The Turkish Competition Authority (the "Competition Authority") may launch a preliminary investigation (i) ex officio or (ii) upon complaint.
In the preliminary investigation process, the case handlers assigned by the Competition Authority are entitled to request information and conduct dawn raids (unannounced on-the-spot inspections). The case handlers submit the preliminary report, which includes (i) all information and evidence obtained during their preliminary investigation and (ii) their opinion on the matter/issue, to the Turkish Competition Board (the "Board"). They are required to finalize and submit their report within 30 calendar days after the Board appoints them. Upon review of the report, the Board may decide (i) not to launch a full-fledged investigation or (ii) to launch a full-fledged investigation.
If the Board decides to initiate a full-fledged investigation, it sends a notice to the companies concerned within 15 calendar days. Once the notice has been formally served, the investigated companies have 30 calendar days to prepare and submit their first written defenses.
Subsequently, the Competition Authority issues the full-fledged investigation report, which consolidates the findings and evidence collected through on the spot inspections, information requests and written defenses. Preparation of the investigation report lasts six months and it may be extended one time only. Once this is served on the companies concerned, they have 30 calendar days to respond, extendable for another 30 days (second written defense).
The investigation committee will then have 15 calendar days to prepare an additional opinion concerning the second written defense. This is also extendable for another 15 days. The defending parties will have another 30-day period to reply to the additional opinion (third written defense), again, extendable for another 30 days.
When this defense is submitted to the Competition Authority, the investigation process will be completed (i.e. the written phase of investigation involving the claim/defense exchange will close with the submission of the third written defense). An oral hearing may be held upon request by the parties or ex officio.
Oral hearings are held 30 to 60 calendar days following the completion of the investigation process under Communiqué No. 2010/2 on Oral Hearings before the Board. The Board renders its final decision within 15 calendar days from the hearing, if an oral hearing is held; otherwise, the decision is rendered 30 calendar days from the completion of the investigation process.
As part of an investigation, the Board is entitled to request the submission of any information and documents it deems necessary. The parties can submit any information or evidence they think may affect the decision at any time during the investigation.
Also, recent amendment on Law No. 4054 on the Protection of Competition ("Competition Law") introduced two new mechanisms that are inspired by the EU: (1) commitment procedure and (2) settlement procedure. The main aim was to enable the Authority to end investigations without going through the entire investigation procedures.
The newly-designed commitment mechanism under Article 43 of Competition Law allows defendants to voluntarily offer commitments during a full-fledged investigation to eliminate the Competition Authority's competition law concerns and to end the investigation process. Depending on the sufficiency and the timing of the commitments, the Competition Authority may decide to end an on-going investigation without completing the entire investigation procedure. Article 5(1) of the Communiqué No. 2021/2 on Commitments states that defendants may offer commitments during an investigation within three months after the notification of the investigation notice.
Besides, the Competition Authority --ex officio or upon undertakings' request-- may initiate the settlement procedure in an on-going investigation. Only the parties that admit a violation can apply for the settlement procedure. The Competition Authority will set a deadline for the submission of the settlement letter. If settled, the investigation will be closed with a final decision including the finding of a violation and administrative monetary fine. If the investigation ends with a settlement, the Competition Authority can reduce the administrative monetary fine by up to 25%.
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