SC reviews Rs44 billion sugar fine

Dispute began in November 2020 when CCP issued identical show-cause notices to PSMA, mills nationwide

ISLAMABAD:

The Supreme Court on Monday issued notices to respondents while hearing a review petition filed by the Competition Commission of Pakistan (CCP) against an SC division bench's order in a case related to imposition of penalties on sugar mills.

A three-member bench comprising Chief Justice of Pakistan (CJP) Yahya Afridi, Justice Shahid Bilal Hassan, and Justice Shakeel Ahmad heard the review petition.

During the proceedings, CCP's counsel Asma Hamid argued that the Supreme Court had remanded the matter to the tribunal instead of the commission.

She submitted that the CCP sought an amendment to the SC order to allow the commission, instead of the tribunal, to hear the case. The CJP observed that if this was the sole prayer in the appeal, the court could pass an appropriate order.

Justice Ahmad, however, remarked that the court would decide the matter only after hearing all parties. The CJP further observed that cases in the CCP remain pending for years. The court later issued notices to the parties and adjourned the hearing until next Thursday.

An SC division bench comprising Justice Shakeel Ahmad and Justice Aamer Farooq on September 28, 2025 set aside a Rs44 billion fine the CCP had imposed on the country's sugar mills.

Through the order, the bench overturned both the Competition Appellate Tribunal's May 21, 2025 order and the CCP's August 13, 2021 "casting vote" decision.

The dispute began in November 2020 when the CCP issued identical show-cause notices to the Pakistan Sugar Mills Association (PSMA) and mills nationwide, accusing them of violating Section 4 of the Competition Act, 2010, which bans cartel-like behaviour.