Tyre biz cartelisation: NCLAT asks CCI to pass fresh order; review fines to save domestic tyre industry
05 Dec 2022
- DMD Advocates
- Matter Reporting
The National Company Law Appellate Tribunal has recently set aside the decision of the Competition Commission of India in the 2013 tyre cartel matter (where the CCI imposed a penalty of around INR 18 billion on domestic tyre companies). Not only has the Appellate Tribunal directed the CCI to re-examine its errors, but also to review the penalty with a view to save the domestic tyre industry which has been under pressure from global tyre companies. Interestingly, the Tribunal observed that the object of the Competition Act is also to keep in view the economic development of the country by promoting the domestic industry. Violators may be penalised but with a view to encourage reform ‘instead of virtually putting the organisation on weak health’.
Our Competition Partner, Vivek Agarwal, led the matter for a leading tyre company.
Read more at https://lnkd.in/dgehdaUv