Tuesday, August 31, 2010

FKCCI accused of abuse of dominance

'Reliance Big Pictures', which is Reliance Big Entertainment's motion picture brand, has approached the Competition Commission of India, alleging that the Federation of Karnataka Chambers of Commerce and Industry (FKCCI) has asked producers and distributors of movies to stop distributing prints to 'Big Cinemas', thereby abusing its dominant position in the Bangalore - Mangalore region. An earlier confrontation between the two bodies involved a ban on the distribution of the movies 'Raavan' and 'Raavanan'.

Reliance Big Pictures, led by Anil Ambani, will have to prove not only the facts alleged, but also show that the FKCCI does have a dominant position enabling it to influence producers and distributors so as to ensure non-distribution of prints to Big Cinemas. The CCI is yet to take a stand on the issue and may order an investigation based on preliminary findings.

Source: Business Standard, 30th August 2010