UPSC Prelims Practice Questions — CCI imposes penalty on HP India and its certain resellers for indulging in anti-competitive practices in supply of Supplies products
Q1. The Competition Commission of India, which passed the July 2026 order penalising HP India and certain of its resellers, functions under the administrative control of which one of the following Union Ministries?
- A. Ministry of Commerce and Industry
- B. Ministry of Consumer Affairs, Food and Public Distribution
- C. Ministry of Corporate Affairs
- D. Ministry of Electronics and Information Technology
Q2. With reference to the order passed by the Competition Commission of India in July 2026 against HP India and certain of its resellers, consider the following statements:
1. A penalty of about ₹11.98 crore was imposed on HP India.
2. Sixteen resellers were penalised, with a combined penalty of about ₹2.30 crore.
3. The proceedings originated in a suo motu case taken up by the Commission, and not on a third-party information.
4. The penalty was imposed for abuse of dominant position under Section 4 of the Competition Act, 2002.
Which of the above is/are NOT correct?
- A penalty of about ₹11.98 crore was imposed on HP India.
- Sixteen resellers were penalised, with a combined penalty of about ₹2.30 crore.
- The proceedings originated in a suo motu case taken up by the Commission, and not on a third-party information.
- The penalty was imposed for abuse of dominant position under Section 4 of the Competition Act, 2002.
- A. 1 and 3
- B. 2 and 4
- C. 1, 2 and 4
- D. 4 only
Q3. In the Competition Commission of India's cartelisation order concerning the supply of print 'Supplies products' (toner, cartridges and consumables), which one of the following was held to have played the central, coordinating role in the cartel arrangement?
- A. HP India, the manufacturer at the apex of the reseller network
- B. The single largest reseller, which acted as the price leader for the others
- C. A registered trade association of print-consumable dealers
- D. The public-sector procuring entity that floated the tenders
Q4. Under the leniency regime of the Competition Act, 2002, an applicant seeking a reduction in penalty by making a full and true disclosure about a cartel must make the application under Section 46 to which one of the following?
- A. The Director General appointed under Section 16
- B. The Competition Commission of India
- C. The National Company Law Appellate Tribunal
- D. The Ministry of Corporate Affairs
Q5. The 'Lesser Penalty Plus' (LPP) mechanism, which incentivises an existing leniency applicant to disclose a second, hitherto unknown cartel, was first operationalised by which one of the following regulations?
- A. The CCI (Lesser Penalty) Regulations, 2009
- B. The CCI (Lesser Penalty) Regulations, 2024
- C. The CCI (Settlement) Regulations, 2024
- D. The CCI (Commitment) Regulations, 2024
Q6. With reference to the 'hub-and-spoke' provision introduced by the Competition (Amendment) Act, 2023, consider the following statements:
1. Before the amendment, the presumption of appreciable adverse effect on competition under Section 3(3) applied only to agreements between enterprises engaged in identical or similar trade.
2. The proviso inserted by the amendment presumes a person not engaged in identical or similar trade to be a party to the agreement if it participates, or intends to participate, in furtherance of such agreement.
3. The same amendment extended the settlement and commitment route to cartels falling under Section 3(3).
Which of the statements given above is/are correct?
- Before the amendment, the presumption of appreciable adverse effect on competition under Section 3(3) applied only to agreements between enterprises engaged in identical or similar trade.
- The proviso inserted by the amendment presumes a person not engaged in identical or similar trade to be a party to the agreement if it participates, or intends to participate, in furtherance of such agreement.
- The same amendment extended the settlement and commitment route to cartels falling under Section 3(3).
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q7. Under Section 8 of the Competition Act, 2002, the Competition Commission of India consists of a Chairperson and how many Members?
- A. Not less than two and not more than four Members
- B. Not less than two and not more than six Members
- C. Not less than three and not more than eight Members
- D. Exactly six Members
Q8. The enactment of the Competition Act, 2002 was accompanied by the repeal of which one of the following statutes, and the consequent dissolution of the Commission constituted under it?
- A. The Monopolies and Restrictive Trade Practices Act, 1969
- B. The Consumer Protection Act, 1986
- C. The Essential Commodities Act, 1955
- D. The Foreign Exchange Regulation Act, 1973
Q9. Where the Competition Commission of India takes up a matter on its own motion and forms a prima facie opinion that a contravention exists, the investigation into the matter is directed to be carried out by which one of the following?
- A. The Director General, appointed under Section 16 of the Competition Act, 2002
- B. The Serious Fraud Investigation Office
- C. The Registrar of Companies of the State concerned
- D. An Investigation Bench of the National Company Law Appellate Tribunal
Q10. With reference to the enforcement record of the Competition Commission of India as officially reported, consider the following statements:
1. In 2025, the CCI registered 54 cases of anti-competitive practices.
2. In 2025, the CCI received 149 merger (M&A) filings.
3. The CCI has not entered into any bilateral or multilateral Memorandum of Understanding with a foreign competition authority.
4. The CCI investigated 35 cartel cases across various sectors over the last five financial years.
Which of the above is/are NOT correct?
- In 2025, the CCI registered 54 cases of anti-competitive practices.
- In 2025, the CCI received 149 merger (M&A) filings.
- The CCI has not entered into any bilateral or multilateral Memorandum of Understanding with a foreign competition authority.
- The CCI investigated 35 cartel cases across various sectors over the last five financial years.
- A. 1 and 2
- B. 3 only
- C. 3 and 4
- D. 1, 2 and 4