NEW DELHI (INDIA): A day after regulator CCI imposed penalty on seven cement firms for rigging tender, companies such as JK Lakshmi Cement, Ambuja, Shree Cement, Ultra Tech and ACC said they would challenge the order at the Competition Appellate Tribunal.
The Competition Commission of India (CCI) had yesterday imposed Rs 206-crore penalty on seven cement companies for violating competition norms with regard to a tender floated by a Haryana agency back in 2012.
The seven companies are: Shree Cement, UltraTech Cement, Jaiprakash Associates, J K Cement, Ambuja Cements, ACC and J K Lakshmi Cement.
“We deny the allegations against us and intend to file an appeal against the CCI order before the Competition Appellate Tribunal (COMPAT),” J K Lakshmi Cement in a statement.
While Gujarat-based Ambuja Cement said it has a comprehensive fair competition compliance programme and had delivered all the information and clarifications requested by the authorities.
“Ambuja Cement has taken note of the order by the CCI and is disappointed with the outcome. The company intends to file an appeal to defend our position before the Competition Appellate Tribunal (COMPAT),” the company said.
CCI has imposed a penalty of Rs 6.25 crore on J K Lakshmi Cement and Rs 29.84 crore on Ambuja Cement.
According to Shree Cement, on which CCI has imposed a penalty of Rs 18.44 crore: “Based on company’s own assessment and advice given by its legal counsel, the company believes that it has a good case for succeeding in appeal and will accordingly file its appeal against the order before the COMPAT.”
However, Aditya Birla group firm Ultra Tech, on which CCI has imposed the highest penalty of Rs 68.3 crore, said it is still examining the order.
“It would take appropriate action after examining the order fully,” the company said in a stock exchange filing.
ACC, which also faces Rs 35.32 crore penalty, also believes that it has a very strong case against CCI.
“We feel aggrieved by the conclusion of the order and believe that the company has strong case on merits to challenge it. We will therefore file an appeal to defend our position before the COMPAT,” ACC said in a BSE filing.
Source: Press Trust of India