CCI fines Hyundai Rs. 420 crore; Reva, Premier also face flak

The Competition Commission of India (CCI) on Tuesday imposed a penalty of Rs. 420.26 crore on Hyundai Motor India for restricting sale of spare parts in the open market.
By : Hindustan Times
| Updated on: 29 Jul 2015, 02:24 PM
CCI fines Hyundai Rs. 420 crore; Reva, Premier also face flak
CCI fines Hyundai Rs. 420 crore; Reva, Premier also face flak
CCI fines Hyundai Rs. 420 crore; Reva, Premier also face flak
CCI fines Hyundai Rs. 420 crore; Reva, Premier also face flak

The Competition Commission of India (CCI) on Tuesday imposed a penalty of 420.26 crore on Hyundai Motor India for restricting sale of spare parts in the open market. The fair trade regulator also asked two other carmakers — Reva (a subsidiary of Mahindra and Mahindra) and Premier — to "cease and desist" from indulging in anti-competitive practices.

No penalty, however, has been imposed on Reva and Premier.

Last year, the CCI imposed penalties of 2,544.64 crore on 14 other carmakers, including Honda Siel, Volkswagen, BMW, Maruti Suzuki, Skoda for the same issue.

According to the CCI these carmakers "had stringent warranty conditions, which required customers to only get automobile repaired through authorised service network of dealers, otherwise warranty would be invalidated".

Similar Cars

Find More Cars
Audi Rs Q8 (HT Auto photo)
Audi Rs Q8
3996 cc | Petrol | Automatic (Torque Converter) | 8 kmpl
₹2.07 - 2.1 Cr**Ex-showroom price
Hyundai Casper (HT Auto photo)
UPCOMING
Hyundai Casper
999 cc | Petrol | Manual
₹4 - 7 Lakhs* *Expected Price
Hyundai Santro (HT Auto photo)
Hyundai Santro
1086 cc | Petrol | Manual | 20 kmpl
₹4.67 - 6.47 Lakhs**Ex-showroom price
Hyundai Grand I10 Nios (HT Auto photo)
Hyundai Grand I10 Nios
1197 cc | Petrol | Manual | 21 kmpl
₹5.19 - 8.52 Lakhs**Ex-showroom price
Hyundai Aura (HT Auto photo)
Hyundai Aura
1197 cc | Petrol | Manual | 21 kmpl
₹5.92 - 9.43 Lakhs**Ex-showroom price
Hyundai I20 (HT Auto photo)
Hyundai I20
1197 cc | Petrol | Manual | 20.35 kmpl
₹6.8 - 11.43 Lakhs**Ex-showroom price

Hyundai in its submission to the CCI said that its case was different from the other companies and that the penalty should be reduced. However, CCI ruled that "most of the factors cited by Hyundai are general in nature and do not qualify for reduced penalty".

First Published Date: 29 Jul 2015, 02:21 PM IST
TAGS:
Recommended For You
View All
NEXT ARTICLE BEGINS

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city
Choose city
By clicking VIEW OFFERS you Agree to our Terms and Privacy Policy

Dear Name

Please verify your mobile number.

+91 | Choose city