Following a complaint made by a Defence Officers Housing Authority Islamabad-Rawalpindi (DHA) resident, the Competition Commission conducted an inquiry into discriminatory practices that the DHA had allegedly undertaken against Nayatel (Private) Limited in respect of the provision of cable internet and telephony services.

The DHA had allegedly refused to facilitate Nayatel's installation of its infrastructure for the provision of cable internet and telephony services and issued a no-objection certificate. As a result, DHA residents were forced to subscribe to the cable internet and telephony services provided by Pakistan Telecommunication Company Limited or DHA Teleman (a subsidiary of DHA).

The Competition Commission carried out a detailed investigation. After reviewing the evidence (comprising the correspondence exchanged between the two parties with regard to the provision of cable internet and telephony services in the location concerned) the inquiry committee found that the DHA held a dominant position in the relevant market and had abused this position by effectively and constrictively refusing to deal with Nayatel. Further, the DHA had imposed discriminatory conditions without any objective justification. Accordingly, the inquiry report recommended the issuance of a show cause notice against the respondents.

For further information on this topic please contact Sanaya F Vachha at Vellani & Vellani by telephone (+92 21 3580 1000) or email (sanaya.vachha@vellani.com). The Vellani & Vellani website can be accessed at www.vellani.com.

This article was first published by the International Law Office, a premium online legal update service for major companies and law firms worldwide. Register for a free subscription.