The Ministry of Corporate Affairs has issued 3 Notifications bearing Reference Nos. S.O. 673(E), S.O. 674(E) and S.O. 675(E), all dated 4-3-2016. The following are exempted from the application or operation of Section 5 of the Competition Act, 2002 for a period of five years, from the date of the Notifications:
- A ‘Group’ exercising less than 50 per cent of voting rights in other enterprise; and
- an enterprise, which has assets of a maximum of Rs. 350 Crore in India or has a turnover of a maximum of Rs. 1000 Crores in India and whose control, shares, voting rights or assets are being acquired.
Further, the Ministry, in consultation with the Competition Commission of India, has increased the value of assets and turnover, on the basis of wholesale price index, by 100% for the purposes of Section 5 of the Act. It may be noted that Section 5 of the Act deals with regulation relating to Combinations.