LHC rejects Honda Atlas Cars appeal, upholds CCP probe into on-money premiums, price hike

LAHORE – The Lahore High Court (LHC) has ruled that an intra-court appeal filed by Honda Atlas Cars (Pakistan) Limited challenging an ongoing regulatory inquiry by Competition Commission of Pakistan (CCP) is not admissible. A two-judge bench, comprising Justice Chaudhry Muhammad Iqbal and Justice Syed Ahsan Raza Kazmi issued the ruling, emphasizing that any grievances must be addressed through the formal appeals mechanism outlined under the Competition Act, 2010. The bench stated that the existence of a designated appellate framework under the law makes constitutional petitions and intra-court appeals inappropriate at an intermediate stage, especially when inquiry proceedings are still ongoing and no final decision has been issued. The CCP launched the inquiry in November 2018 with focuses on alleged anti-competitive practices in the automobile sector, including charging illegal on-money premiums, delaying vehicle deliveries, and increasing prices after customer bookings. The court underscored that the Competition Act provides a clear hierarchy of remedies. Appeals against orders by a single member or authorized officer of the CCP can be filed with the Appellate Bench within 30 days, while orders issued by multiple members or the Appellate Bench itself can be contested before the Competition Appellate Tribunal within 60 days. The bench further emphasized that supplying information to the regulator is a statutory obligation, and attempts to challenge the CCP’s jurisdiction during the inquiry stage are legally unsustainable. The decision follows a prior LHC ruling in October 2025 that had dismissed Honda Atlas’s writ petition questioning the commission’s authority.