In a curious development, the overnment withdrew a statement on action against global software giant Microsoft for alleged unfair trade practices in India, a charge contested by the company.

A late evening official release issued by Press Information Bureau (PIB) Saturday said "the handout titled Microsoft Corporation (India) faces charges of Monopolistic and Restrictive Trade Practices Commission (MRTPC) issued earlier today (on Friday) is hereby withdrawn as cancelled".

"The inconvenience caused is regretted", the release said hours after Microsoft representatives and its lawyers met the Director General of Investigations and Registration (DGIR) of MRTPC and contested a charge that the software giant was facing charges of the Commission.

Earlier in the day a PIB release had said that DGIR of MRTPC has recommended action against Microsoft Corporation (India) following a preliminary investigation report.

The release did not name the complainant, who had made allegations of restrictive trade practises against the company.

Meanwhile, the DGIR in its monthly report for July had informed Law Ministry that its investigation revealed that the Indian company did not enter into any agreement with the buyers of the software and imposed restrictions in terms of End User Licence Agreement (EULA).

"The software products of the US company had been pleaded as `intellectual properties' and not the products simplicitor," the PIB release in the morning had said.

Microsoft in a statement said the PIB story was factually incorrect.

It said a company delegation in the afternoon met the DGIR who was quoted as saying that the report of his recommending action by MRTPC against Microsoft Corp India was "false and factually incorrect".

The controversy had broken out significantly ahead of Microsoft chief Bill Gates' visit to India in September.

(PTI)

INDUSTRY KEYWORD: Computers/IT

                  Regulations / Law

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