India’s largest carmaker Maruti Suzuki India Ltd has said it won’t have to pay the Rs 4.7 bln fine imposed on it by the Competition Commission of India due to a Delhi High Court order.
The competition commission had, in an order on Monday, found car manufactures to be indulging in anti competitive conduct and abuse of dominant position.
It had imposed a total fine of Rs 22.45 bln on 17 car manufacturers in India.
Maruti Suzuki pointed out that the case was already being heard in the Madras High Court and that the Delhi High Court has directed that CCI’s fine shall not be put into effect till the Madras High Court case is settled.
“The Delhi High Court, vide its order dated 29.04.2013 and 13.08.2014, [had said] that the final order of the CCI shall not be given effect to till after expiry of 10 days from either the vacation of stay Order dated 06.02.2013 of the Madras High Court or issuance of a final order in the Writ Petition before the Madras High Court,” it said. “It is pertinent to note that as per the order of Delhi High Court dated 29-04-2013, the final order of CCI would apply to Maruti Suzuki after the expiry of a period of 10 days from the final order in the Writ Petition before the Madras High Court, which is still pending.”
Maruti Suzuki said the CCI has directed Maruti Suzuki India Limited to do certain compliances in order to stop the anti-competitive activities allegedly carried out by Maruti Suzuki India Limited.
“Meanwhile after examining the final order of CCI, we shall be taking necessary legal steps as advised by our advocates… Maruti Suzuki will explore all legal options in the light of the CCI Order.”