FPBAI Penalized for Unfair Business Practices

New Delhi, Jul 1 (PTI) Competition Commission has penalised the Federation of Publishers' and Booksellers' Association in India (FPBAI) and its three office-bearers for unfair business practices.

The association was found to be fixing conversion rates higher than usual bank/ RBI rates for importing of international journals and books by its member booksellers/ publishers, among other violations.

Also, the association stipulated terms and conditions with respect to price, credit period and interest rates, among other aspects. These were to be followed by its member booksellers/ publishers while supplying books, journals and e-resources to libraries, schools and other consumers, according to CCI.

Passing the final order, the Competition Commission of India (CCI) also said the association was issuing a list of approved suppliers of journals/ subscription agents along with its circulars, in furtherance of its already existing advisories/ appeals to libraries and other institutions to purchase books only from its approved vendors.

In a release on Tuesday, the watchdog said such practices contravened competition law and imposed penalties totalling Rs 6.33 lakh on FPBAI and its three office bearers.

CCI noted that though no new circulars mentioning discounts which could be offered by members of FPBAI were unearthed during its investigation, the erstwhile circulars in this regard available on third-party websites were also not withdrawn/ removed by FPBAI.

The regulator has directed FPBAI to spread awareness among the members about the conduct held as anti-competitive by it.

Directions have been given to FPBAI regarding spreading awareness about competition law amongst its members and withdrawing all its earlier anti-competitive circulars and advisories/ appeals, the release said.