The Competition Commission of India (CCI) has begun a comprehensive investigation into Mrs India Inc, a sole proprietorship operated by Mohini Sharma. This action follows a complaint from Rinima Borah Agarwal, who was a participant and first runner-up in the 2024 edition of the beauty pageant. Agarwal alleged that the pageant organiser imposed stringent contractual conditions, demanded undisclosed payments, and limited participants’ professional opportunities through unilateral agreements.

Agarwal’s complaint claims that she was compelled to pay significant amounts at various stages of the competition. She reported paying a registration fee of Rs 3,000 and subsequently choosing between a Basic Package costing Rs 3.25 lakh and a Premium Package priced at Rs 6.75 lakh for training and grooming. She opted for the Premium Package based on assurances that it would enhance her chances of success.

The CCI, led by Chairperson Ravneet Kaur along with other members, found initial grounds for contravention of the Competition Act, 2002. This prompted the commission to instruct the Director General to investigate the claims and submit a report within 90 days.

Specific Allegations Made By The Contestant

Agarwal alleged that upon being declared the first runner-up and earning the title of “Mrs India Galaxy,” she was presented with an agreement that required her to pay up to Rs 25 lakh to participate in the international Mrs Galaxy pageant scheduled for 2025. Additionally, she claimed that this agreement prohibited her from engaging with any other beauty pageant—be it as a contestant, consultant, judge, mentor, founder, or co-founder—for a period of five years.

Her complaint also asserts that Mrs India Inc wields considerable market influence within the niche of beauty pageants for married women, attributed to its connections with several prestigious international competitions. She stated that the organisation’s actions constitute an abuse of its dominant market position by imposing restrictive and unfair contractual conditions on participants and victors.

The CCI acknowledged that the market could be defined as that for beauty pageants aimed at married women in India, wherein winners can qualify for prominent international contests. While the Commission did not reach a definitive conclusion, it identified Mrs India Inc as a significant entity in this sector due to its ties with international pageant brands such as Mrs Globe and Mrs Earth.

Contractual Concerns Raised By The CCI

The Commission expressed serious concerns regarding multiple clauses within the agreements participants were required to sign. Among the issues highlighted were provisions that barred contestants and winners from engaging with other beauty pageants for up to five years, mandated prior approval for entering contracts or professional engagements, and obligated participants to support social causes identified by the organisation.

Moreover, it was noted that the agreements allowed the organiser to utilise participants’ photographs and videos for promotional purposes without compensation even after the contracts had ended. The CCI also remarked that crucial terms and conditions were disclosed to participants shortly before the final event, which may not have allowed contestants to make informed decisions regarding their participation.

The CCI stated that certain provisions appeared exploitative and could suggest anti-competitive behaviour, thus warranting further investigation. The findings from the Director General are expected within a 90-day timeframe, and the CCI clarified that these observations are preliminary and do not constitute a final decision on the matter.

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