The Supreme Court on Friday rejected a plea by WhatsApp and Meta (parent company of Facebook) for stay on the investigation by the Competition Commission of India (CCI) into the alleged abuse of dominant position practices by the messaging platform in connection with its 2021 privacy policy.
A bench presided over by Justice M R Shah declined to interfere with the Delhi High Court’s order and allowed the regulator to proceed with its probe.
The court said that the CCI being an independent authority can consider any violation of the provisions of the Competition Act 2002.
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“Having prima facie opined that it is a case of violation of the 2002 Act and, thereafter, when the proceedings are initiated by the CCI, it cannot be said that the initiation of the proceedings of the CCI are wholly without jurisdiction," it said.
"The precedent of the Supreme Court has held that the proceedings before the CCI are required to be completed at the earliest. In view of the above, the CCI cannot be restrained from proceeding further with the enquiry/investigation for the alleged violation of the Competition Act. All the contentions available to the parties are kept open," the bench said.
Senior advocate Kapil Sibal, for WhatsApp, said the social media platform was not against any probe but no final orders should be passed by the CCI.
He also said CCI should be asked not to go ahead with the proceedings since a related privacy policy issue was being examined by the SC Constitution bench.
In view of the new Personal Data Protection Bill being introduced in the Winter Session of Parliament, CCI proceedings cannot go on and the issue is beyond the CCI’s purview, Sibal said.
He also claimed WhatsApp was not sharing any data.
Opposing the plea, Additional Solicitor General N Venkatraman contended that data with regard to the 2021 policy is with WhatsApp, and it is being used in a dominant way for their ads, resulting in possible abuse.