CCI DG Inquiry Compliance Checklist 2018 | Regulation 46A Advocate Rules and Best Practices

Competition Law
CCI DG Inquiry Compliance Checklist 2018 | Regulation 46A Advocate Rules and Best Practices

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Background and Context

After the CCI General Amendment Regulations 2018 came into force, every company must update its competition law compliance. The new Regulation 46A has changed how we handle DG inquiries. If you get a summon from the Director General, you cannot just walk in with a lawyer. There is a process. This blog gives a practical checklist that companies can follow. The first step is to read the summon carefully. Note the name of the person summoned, date, time and place. Identify if it is a director, employee or company secretary. Once you know who is going, decide if you need an Advocate.

The second step is to engage an Advocate immediately. Do not wait till the last day. Competition law is technical. You need a lawyer who knows CCI procedures. Once engaged, ask the lawyer to prepare a Vakalatnama. The third step is to file the written request. The regulation says the request with Vakalatnama must be submitted to the DG before the proceedings start. Keep a copy with stamp and date. Without this, the Advocate will be stopped at the door.

The fourth step is to brief the Advocate. Tell him the three restrictions. He cannot sit in front. He cannot be in hearing distance. He cannot talk to the client during examination. His role is only to observe. After the session, he can discuss. The fifth step is to prepare the witness. The person going for inquiry must know what to expect. Conduct an internal session. Explain that he will be examined on oath. He must answer truthfully. The Advocate cannot help him in the room. The sixth step is to maintain discipline. Both the witness and Advocate must behave properly. No arguments with DG. No gestures or signals. If there is misconduct, the DG can complain. The result can be debarment for the Advocate and adverse inference for the company.

The seventh step is post inquiry. Take notes of what was asked. Preserve all documents given to DG. Inform the board. Plan for next steps. DG inquiry can lead to investigation report and then order from CCI. There are common mistakes companies make. One is filing Vakalatnama late. Second is assuming the Advocate can sit next to the employee. Third is not training staff. Fourth is ignoring the risk to the Advocate. The compliance officer and legal head must own this process. Create an SOP for DG inquiries. Keep draft templates ready. Do training every quarter. This will reduce panic when a real summon comes.

Conclusion

Regulation 46A of CCI General Amendment Regulations 2018 is clear. You can have a lawyer but with limits. Follow the checklist. File papers on time. Brief everyone. Maintain conduct. If you do this, DG inquiry will not become a problem. It will become part of normal regulatory process. Compliance today will save trouble tomorrow.

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