The NCLAT, vide order dated 19 February 2025, dismissed the appeal filed by Sri Balaji Traders (Balaji) against the final order of the CCI.
By way of background, Balaji had approached the CCI, alleging that Asian Paints had arbitrarily downgraded its retailer tier due to its association with JSW Paints. The Commission, vide its final order dated 08 September 2022, dismissed the information, observing that the change in retailer status was based on objective criteria and in any case the tier had been restored to Balaji.
On appeal, the NCLAT noted that although the retailing tier of Balaji was degraded from 'Critical Retailer' to 'Colour World', the same was restored by Asian Paints on 23 June 2021, i.e., a week prior to the filing of the information before the CCI. This material fact was concealed by Balaji in its complaint. The NCLAT concluded that this material information formed the basis the grievance before the CCI, and the information may have been dismissed by the CCI if the same was disclosed at the time of filing.
Thus, on being convinced that Balaji had approached the CCI with unclean hands and that the 'personal injury [had already] been redressed' once it was reinstated as a critical dealer, dismissed its appeal.
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