GENERAL OF INVESTIGATION AND REGISTRATION Vs. HAWKINS COOKERS LTD

JUDGEMENT

(1.) Hawkins Cookers Limited (respondent hereafter) is facing this enquiry for restrictive trade practices falling under Sec.33 (1) (e) and Sec.33 (1) (f) of the MRTP Act, 1969 (Act for brief ). The enquiry commenced with an application filed by the Director General (Investigation and Registration) (DC for short) under Sec.10 (a) (iii) of the Act. The facts in brief as narrated in the application of the DG are as follows :

(2.) The respondent is a Public Limited Company registered under the Companies Act, 1956 and is engaged in the manufacture, distribution and sale of Hawkins Cookers, Idli stand and spare parts, etc. For the purpose of sale and distribution of the aforesaid products and spare parts, the respondent appointed dealers and issued circulars and price lists to them from time to time, containing the terms and conditions of sale including discounts and incentives.

(3.) In terms of the circulars issued by the respondent, discounts, incentives and bonus were made available by the respondent to the dealers based on certain sales targets. The DG has alleged that discounts, incentives and bonus are restrictive trade practices attracting Sec.33 (1) (e) of the Act. Furthermore, the price lists issued by the respondent to the dealers do not stipulate that prices lower than those indicated therein can be charged by the dealers. The DG has alleged that this constitutes restrictive trade practices attracting Sec.33 (1) (f) of the Act.