Sections 16-17 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 16 of the Competition Act, 2002 provides for a Director General to assist the Commission in conducting inquiry into contraventions, and Section 17 provides for the Commission's Secretary, officers, other employees, experts and professionals. The Competition (Amendment) Act, 2023 changes who appoints the Director General: it is now the Commission, with the prior approval of the Central Government. Section 17 is not amended.
As per the consolidated text of the Act published by the Competition Commission of India (amendments shown up to the Finance Act, 2017), read with the Competition (Amendment) Act, 2023 as published in the Gazette of India on 11 April 2023. The Director General is appointed to assist the Commission in conducting inquiry into contravention of the Act. After the 2023 Act, the appointment is made by the Commission, with the prior approval of the Central Government, in place of the Central Government by notification. The Commission also appoints a Secretary, officers and employees, and may engage experts and professionals. The 2023 change applies from the date notified for that provision; the notification is not in the sources consulted and should be checked.
Section 16(1): the Director General
The consolidated text of Section 16(1) reads: "The Central Government may, by notification, appoint a Director General for the purposes of assisting the Commission in conducting inquiry into contravention of any of the provisions of this Act and for performing such other functions as are, or may be, provided by or under this Act."
The 2023 Act (its Section 12) directs that in sub-section (1), for the words "Central Government may, by notification", the words "Commission may, with the prior approval of the Central Government" shall be substituted. Applying that to the base text, Section 16(1) reads: "The Commission may, with the prior approval of the Central Government, appoint a Director General for the purposes of assisting the Commission in conducting inquiry into contravention of any of the provisions of this Act and for performing such other functions as are, or may be, provided by or under this Act." The amending clause fits the base text without difficulty, because the words it replaces occur once in sub-section (1). If a Director General's request reaches you, a legal consultation early on can help you plan the response.
| Point | Before | After (2023 Act) |
|---|---|---|
| Who appoints the Director General | The Central Government | The Commission |
| Manner | By notification | With the prior approval of the Central Government |
| Purpose | Assisting the Commission in conducting inquiry into contravention; other functions | Same |
The 2007 amendment is shown in footnote 23 of the consolidated text; it removed from this sub-section the references to advisers and consultants and to "the conduct of cases before the Commission". That is a one-line history point and not the rule.
Section 16(1A): numbers and manner
Sub-section (1A) says "The number of other Additional, Joint, Deputy or Assistant Directors General or such officers or other employees in the office of Director General and the manner of appointment of such Additional, Joint, Deputy or Assistant Directors General or such officers or other employees shall be such as may be prescribed." The numbers and manner are therefore prescribed by rules, which are not in the sources consulted, and we state none.
Section 16(2) to (4): working arrangements and qualifications
- Sub-section (2): every Additional, Joint, Deputy and Assistant Director General or such officers or other employees "shall exercise his powers, and discharge his functions, subject to the general control, supervision and direction of the Director General."
- Sub-section (3): their salary, allowances and other terms and conditions of service "shall be such as may be prescribed."
- Sub-section (4): the Director General and the Additional, Joint, Deputy and Assistant Directors General or such officers or other employees "shall be appointed from amongst persons of integrity and outstanding ability and who have experience in investigation, and knowledge of accountancy, management, business, public administration, international trade, law or economics and such other qualifications as may be prescribed."
The qualifications in sub-section (4) are printed in full above; the "other qualifications" are left to rules. The 2023 Act does not touch sub-sections (1A) to (4). The consolidated text prints footnote marks inside these sub-sections, and we read through them.
Example. Suppose the Commission, on receiving information about an alleged price-fixing arrangement among suppliers of packaging material in a region, directs an investigation by the Director General. The Director General and the officers under his general control, supervision and direction conduct the inquiry. The way that the Director General investigates, including search and seizure, is in Section 41; see our article on the Director General's investigation, search and seizure.
Definition cross-reference
Section 2(g) defines "Director General" as the Director General appointed under sub-section (1) of Section 16 and includes any Additional, Joint, Deputy or Assistant Directors General appointed under that section. Our article on the terms that name the Commission explains that clause.
Section 17: Secretary, staff, experts and professionals
The consolidated text prints Section 17 as substituted by the 2007 amendment (before that the head of the office was a Registrar; the one-line history is in the footnote). The section has three sub-sections.
- Section 17(1): "The Commission may appoint a Secretary and such officers and other employees as it considers necessary for the efficient performance of its functions under this Act."
- Section 17(2): "The salaries and allowances payable to and other terms and conditions of service of the Secretary and officers and other employees of the Commission and the number of such officers and other employees shall be such as may be prescribed."
- Section 17(3): "The Commission may engage, in accordance with the procedure specified by regulations, such number of experts and professionals of integrity and outstanding ability, who have special knowledge of, and experience in, economics, law, business or such other disciplines related to competition, as it deems necessary to assist the Commission in the discharge of its functions under this Act."
Sub-section (3) is the source of the Commission's power to bring in outside expertise. The procedure is "specified by regulations"; the regulation on that procedure is not among the sources consulted, so we state no procedure. Section 17 is not touched by the 2023 Act.
What the 2023 Amendment Act changed in Sections 16 and 17
| Section | Before | After |
|---|---|---|
| 16(1) | Central Government appoints by notification | Commission appoints with prior approval of the Central Government |
| 16(1A) to (4) | As printed | Not changed |
| 17(1) to (3) | As printed | Not changed |
Practical points
For a business, the practical meaning is that an inquiry after an order under Section 26(1) is carried out by an officer who holds a post created under Section 16 and works under the control of the Director General. The scheme of inquiry is explained in our article on Section 26, and for a general overview see our guides on CCI powers and on how to file a complaint with the CCI. The Commission's financial provisions on grants and fund are in Sections 50 and 51.
Need help responding to a Director General request?
A request for information or documents from the Director General's office should be answered carefully and on time. If you have received one, or want to prepare before a complaint is made against you, our team can help. Begin with a legal consultation and bring the notice.
Key takeaways
- The Director General assists the Commission in conducting inquiry into contravention of the Act.
- Since the 2023 Act, the Commission appoints the Director General with the prior approval of the Central Government.
- The Director General and officers must be persons of integrity and outstanding ability with experience in investigation and the listed knowledge.
- Section 17 lets the Commission appoint a Secretary, officers and employees and engage experts and professionals through a procedure specified by regulations.
- The 2023 change applies from the date notified for that provision; the notification is not in the sources consulted and should be checked.
Read next
- Post-office restrictions, administrative powers and service terms
- Duties of the Commission and its meetings
- Procedure for inquiry, prima facie order and Director General report
- CCI powers and procedure
Disclaimer: Based on the consolidated text of the Competition Act, 2002 published by the Competition Commission of India (amendments shown up to the Finance Act, 2017), read with the Competition (Amendment) Act, 2023 as published in the Gazette of India on 11 April 2023, and on the regulations and guidelines of the Commission as notified in 2024, as consulted on 2 October 2026. Commencement notifications, notified thresholds, rules and later amendments should be checked. This article is general information, not legal advice; check the official text before acting.