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1. Shri Deepak Kumar Jain and Shri Manoj Kumar Jain (the "Informants") have filed the instant information under section 19(1) (a) of the Competition Act, 2002 (the "Act") against M/s TDI Infrastructure Ltd. and others alleging, inter alia, contravention of the provisions of Section 4 of the Act in the matter.

2. Facts of the case, as stated in the information, may be briefly noted:

2.1 The Opposite Party No. 1, M/s TDI Infrastructure Ltd., is a public limited company engaged in the business development of real estate. The Opposite Party No. 2, Town and Country Planning Haryana, is a department of the Government of Haryana responsible for regulated urban development in the State and the Opposite Party No. 3, Haryana Urban Development Authority, is a statutory body constituted under the Haryana Urban Development Authority Act, 1977 and is responsible for planned development of urban areas in the State of Haryana. The Informants are the buyers of residential plots in the integrated township project ("the Project") developed by the Opposite Party No. 1 at Kundli in the Sonepat district of Haryana.

7. In regards to the relevant geographic market, the Informants have submitted that since Kundli is nearer to Delhi and is a preferred option for the buyers compared to other areas of Sonepat, the area of Kundli should be considered as the relevant geographic market in the matter. As per Informants, relatively higher prices in Kundli make it a separate relevant market and a 5% increase in price of residential property will not make the buyers switch to any other areas. It is submitted that Rule 3 of the Haryana Development and Regulation of Urban Areas Rules, 1976 classified the urban area Kundli as High-II zone which is a distinct and separate geographical area. It is also submitted that the license granted in form LC-III under rule-10 by Director of Town and Country Planning Haryana indicates that the city complex at Kundli is distinct and separate geographical market. Further, Kundli is an extension of northwest Delhi and it is an attraction for the people of northwest Delhi. Also, the conveyance cost and time consumed is a relevant factor in the minds of the consumers while taking the purchase decision. The consumers will not prefer other parts of Sonepat district which are at distance of about 15 km or so from Kundli.

8. However, the Commission do not agree with the Informants' contention that area of Kundli is the relevant geographic market is the instant case. The relevant geographic market cannot be restricted to Kundli just because Kundli is nearly 15 Kms or so away from the other areas of Sonepat where different builders have their projects. Moreover, the conditions of competition in Kundli are not distinct from other areas of Sonepat district. Rather, the conditions of competition for development of residential plots are homogenous within the district of Sonepat. The arguments of the Informants that being a part of NCR region as per Delhi Master Plan 2021, Kundli form a separate relevant market cannot be accepted. Thus, the area of Sonepat district of Haryana is the relevant geographic market in the instant case. Further, the other areas of Haryana like Gurgaon, Faridabad, Bahadurgarh, etc. cannot form the part of the relevant geographical market because of difference in price of land, availability of quality essential services, distance and commutation facilities from the national capital of Delhi, etc. Also, the conditions of competition for development of residential plots in Sonepat are different from other adjacent cities of Haryana and National Capital Region. Although other areas like Rohtak, Rewari, Jhajjar, Panipat, Alwar, Bulandsheher, Baghpat are also a part of NCR region as per Delhi Master Plan 2021, they also do not present an alternative investment opportunity when compared to Sonepat as the latter offers greater potential of return on investment and these areas are yet to see comparable infrastructural development.

9. Accordingly, "the market of the services for the development of residential plots in the Sonepat District of Haryana" is considered as the relevant market in the instant case.

10. The Informants have contended that the Opposite Party No. 1 is in a dominant position whether the relevant geographic market is considered as Kundli or the entire Sonepat district of Haryana. In the view of the Informants it is so because the Opposite Party No. 1 has vast land bank and the prices of its residential property are much higher compared to other developers. In this regard it is observed that even though these two factors establish that the Opposite Party No. 1 is a major player in the relevant market, but it cannot said to be in a dominant position in the relevant market. Large land bank gives the Opposite Party No. 1 the opportunity to push more supply into the market but buying behaviour in real estate is not only influenced by the size of the project but also because of several other factors. Also, integrated township with a higher land base may be just another option before the consumer; it is not a guaranteed consumer-puller, who may have other factors in mind. Higher prices of a project belonging to a developer also do not translate into dominance.