CAIT further said that Amazon’s claim that CCI does not have the power to revoke the approval given to Amazon’s investment into Future Coupons, is wrong. The statement from CAIT comes after a Reuters report said that Jeff Bezos-led Amazon has written to the antitrust body saying that its investment in FCL was compliant with foreign investment laws, and scrapping the deal will be anti-competitive.
According to the report “the power to revoke an approval is a drastic power and is not available to a statutory authority unless expressly provided.” Responding to the claim, the traders’ body asked why Amazon had not brought up the claim in any of the recent court hearings. “It’s an afterthought just to get the matter escaped from CCI,” it said.
CAIT has accused Amazon of not revealing its strategic interest in Future Retail while seeking approval for the deal. The traders’ body also mented extract from an “email” purportedly sent by Amazon India official Rakesh Bakshi to Bezos. The email talks about Amazon gaining shares in Future Retail through the Future Coupons deal.
According to a 60-page confidential document seen by Reuters, Amazon also said that revocation of the 2019 deal between Amazon and FCL is “bound to send a message to foreign investors that the economy and regulatory landscape of India are still not developed enough to provide stability and certainty to foreign investments”.
Amazon further claimed that Future’s aim ‘to unwind the investment’ to allow Reliance to consolidate its position ‘will further restrict competition in the Indian retail market’