By Roy Howa:
The Competition and Fair Trading Commission (CFTC) says businesses recently penalized for violating competition and consumer protection laws have 30 days to settle fines and comply with refund orders once they receive official communication of the Commission’s determinations.
In an interview with Malawi News Agency (MANA) on Thursday, CFTC’s spokesperson, Innocent Helema, said all orders arising from its formal determinations, including monetary penalties and refund orders, are expected to be settled within the stipulated period.
Helema also clarified that complainants are not automatically awarded compensation under the Competition and Fair Trading Act (CFTA).
“CTFA does not award compensation to the complainant. In this regard, the complainant is entitled to use the Commission’s determination to claim for compensation before the High Court of Malawi,” Helema said.
Helema further said the latest sitting differs from previous ones, particularly in the imposition of monetary penalties.
“The determinations from this sitting represent a difference, especially in monetary penalties. It is worth noting that in 2023, the High Court ruled that the Commission lacked the powers to impose fines on those who violated the CFTA. However, the updated legal framework now provides a stronger basis for these penalties,” Helema said.
On enforcement, he said the Competition and Fair Trading Act of 2024 has strengthened its ability to ensure compliance with its determinations.
“Under the CFTA 2024, the Commission’s determinations carry the legal weight of administrative court orders, providing a robust mechanism to enforce compliance and ensure timely settlement,” Helema said.
The latest determinations follow a recent sitting in which the Commission ruled on a number of consumer protection and competition-related cases involving two major banks, businesses and service providers.
