In a significant development in an Indian antitrust case, global delivery giant UPS is petitioning a court to overturn a decision that allows book publishers to cross-examine its executive in India. UPS contends that this move, made by the antitrust watchdog, amounts to “coercion” and is unjustified, especially since a prior investigation report found no evidence of price collusion among major courier firms like FedEx, UPS, Aramex, and DHL. The publishers’ body had alleged such collusion.
The Competition Commission of India (CCI) made the unusual decision in May to permit the Federation of Indian Publishers to directly interrogate courier executives. This deviates from standard antitrust proceedings in India, where such direct interrogation by complainants is uncommon. UPS argues that the CCI’s decision was made without providing adequate reasons for its necessity.
According to a filing by UPS Express Private Limited, the publishers’ planned cross-examinations are merely a “fishing and roving expedition” and should not be allowed, as it could undermine the three-year investigation that has already concluded that there was no wrongdoing. The company stated that it continues to cooperate with the CCI.
The case is scheduled for a hearing on November 24. This situation arises amidst a growing Indian courier and parcel delivery market, which is projected to expand significantly in the coming years, driven by the rise of online shopping. The potential for the case to be sent back to CCI investigators could introduce further complications for the logistics sector.
The CCI’s decision to allow cross-examination was reportedly based on the publishers’ argument that investigators had relied on oral submissions to clear the courier companies. The CCI has also ordered cross-examinations for executives from DTDC Express, DHL Express, FedEx, and Aramex, though these are pending.