CCI gets COMPAT notice in cement cartelization case

Followed by the cement firms’ petition, the Competition Appellate Tribunal (COMPAT) had served notices to the Competition Commission and the Builders’ Association of India. Cement firms in its plea had requested to rescind the entire Competition Commission of India‘s (CCI) order and an interim stay on the penalty till the tribunal decides on their petition.

The Competition Commission of India (CCI) had imposed a penalty of Rs 6,307-crore on 11 cement firms on charges of cartelization while, Cement Manufacturers’ Association (CMA) had been charged with a fine of Rs 73 lakh and been demanded for a payment within 90 days. The CCI had accused cement companies as cartel stating that these companies have attempted to control the production and price in the Indian market by acting together.

However, tribunal has urged the competition watchdog not to take any compulsive actions in the matter till 11 October, the next hearing date of the case. The cement giant whose petitions were addressed includes Ultra Tech Cement, Lafarge India, India Cement, Jai Prakash Associates, Associated Cement Corporation (ACC), Binani Cement, Ambuja Cement, Madras Cement, J K Cement and Century Textiles.