Asian Paints Moves Supreme Court Against CCI Probe into Grasim Case

Asian Paints Limited has moved the Supreme Court of India against the Competition Commission of India’s (CCI) probe into alleged abuse of dominance in the decorative paints market, as per the news reports. 

This appeal follows the Bombay High Court’s decision on September 11, 2025, which upheld the CCI’s directive to investigate the company based on a complaint filed by Aditya Birla Group’s Grasim Industries on July 1, 2025.

Asian Paints Challenges Bombay High Court Order

The Bombay High Court had earlier dismissed Asian Paints’ writ petition, stating that there is no inherent right to an oral or written hearing at the stage where the CCI forms a prima facie opinion under Section 26(1) of the Competition Act, 2002. The court clarified that this stage is administrative in nature and that it is within the CCI’s discretion to decide whether to grant a hearing.

Court Rejects Claims of Bar Under Section 26(2-A)

A Division Bench comprising Justice Revati Mohite Dere and Justice Dr Neela Gokhale rejected the company’s argument that Grasim’s complaint was barred under Section 26(2-A) of the Act. Asian Paints had argued that a similar complaint filed in 2022 by JSW Paints and Balaji Traders had already been dismissed, and hence, a new one should not be entertained. 

However, the Bench ruled that Section 26(2-A) only aims to prevent duplication of efforts and does not impose a jurisdictional bar on considering new complaints with distinct facts.

Read More: Delhi High Court Drops Trademark Case After Nestle Reaches Settlement with Utensil Manufacturer!

Fresh Complaint from Grasim Merited Investigation

The court observed that Grasim’s representation contained new factual details that justified a separate investigation. It noted that while the CCI was aware of the earlier JSW case, it found enough substance in the new complaint to warrant an inquiry. 

The Bench also clarified that principles of natural justice were not violated, as the CCI is not obligated to provide hearings at the preliminary stage unless deemed necessary.

Supreme Court Appeal Filed

Following this verdict, Asian Paints has now approached the Supreme Court through Special Leave Petition (SLP) No.028923/2025, seeking to challenge the Bombay High Court’s judgment and the ongoing CCI investigation. The case raises key questions about procedural fairness and the scope of the CCI’s powers during the prima facie investigation stage under the Competition Act, 2002.

Conclusion

Asian Paints’ appeal to the Supreme Court marks a significant legal development in the competition law landscape, particularly in the context of repeat complaints and CCI’s discretionary powers. The outcome of this case could have broader implications for how similar disputes are handled in the future.

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