CAT cracks down on anti-competitive behavior in Pakistan's media industry

July 24, 2024 (MLN): In a decisive ruling, the Competition Appellate Tribunal (CAT) has dismissed the appeal filed by the Pakistan Broadcasters Association (PBA), upholding the Competition Commission of Pakistan’s (CCP) directive to major media industry players to refrain from violating competition laws.

The CCP's action resulted from a thorough inquiry initiated by a complaint from Bol Media Network, Labbaik (Pvt) Limited, and Bol Enterprises (Pvt) Limited against PBA, Broadcaster Advertisers Council (BAC) and Medialogic (Pvt) Limited.

Bol alleged in its complaint that Medialogic had denied it ratings through an arrangement concealed within three distinct agreements involving the PBA, BAC, Pakistan Advertisers Society (PAS), and Medialogic.

The CCP declared the three agreements null and void, finding them to be anti-competitive and in violation of Section 4 of the Competition Act, 2010.

These agreements effectively excluded non-PBA and non-BAC members from receiving ratings and services from Medialogic, creating barriers to entry for non-members and new entrants.

Medialogic was also threatened with monetary penalties if it provided ratings to non-PBA members. Additionally, non-PBA members were barred from joining the BAC.

PBA challenged the CCP’s order in an appeal before the Competition Appellate Tribunal. However, the Tribunal dismissed the appeal on July 11, 2024.

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