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Home News and StoriesCCI Fines 14 car Manufactures in India for Violating Competition Act

CCI Fines 14 car Manufactures in India for Violating Competition Act

The competition commission of India has fined Honda, Tata and 12 other automobile manufactures of Rs. 2,544.65 crores for violating trade norms in spare parts. The manufactures were found guilty of not selling their spare parts in open market which denies growth of sales parts market. These spares parts were made available only through authorized dealer which results in insufficiency.

Tata has suffered the highest amount of fine among the 14 manufactures with enormous Rs. 1,346.46 crores. Here is the list of all manufactures with fine amount imposed on them.

Name of the Manufactures Fine Amount (In Crores) 
Tata Motors Rs. 1,346.46
Maruti Suzuki Rs. 471.14
Mahindra & Mahindra Rs. 292.25
Toyota Rs. 93.38
General Motors Rs. 84.58
Honda Rs. 78.47
Skoda Rs. 46.39
Ford Rs. 39.78
Fiat Rs. 29.98
Mercedes Benz Rs. 23.08
BMW Rs. 20.41
Hindustan Motors Rs. 13.85
Volkswagen Rs. 3.25
Nissan Rs. 1.63

The CCI also imposed fine of 2% on their average turnover and has given 60 days time to act in accordance with the order and CCI told manufactures that these parts should be easily available in the market from now onwards.

The CCI has asked companies to display information regarding spare parts price, maintenance costs and warranty details on their sites and public domains and CCI also ordered not to impose any ifs and buts condition of cancellation of warranty if consumer avails services of any independent repairer.

“The 14 car companies were found to be indulging in practices resulting in denial of market access to independent repairers as the latter were not provided access to branded spare parts and diagnostic tools which hampered their ability to provide services in the aftermarket for repair and maintenance of cars,” a CCI official said.

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