CCI imposes penalty upon Karnataka Film Chamber of Commerce(KFCC), Karnataka Television Association (KTVA) and Kannada Film Producers

Consequent upon detailed investigation by the Director General, the Commission concluded that the KFCC,KTVA and KFPA ,were involved in the practice of preventing the release /telecast of dubbed Films/TV serials in the State of Karnataka. The Commission further found that the prohibition on the exhibition of dubbed content, both  films and /or TV programmes, prevents the competing parties in pursuing their commercial activities. These association urged that the dubbed content destroys the local language and culture and deprives the local artists of the opportunities .The Commission found no merit in the  justification offered by these erring associations and they were found to be indulging in anti competitive conduct in contravention to the Section 3 of the Competition Act.

Accordingly the Commission directed KFCC, KTVA and KFPA  to cease and desist from  indulging in practices which were found to be anti- competitive. The Commission took  note of  its early orders against KFCC where it was found to be acting in an anti –competitive manner. Considering the recurring violation of the provisions of the Act and the complete disregard to the competition law principles by KFCC , the Commission imposed a penalty of  ₹ 16,82,204/-(Rupees Sixteen lakh eighty two thousand two hundred and four only)-calculated at the rate of  10% of its average income on KFCC.

Further penalty of  ₹ 1,74,293/-(Rupees One Lakh Seventy Four Thousand two hundred and ninety three only ) and ₹ 1,68,124/-(Rupees one lakh sixty eight thousand one hundred and twenty four only)-calculated at the rate of 8% of the average income of KTVA and KFPA , respectively, were imposed on them.

The order of the Commission  dated 27/7/2015 has been  uploaded on its website www.cci.gov.in.