The Supreme Court (SC), holding Coal India Limited (CIL) an enterprise under section 2(h) of the Competition Act, 2002 (Act), observed that State Monopolies, Government Companies and Public Sector Undertakings (PSUs) are not excluded from the definition of ‘enterprise’ under the Act and cannot be allowed to indulge in anti-competitive practices in violation of the Act. The SC, further, noted that while determining dominant position of an enterprise, dominance acquired as a result of the Statute or by virtue of being a Government Company or being a PSU or otherwise is a relevant factor. Therefore, “the lawgiver has evinced its intention to include government companies, public sector companies and bodies acquired under a Statute within the ambit of the Act.”
