CCI raids top ad agencies, broadcasters’ body

Antitrust regulator Competition Commission of India (CCI) has conducted raids at the offices of several global advertising firms, including GroupM, Dentsu, and Interpublic Group, as well as a broadcasters’ industry group, Indian Broadcasting and Digital Foundation (IBDF), over allegations of price collusion, according to media reports.

The development has come as a surprise to industry watchers, who describe the raids as “unprecedented”.

Sources cited by Reuters stated that CCI officials searched around 10 locations in Mumbai, New Delhi, and Gurugram after initiating a case against these agencies and leading broadcasters for allegedly fixing ad rates and discounts. Reuters was the first to report details of the antitrust case and enforcement action.

According to legal experts, price collusion here refers to the practice of manipulating advertising rates, discounts, or inventory which distorts fair market competition. This practice could favour certain players, inflate prices and reduce choice for consumers. The CCI is said to be probing these angles.