Indian court sends notice to Zomato and CCI in antitrust investigation
The Delhi High Court has issued notices to food delivery giants Zomato and the Competition Commission of India (CCI) in an ongoing antitrust investigation.
The notices were aroused by a request from the National Restaurant Association of India (NRAI), whose debate kept it from investigations to exclude the secret ring ring.
The Confidential Ring was established in 2022 to protect sensitive information while allowing fair defense between relevant parties.
NRAI was initially included deportation by the CCI in October 2024.
The association claims that such exclusion undermines its ability to effectively defend itself and calls for a judicial review of Zomato’s confidentiality claims.
In court, Zomato’s lawyer defended NRAI’s dismissal, noting that the association represents competitive businesses.
Justice Sachin Datta, who presided over the case, has merged the NRAI’s plea into a similar case involving Swiggy, with the next hearing scheduled for April 23.
The court’s actions coincide with the CCI ruling, which found that Zomato’s platform and delivery fees did not equal abuse of major market position.
This marks the development of Zomato, which has been under review for nearly two years.
NRAI’s original complaint alleges that the FoodTech platform has an anti-competitive approach, including deep discounts, bundled services, premium commission rates, delayed payments, and unilateral contract terms for the restaurant.
In April 2024, NRAI gained limited access to the CCI investigation results under a confidential ring.
However, Zomato and Swiggy challenged this in the Karnataka High Court on the grounds that the potential “irreparable commercial harm” of disclosing sensitive information.
The court’s ruling in June 2024 led to a re-evaluation of the CCI and ultimately excluded the NRAI from the confidential ring in October 2024, prompting the association to seek remedies in the Delhi High Court.
Earlier this year, NRAI also considered separate legal lawsuits against these platforms, highlighting the growing tensions between the catering industry and food delivery services.
“Indian courts send notice to Zomato and CCI in antitrust investigation” was originally created and published by Dredict Food Service, a brand owned by GlobalData.
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